Reviewing Financial Scams & How You Can Avoid Being Conned
Financial Scams Increasing By The Day With financial scams and money fraud on the rise, we must take additional precautionary measures to keep our assets well protected, especially in this digital age. The first step to ensuring that you don’t get taken advantage of is being aware of the ways through which you can be scammed. Through this presentation, we will walk you through the different financial scams, the red flags and warning signs that you should be wary of.
Types Of Financial Scams & Fraud
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Phishing Spams & Scams Ponzi Schemes Card Fraud Inheritance Scams
Phishing Scams Here, scammers may try to contact you via emails and messages in order to collect your personal information and financial details. After they acquire the data, they can easily hack into your accounts to remove a substantial amount of cash and other financial assets. For your safety, do not reveal your personal details to strangers. Also, remember that banks do not usually contact you through these channels for your financial information. Don’t open spam emails and do ensure that you check with your bank if anyone does get in touch with you for your bank info.
Ponzi Schemes Ponzi scams involve fraudsters collecting funds from new investors in order to pay off the profits of their existing investors. To know that if you are being lured to invest in a Ponzi scheme, keep an eye out for the following warning signs: ● ● ● ● ●
A promise of exceptionally high returns Pressure to act fast and to keep investing more money Being requested to find more investors in exchange for offers that seem too good to be true Unclear business model Suspicious terms on the paperwork.
Card Fraud Card fraud can be described as an unauthorized use of your credit or debit card to siphon off funds. This usually happens when the fraudster has access to your financial information. There have also been cases where fraudsters have made duplicate cards without the knowledge of the account holder. They acquire the details with the help of devices called wedges or card skimmers which are attached to legitimate ATMs . You may unsuspectingly use the device to swipe your card and then it may record your PIN and card details. Therefore, do review machines carefully and check for signs of tampering before you proceed.
Inheritance Scams As reviewed by many financial experts at top finance and insurance conferences, inheritance scams involve conning people into believing that they have been left with a huge fortune willed to them by a relative who passed away. Posing as lawyers, the fraudsters will get in touch with you through letters that appear as though they have been sent by a reputed law firm. They request a fee or a small percentage of the lump sum from you and then disappear immediately. To keep yourself safe, note red flags in the letters such as spelling errors and grammatical mistakes. Do your research to know whether such a relative actually existed.
Thank You! Presented by: Shashank Tayal Manager, Money 2.0 Conference https://www.money2conf.com/