By Nick Drewe
Inventing Anna is the latest money scam series to drop on Netflix, that follows the story of how Anna Delvey managed to swindle hotels, private jets, restaurants, banks and more out of over $200,000.
But it seems the talk about money scams since the release of The Tinder Swindler has made everyone a little bit anxious. In fact, since The Tinder Swindler’s launched, searches for the term ‘money scams’ on Google have gone up by a staggering 733%.
Here are 10 ways to avoid a financial scam
Protect your personal information
One of the easiest ways to avoid any kind of financial scam is to make sure you protect your personal information including your name, email address, phone number, address and bank details.
Any information that allows you to access your bank or money should also be kept safe and should not be given to anyone else. Your bank will never contact you to disclose your passwords, so if you receive an email or text asking for them from your “bank” the likelihood is it's a scam.
Don’t be pushed into making hasty decisions
When you get caught up in a scam, it can be easy to make financial errors or disclose personal information when put under pressure.
It is therefore important that when you are making any kind of financial decision you take your time to consider if what you are signing up for is legitimate. Remember, if an organisation is real and genuinely wants to help you, they will never push you into anything.
Contact a company directly to see if it's genuine
Over the past few years, financial scammers have gotten really good at appearing as a legitimate bank or organisation, by spoofing a number or making it appear as though your bank is calling. This makes it a lot harder to know whether something is real or not.
If you are in any doubt about whether contact or organisation is real, always contact them directly to check whether they have tried to get in touch with you.
If something looks too good to be true it usually is
Have you ever received those texts or emails that tell you you’ve won the lottery or a new iPhone when you never entered? This is another tactic used by scammers as a way to get a hold of your personal information.
If you are ever proposed with a financial situation or offer that seems too good to be true, whether it be in the terms of an agreement or how much money you are receiving the likelihood is it probably is.
Always shred bills or bank statements
Whenever you receive any kind of correspondence that discloses any personal or financial information, it is important that it is shredded before being disposed of.
By doing this, it means that no one is able to get hold of that information, copy it, and pretend to be you. If you are still worried, most banks now also offer paperless statements that can be checked online at any time.
Regularly check your bank statements for unusual activity
How often do you actually check your bank statements? If your answer is once a month, then its not enough and its probably time you did it a little bit more.
Regularly checking bank statements for any suspicious or unusual activity on your account can be a great way to keep on top of scams. If you ever see anything that doesn’t seem right or you don’t recognise, contact your bank immediately.
Be careful when transferring money
With the development of banking apps over the past few years, it is becoming easier and easier to transfer money between bank accounts.
But watch out, if a person or organisation contacts you and tries to get money from you by transferring it to them, make sure before you do, you verify their identity or contact the institution to check their authenticity.
Don’t give financial information to an individual you don’t know
Whenever you are contacted by a company or individual asking for money, make sure if you move forward with the transaction that the business is legitimate or it is a person that you know and trust.
Sometimes scammers will pose as your bank or will claim to be from legitimate government agencies and ask for your personal information to be updated. Again if you are ever not sure make sure to contact the company directly and check for authenticity or refuse to send money to someone who you do not know.
Don’t click on hyperlinks sent to you
You’ve probably had a fair few of those texts by now, that contain a link for you to click on after warning you about a payment that needs to or has been made. Some have got so good it's hard to know whether it's real or not.
However, it is always important that you do not click on any link that you have received as it may be a way to steal personal information or gain access to your bank account. One way of identifying a scam is if it comes from a random +44 number, instead of a named legitimate organisation.
Make your passwords strong
Finally, one of the best and most effective ways to avoid financial scams is by making your passwords as strong as they can be, and regularly updating them.
Including information like your birthday or a word, that's easy to guess in a password can make it a lot easier for scammers to hack your accounts. It is, therefore, most secure by creating secure passwords that contain letters, numbers and characters that make it harder for hackers to guess.
Nick Drewe is a money-saving expert at WeThrift
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