Can you spot a scam artist?

This is a transcript of text in the video titled "Can you spot a scam artist?"

Scam artists are using increasingly sophisticated methods to try to gain access to your money and personal data.

These methods include bogus websites, social media adverts, texts, calls and emails.

Scam artists might try to persuade you to buy a financial product or invest your money.

Or they might promise you a loan or encourage you to purchase a cheap – but fake – insurance policy.

If you receive an unexpected text, call or email, take the SAFE test.

S – Stop Stop, think and ask yourself:

What is this firm offering? Who is contacting me? Where did they get my contact details? Could this be a scam?

A – Assess Assess the information you are being given and check Central Bank of Ireland’s online registers to see if the firm is authorised. Even if the firm appears to be authorised, make sure it is genuine and hasn’t copied the details of a real firm.

F – Fact-check Fact-check the offer. Never provide your personal information or agree to send money unless you are sure the firm is authorised and genuine.

E – Expose and report

Expose scam artists by reporting them to us.

We have powers to investigate and take action against financial fraudsters.

And remember – the Central Bank will never contact you asking for money, your personal data or your PPS number.

What are investment scams?

Investment scams arise when you are offered an exciting “investment opportunity” promising a good return on your money for very little risk. The investment could be in anything from shares or bonds to cryptocurrency. In reality, there is no investment opportunity and the scam artist simply wants you to transfer your savings to them.

How do investment scams work?

You are contacted by a “firm” offering you an investment opportunity to make a good return on your savings. You may be researching investment opportunities online and stumble across the scam artist’s website or their social media ad/profile.  You may have clicked on “Learn More” in a pop-up advert, providing contact details to receive more information.  You may have been encouraged to join an investment advice group (on platforms like WhatsApp).  The adverts may have featured fake, AI-generated endorsements from well-known figures, known as deepfakes. 

The scam artist may pose as a legitimate firm and their website may be virtually indistinguishable from a genuine firm’s website – this is what’s called a “cloned” firm/website. The fraudster might say that the opportunity is only available for a limited time and that you need to invest quickly in order to take advantage of it. The scam works by getting you to transfer your money directly to the scam artist.

Sometimes these scams artists, often through the use of fake investment platforms, request upfront fees for administration, insurance or processing before you can invest or withdraw your funds. In reality, there is no investment opportunity, and you get scammed out of the fee (and any investment you may have made).

How can you protect yourself from investment scams?

• Always get independent financial advice before investing your money.
• Be wary of unexpected investment opportunity offers.
• Be suspicious of any investment promising guaranteed returns or large profits.
• Watch out for potentially fake ads, including those featuring well-known figures promoting investment offers or ads that clone the name and branding of legitimate firms. Avoid clicking on these types of advertisement links and always do your own research on the company or investment.
• Be wary of investment platforms that request upfront fees for administration, insurance or processing before you can invest or withdraw your funds. Legitimate investment firms do not typically request such fees upfront.
• Make enquiries about the firm that is engaging with you.
• Check the firm’s regulatory status using Central Bank of Ireland’s register of authorised firms. But remember, scam artists often impersonate legitimate firms so, if you find the firm listed on the register, you should still do additional checks.
• Do not provide personal information about yourself or agree to send money until you are absolutely sure the firm is genuine.

What are loan scams?

Loan scams target people looking for cash loans. This type of scam is a form of “advance fee fraud” where you are offered a cash loan but only after you pay an upfront fee or administration charge.

How do loan scams work?

You apply for, or are offered, a cash loan through a website, with the promise it will be processed quickly. The website may state that you don’t need to have a good credit rating, or to provide much documentation apart from basic personal details, in order to be approved. The firm may claim to be regulated by Central Bank of Ireland. After you submit your application, you receive a call, text or email telling you that your loan application has been approved, with details of the amount of the loan and the monthly repayment. However, before the money can be issued, you will be asked to pay a fee upfront. The scammer may say the fee is an administration charge or some other type of fee that is necessary to “release” the money. In reality, the loan doesn’t exist and you end up scammed out of the fee.

How can you protect yourself from loan scams?

Beware of cash loan offers from firms that:

• Try to push you into making a quick decision
• Say there will be no credit checks
• Promise to give you a loan even if you have a bad credit rating
• Ask for a fee upfront to release the loan funds.

Credit providers that are regulated by the Central Bank are not allowed to charge any administration fees if you are applying for a loan. If you are asked to pay a fee, do not use that provider as it is likely to be a scam.

What are phishing, smishing and vishing scams?

Phishing, smishing and vishing are amongst the most common techniques used by scam artists. The scam artists use emails, text messages, or phone calls to trick you into giving them valuable personal information such as your online banking passwords, credit card details or PPS number.  

How do phishing, smishing and vishing scams work?

Phishing occurs when scam artists send emails – that appear to be from legitimate sources – to trick you into giving up personal data, such as login details or credit card information.   

Smishing occurs when you receive text messages that look to be legitimate, such as from Revenue, An Post, or your bank.  Scam artists use these fraudulent text messages to trick you into revealing personal or financial information or to get you to click malicious links.

Vishing, short for voice phishing, refers to fraudulent phone calls or voice messages designed to trick you into providing sensitive information, like login credentials, credit card numbers, or bank details.

These attempts can be difficult to spot and may even appear within a genuine “thread” of text messages you may have received from a legitimate organisation. The message may say your account has been compromised and you need to reset your password. Or it may say that you need to pay a customs charge for an item you’ve ordered online to be delivered. The aim of the scams is to get you to provide your online banking details, credit card information or other personal financial information. The scam artist then uses this information to access your account and steal your money.

How can you protect yourself from phishing, smishing and vishing scams?

• Be suspicious of text messages received out of the blue that claim to come from a reputable organisation, such as your bank or credit/debit card issuer, An Post or Revenue.
• Do not respond to texts, emails or phone calls requesting personal information such as your bank account details or other passwords.
• Do not call any phone number or click on any link embedded within a text message.
• Be cautious of messages that prompt you to visit a website to resolve an issue or verify your details urgently.
• Only reset your online passwords if you initiated the reset.

What are fake comparison website scams? 

Scam artists use fake comparison websites to collect your personal and financial details. Using the information you have provided, they then contact you with offers for fake investments, often impersonating legitimate banks or firms. 

How do fake comparison website scams work?

Price comparison websites have grown in popularity in recent years. They are used by people to try to get better value when buying insurance, financial services, utilities and other products.

Fake comparison websites seek to collect your personal information for financial fraud or to steal your payment details. Scam artists create convincing but fake comparison websites designed to capture your contact and personal information for fraudulent purposes. They will use your information to contact you and try to sell you a financial product or service that does not exist.  People are more susceptible to buying these non-existent products because they are expecting to be contacted after providing their contact details on a fake comparison website.  Therefore they might not conduct any additional verification checks after being contacted.   

How can you protect yourself from fake comparison website scams?

• Only use well-known and reputable comparison websites, or go directly to the official websites of vendors of the financial services/products you are interested in.
• If an offer seems too good to be true, even on what appears to be a legitimate website, it is probably a scam.

• Check the domain's creation date to see if it aligns with the firm’s claimed history. A new domain for an established firm is suspicious.