Common Types of Financial Fraud in Ireland: Worrying Rise in Scams
Ireland has seen a significant increase in financial fraud cases over the past year, with nearly €45 million stolen in scams during the second half of 2021 alone. According to the annual report from FraudSMART, the fraud awareness initiative led by Banking & Payments Federation Ireland (BPFI), the total value of debit and credit card fraud reached €14.5 million in 2022, up 18.5% on the same period last year.
Most Common Types of Financial Fraud
The most common types of financial fraud include:
- Vishing: Phone calls and voice messages
- Smishing: Text messages
- Phishing: Emails Scammers are using more sophisticated tactics to con people out of their money, with many victims losing hundreds or even thousands of euros.
Who is Most Likely to Fall Victim to Financial Fraud?
According to Permanent TSB, those under 45 are more likely to fall victim to financial fraud than older people. The research found that:
- Three-quarters of consumers had experienced an attempted financial fraud
- Over a quarter (27%) had been victims
Evolving Scams
The scams continue to evolve, with new types emerging all the time. For example, credit unions have recently been used as bait by scam artists, with fraudsters sending text messages and/or making phone calls claiming to be from a credit union and asking for personal details.
Common Scams to Watch Out For
Some of the most common scams include:
- Romance Scams: Victims are targeted online and lured into fake relationships by criminals using bogus identities.
- Fake Rental Scams: Criminals exploit the housing crisis to get people to pay deposits for rental properties that do not exist.
- Caller ID Spoofing: Calls come from Irish mobile or landline numbers carrying dire warnings about compromised PPS numbers and imminent arrests.
- Fake Invoice Scam: Criminals send emails to businesses and individuals purporting to be a legitimate supplier, asking for changes to bank account details.
- Smishing Scams: Text messages come from banks asking people to follow a link or submit personal details on the basis that suspicious activity has been noted on an account.
- Bogus Delivery Scams: You get a text message from a delivery company claiming a delivery has been attempted but you weren’t home, or warning of customs charges attached to a delivery.
- Cryptocurrency Scams: Promises of large returns on crypto investments are becoming more common and are a rich seam for criminals.
- Missed Call Scam: You miss a call from an unknown number and when you return it, you get through to an answering service, paying exorbitant rates for doing so.
Prevention Tips
Experts warn that no reputable organisation will ever contact you out of the blue asking you to follow a link or give personal details over the phone. If you receive such a request, hang up immediately.