The latest scam tactics to look out for in 2024

The government has launched a new campaign to help people spot and report fraud as it warns the crime costs society £6.8 billion. 

The Home Office has unveiled Stop! Think Fraud, which highlights that scams account for 40% of crime in England and Wales and an estimated 3.2 million offences each year.

Counter-fraud experts are "uniting under one voice to provide consistent, clear and robust anti-fraud advice to the public", the Home Office said.

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Previously, police, banks, insurers and fraud charities had their own strategies to raise awareness of fraud but this "caused confusion" concerning what to do when people are scammed, the Daily Mail said.

The Stop! Think Fraud website has been launched to refer people who have been affected by fraud to relevant organisations for further advice and support.

Some critics have warned the development is "too little too late", said the Daily Mirror. Rocio Concha, director of policy and advocacy at Which?, said that "the onus shouldn't fall just on consumers to protect themselves" and the government should "urgently plug the gaps in fraud prevention" such as in telecoms and online advertising to make it harder for scammers in the first place.

Scammers are taking advantage of people's "increased vulnerability" amid the cost-of-living crisis, said Forbes Advisor, with new ways to target unsuspecting victims.

Here are some of the main scams to watch out for.

Parcel scams

Parcel delivery tricks were "by far the most common scam" reported by the public last year, said Citizens Advice.

This scam involves texts or emails that claim to be from a delivery company, telling people they must reschedule a delivery or pay additional fees "in an attempt to get people's personal information or bank details".

There has been a "spate of scam text messages" claiming to be from courier company DPD about missed deliveries, said Rest Less. "If you're in doubt", don't click on suspicious links, and report fraudulent messages to report@phishing.gov.uk.

Loan fee fraud

"Opportunistic criminals" use loan fee fraud to charge people for fake loans they never receive, added Forbes Advisor.

This scam is "usually more prevalent in the summer", added the financial website, as consumers look towards credit to manage the extra costs such as holidays, childcare and entertainment. 

Scammers often try to target individuals who have applied for loans online and "may contact you unexpectedly", said the Financial Conduct Authority (FCA). Tactics involve putting pressure on a victim to pay a deposit to secure a fictitious loan.

Similarly, the City of London Police has warned of ghost brokers who may try to sell insurance policies "through adverts in pubs, clubs or bars, newsagents and car repair shops". 

In both cases, you can check if a firm is authorised to provide loans on the FCA's Financial Services Register.

APP fraud

Thousands of people are hit by authorised push payment (APP) scams each year, said the Payment Systems Regulator, which can have a "devastating impact on people's lives".

It involves scammers pretending to be individuals or trusted organisations such as a bank or the police to persuade people to transfer money.

The total number of APP cases was up 22% in the first half of 2023, said banking trade body UK Finance, to 116,324, with £239.3 million stolen from accounts. 

You should "question to the highest level", said Experian, if someone phones you unexpectedly to ask you to transfer money. Phone the bank or firm directly and "never rush a payment, as a genuine organisation won't mind waiting".

Romance scams

Romance scams can create "big payouts" for fraudsters, said The Independent. This type of fraud is on the rise, with increased cases targeting men, according to Nationwide.

It involves criminals building online relationships and inevitably requesting money, "often using an emotional backstory in order to manipulate their victim".

Scammers will often ask the target to move to a different website and communicate via text or WhatsApp, said Rest Less. You should let the platform know if someone asks you for money or personal information "so they can prevent the fraudster from targeting anyone else".

In addition, people are encouraged never to part with personal details or sensitive information if they do not know the person they are communicating with.