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Money Tips Monday: Protecting yourself against scams, frauds

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Money Tips Monday: Protecting yourself against scams and frauds
It's the last day of March, which is Fraud Prevention Month. On this week's Money Tips Monday, Travis Lowe offers some tips on how to stay safe and avoid being scammed. – Mar 25, 2024

Heather Seminiuk doesn’t mince words when it comes to fraud.

“I kind of liken it to a new financial pandemic, if you will,” said Seminiuk, who works for Valley First, a division of First West Credit Union.

A branch manager in Keremeos, B.C., Seminiuk teaches seminars on the subject.

“Investment scams, grandparent scams, tech support scams, home improvement scams and the biggest one is the romance scam,” she said.

Click to play video: 'SIM swap  scam nets $140k from Toronto couple'
SIM swap scam nets $140k from Toronto couple

Another scam involves spoofing – a term that describes how a fraud artist unlawfully uses a legitimate phone number to contact potential victims.

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Usually, the legitimate number is an official source, such as a local police detachment, which could result in the victim believing it’s an official call when it’s actually a scam.

For example, in December 2023, police in Windsor, Ont., issued a statement to local residents, saying “their phone number has been spoofed and is being used unlawfully to intimidate and defraud victims.”

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They said RCMP would never ask residents to make payments, ask for personal information (like a social insurance number) or show up at your home to collect money for a relative in jail.

“If you suspect you are being scammed, hang up, wait 10 minutes and call your local police service,” the RCMP said.

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Bank investigator scam has new twist: pickup and delivery

That’s just one of many ways scammers are trying to separate you from your money.

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“They spend all day, their entire day, working on how they scam the next person,” Seminiuk said.

“How do they fine-tune their scams and who do they prey on? This is their job, this is what they do full-time.”

The financial impact of fraud across Canada is staggering.

According to the Canadian Anti-Fraud Centre, last year saw more than 62,000 reports of fraud, with more than 41,000 people being victimized to the tune of $554 million.

And that’s just what was reported. The Canadian Digital Service says there are many reasons why victims don’t report what happened.

Click to play video: 'Ask an Expert: Fraud prevention month'
Ask an Expert: Fraud prevention month

Further, the bad news is that fraud is becoming more prevalent and more sophisticated, which means it can become more difficult to detect.

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But here’s the good news: There are some easy ways to protect yourself.

“Make sure your anti-virus software is up to date and enable your multi-step verification wherever you can,” Seminiuk said.

“Use complex passwords for all of your log-in information. And go online and enable your alerts through your online banking.”

So, do your research. Don’t give out personal information, beware of upfront fees, be careful about how you share images and protect your online accounts.

And be ready to recognize spoofing because someone out there wants access to your hard-earned money.

More information about how to protect yourself from scams is available online at the Canadian Anti-Fraud Centre.

 

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