Top 5 scams you need to know
It’s not always easy to spot scams. Scammers are coming up with new ways to manipulate people, which is why it’s important you know which signs to look out for and what steps you can take to protect yourself.
Use our online tool to check if something might be a scam and find out more about the top 5 scams you need to be aware of:
- Dropshipping scams
Dropshipping is when an online store acts as a third party supplier, selling on items which it doesn’t stock — often at inflated prices and with items which don’t match the item photos or description.
They’re often advertised to you through adverts from a company that’s closing down and offering a substantial discount, alongside an emotional goodbye message to gain your attention.
Do your research before you buy, to make sure you’re not left out of pocket and without your item:
• Make sure the website you’re buying from includes a UK address for the company, and features a clear returns policy. This should be featured on the website — you shouldn’t have to email and ask
• Check reviews in places other than the website, such as Trustpilot, to ensure you’re buying from a retailer who can be trusted - Delivery scams
If you’re waiting for a parcel and get a message that asks you to pay to get it, or reschedule the delivery, it’s usually a scam. Scammers are hoping to convince you to click on a link to a fake website, so they can gain your financial information.
• Parcel delivery scammers often pretend to be from an organisation like Royal Mail. They might ask for additional delivery fees, or claim a package failed to deliver. These can be shared by text or email, or even by posting a fake ‘Something for you’ card through your door
• Delivery companies won’t ask you to pay them through a link in an email or text. Don’t click any links or attachments, even if it looks like it could be an official message
• If you receive an unexpected message from your delivery company, don’t feel pressured to pay. Contact the organisation directly through their official channels to check if it’s a genuine request - Phishing scams
‘Phishing’ is when scammers use unexpected emails, text messages or phone calls to trick their victims, pretending to be an organisation you trust, such as your bank or the government. Their aim is often to make you click a link or visit a website, so they can attempt to steal your bank details or other personal information.
If you receive an unexpected message or phone call, there are some checks you can do to stay safe:
• To check if a link is genuine, hover your mouse over the link without clicking on it, or press and hold on the link on a mobile device. You should be able to see the address the link goes to, and check it’s the same as the company’s official website address. Fake link addresses can look similar to the genuine address
• Other signs of a scam include bad spelling and grammar and a general greeting instead of your name. Scam messages can be sophisticated — don’t rely on obvious mistakes only
• If you get an email, check if the email address matches the sender’s name or organisation — you might have to click on their name to see the email address
• If you’re unsure, contact the organisation directly through another channel - Trader scams
If a tradesperson approaches you at home unexpectedly, stay #ScamAware. Scammers often pose as tradespeople, noticing some urgent work that needs to be done on your home, or offering you surprisingly low cash-in-hand deals.
Often they’ll add pressure by offering limited time deals, or stressing the danger of not getting the repair done, with the aim of making you agree to their price quickly and without doing your research.
A legitimate trader won’t rush you into agreeing to work, and will provide a written quote / contract, as well as accepting payment once the work is complete.
Keep a look out for warning signs of a rogue trader:
• They refuse to give you a written quote
• They pressure you into an urgent decision
• They say they’re doing some work locally, but you cannot go round and see their work
• They tell you to go to your bank and take out cash while they set up - Investment scams
Scammers will offer you fake opportunities for investments and convince you to spend your money in markets such as cryptocurrencies. Scammers often use fake celebrity endorsements to promote false investments on social media. Scammers can also make fake investment firms seem legitimate by setting up clone websites of real companies using their details and official branding.
Keep yourself safe from investment scams by doing the following:
• Don’t engage in conversations with an investment company that contacts you out of the blue
• Check for language such as ‘guaranteed returns’ and offers on ‘high returns’ as scammers can try to pressure you with a deadline and may call you repeatedly to make an investment quickly. Don’t get rushed into making a decision
• Never give money or bank details to anyone you don’t know, have just met or haven’t met in person. If you met someone on a dating platform, or have been asked to share personal information by someone you met recently, be wary. Scammers can use fake relationships as a way of convincing you to share your personal data or invest in a scam company
• Visit the Financial Conduct Authority’s website to confirm if an investment company is registered with them and check if an investment opportunity has been reported as a scam. You should also contact the company using the official details on the FCA website, so you know you’re speaking to the right people
What to do if you’ve been scammed
Don’t feel embarrassed — scammers are clever and scams can happen to anyone. Make sure you know what to do if you and get the support you need.
Report the scam as soon as possible to stop the scammers and prevent others from being scammed and finding themselves in a similar situation. You can report online scam adverts to the Advertising Standards Authority.
Check if you can get your money back by contacting your bank immediately to let them know what happened and see if you can get a refund. Scams can have a big impact on your finances and wellbeing so get emotional support if you’ve been scammed.
If you didn’t get the help you needed with a scam from your bank or financial provider, you can raise it directly with the Financial Ombudsman Service.
Need more support?
You can find all our free online advice on our website and contact our Consumer Service on 0808 223 1133 to speak with an adviser.