Would you trust someone to watch your child or dog while you’re away, without checking their credentials? Sure not, right? At least that’s how we hope you’ll respond.
Similarly, in the digital world, you should think twice before sending money through someone, who is a complete stranger, or giving your account details to someone who asks for them via email. Because once the money leaves your account, there is no way you can reverse the transaction. It is almost impossible to identify threats or track you down. Major money transfer providers like us explicitly advise against sending money to strangers. So what are some of the common scams to look out for and what precautions should you take to avoid them?
Money laundering
Sometimes scams start with an email or phone call, or even a newspaper ad, offering a commission for work with minimal risk. All that is required of the prospect is a laptop, an Internet connection, and a few hours each week. It can present itself as a work-from-home opportunity or flexible work.
You will be required to deposit money to receive the initial work kit or receive a hefty payment into your bank account and then redistribute the money abroad (laundering). While scammers may convince him that the money is being used for legitimate purposes, such as trading stocks abroad or helping a charity distribute funds, he should be vigilant. Or you could find yourself unknowingly funding criminals or converting someone’s dirty money into legitimate funds. Furthermore, once the commission lures you in, scammers may also try to access your bank account, using the details you have provided.
Do not respond to such advertisements or give out your bank details to strangers. Ever.
Gift card/phishing
This scam usually occurs during the holiday season. Consumers receive special promotions or gift card emails that appear to come directly from an authorized retailer. Unfortunately, the links to the special promotion lead to a replica of the actual website. The fake site is full of malware, viruses, and phishing worms of all kinds that invade your devices to retrieve your financial credentials.
Look for a small security lock icon at the bottom of your browser or next to HTTPS in the browser bar when accessing profiles, user accounts, or online forms that request financial information from you.
online shopping
There are many bogus companies online selling legitimate over-the-counter drugs or weight loss products. If an offer seems too cheap/good to be true, it is definitely a scam. So no matter what the seller says, never share your credit card details for payment. Don’t risk your health and wealth by sending money to a stranger without proper validation and vetting.
Stay tuned, check reviews and avoid payments by any means. In fact, COD might be better than giving out your credit card details on their website.
Online vehicle sales
Criminals often try to hide behind big-name company names like eBay Motors and other well-known brands by running mirror websites, with only a slight change to the domain name. If you really want to start a vehicle purchase, find out if both the seller and the car ownership details are actually legitimate.
Don’t send money to a complete stranger. Look for reviews online about the website and spend time doing your research. The best bet: buy cars offline.
Lottery/draws
Legitimate lotteries will never require people to pay money up front. How often do you get a text or email saying you won something (money or a prize)? These scams usually ask you to send money to pay taxes, customs, or any administrative fees for the prize collection.
Don’t even think about sending money to people who tell you that you have “WON” something to collect your winnings. Delete the email as soon as you see the subject line saying you’ve “won,” especially if it’s from an unknown entity.
To protect yourself and your money, only transact with trusted money transfer companies that have:
- Proven compliance and monitoring systems
- Suspicious Activity Monitoring System
- Effective Customer Due Diligence System
- Implementation Know Your Customer
- Watchlist Filtering Capabilities
Now is your call to be on your guard!
