Seven in ten have been targeted by scams

More than seven in 10 adults have been targeted by scams in the last 12 months, receiving an average of three scam attempts each week, according to data from NatWest.

Scams through digital platforms, social media firms and telecommunications companies make up the entirety of the top 10 financial scams Brits say they experienced this year, with phishing scams (37%), trusted organisation scams (21%) and refund scams (13%) the most prevalent – as over a quarter (28%) of the nation say they’ve seen an increase in the amount they are being targeted compared to last year.  

The research showed that almost two thirds (63%) of Brits feel apprehensive about their financial online safety – with 60% worried about losing money to a scammer online. 

The bank commissioned the study to highlight the rapid evolution of the methods which scammers use, evident in the range and complexity of the most common scams criminals are currently using to con people out of their cash. The top scams are:

1. Phishing scam (37% of Brits targeted)Fake emails, calls, messages or websites that seem to be from legitimate organisations which ask you to provide personal/financial information.

2. Trusted organisation scams (21%) Criminals contacting you impersonating trusted organisations such as HMRC, energy companies or service providers saying there’s something wrong with your account, you owe a fine or similar.

3. Refund scams (13%) Criminals impersonating trusted organisations telling you that you’re due a refund and asking to share your personal or banking information, such as your one-time-passcode, to receive the refund.

4. Friend or Family scams (12%) Messages sent to your phone or via social media claiming to be someone you know asking for money urgently to pay bills.

5. Get Rich Quick scams (9%) Criminals claim that you’ll make money quickly by investing in a company or goods, with the promise of making far more than you put in.

6. Purchase scams (9%) Criminals place adverts for fake consumer goods and products online, on popular social media and even auction sites to gain money or information. Products often include tech like games consoles, vehicles, concert and event tickets and designer clothing, pets or even holidays.

7. Investment scams (8%) Criminals encouraging people to invest money into fake opportunities or pyramid schemes.

8. Safe Account scams (7%) Criminals call pretending they are your bank or the police and that there has been fraudulent activity on your account, and to protect your funds you must move them to a new account to keep them safe.

9. Lottery cons (7%) Falsely being informed you have won a lottery prize, with a request to send over sensitive personal and/or financial information to claim your prize.

10. Befriending scams (6%) Criminals create fake accounts on social media and send connection requests, and after building up a friendship they ask for money, login information or other favors. 

The study revealed that 13% of Brits have lost money to fraud, with 7% having lost as much as £5,000 -and a previous NatWest study revealing an average loss of £350 per person.

It also emerged the top cons on the rise this year include purchase scams where criminals place false adverts for products and services that don’t exist, with 24% of Brits seeing an increase in the number of these this year – and four in five (21%) have seen an increase in phishing scams, where false emails and calls are made from what seems to be from a legitimate company.

Trusted organisation scams are also becoming more common – where the con artists pretend to be from a company you use and tell you there is a problem with the service.

61% of Brits agreed that they now see more digital scams (online, social media or via messaging platforms such as WhatsApp) than real life scams (e.g., people coming to the door and asking for money).

Stuart Skinner, Fraud Expert from NatWest, which commissioned the research after its own data showed an increase in the number of scams that customers were being targeted, said “We continue to see scams on the rise, especially through digital and social media channels. With the increase in new digital tactics used by fraudsters, it’s becoming increasingly harder for consumers to spot, avoid and track.”

“Messaging platforms including WhatsApp and social media sites are providing more channels for scammers to operate and reach people through. It can be hard for people to keep up with what they should be looking out for next.”

With digital scams on the rise, 16% know someone who has refused to shop online because they are concerned about being targeted and one in ten (10%) know someone who won’t book their holiday online to avoid being scammed.

While many people are apprehensive about their financial online safety, 42% still don’t think they would fall for a scam. However, 61% are concerned about their vulnerable relatives becoming a target.

Impersonation scams include when scammers pretend to be friends and family, a trusted organisation and service providers account for over 40% of scams amongst the over 55s.

8 in 10 of those polled are also concerned impersonation fraud may become harder to detect in the next five years because of the rise in AI – with 18% saying they have replied to a message from impersonator in the past, initially believing it to be a friend of family member.

NatWest has seen a particular increase in impersonation scams with the over 65s targeted by trusted organisation scams at the highest rate and fraudsters impersonating companies like HMRC, police, service providers, energy companies or even your bank, to try and swindle away money.  

Adults aged 18-24 were targeted with the highest number of purchase scams (8% higher on average than last year), which are when criminals place false adverts for consumer goods and products online to scam the buyer out of money or personal information. Goods can include gig or festival tickets, vehicles or designer clothing – with the majority of these scams starting online or via social media.

NatWest says that they continue to see criminals utilising phishing (tricking people into revealing sensitive information or downloading malicious software through emails or text messages) to gather information about consumers to appear trustworthy when they then contact them – and will also often use timely events as a guise, such as the UK Government’s ‘Energy Bill Support Scheme’ or missed delivery texts.

According to 81% of adults, more should be done to stop scams at their source – though 83% of Brits also want to become more vigilant at recognising impersonator fraud themselves.

Anna Roughley , Head of Insight, The Lending Standards Board said “Prioritising prevention and detection in the battle against APP fraud has never been more pressing. These alarming numbers not only highlight how APP fraud is impacting the everyday lives of the British public, but also the critical need for cross-sector collaboration in tackling it.”

“Key industry stakeholders should rally behind the need to retain the safeguards delivered by the CRM Code (Contingent Reimbursement Model Code) beyond reimbursement alone. Upholding an industry code will ensure that companies across the financial services maintain their commitment to the consistent implementation of measures to thwart fraudulent activities at the forefront. A collaborative approach, from understanding the scale of the issue to maintaining a united front against fraud, is pivotal to our collective efforts in addressing this growing threat.”