The City of London Police has issued a stark warning about the perils of ‘get rich quick’ scams following a 50% rise in investment fraud on the last year.
Figures show that £891mn was lost to scammers in the 2021/22 financial year, nearly double the £596mn lost the year before. According to the National Fraud Intelligence Bureau, there were over 26,000 reports of investment fraud in that period, meaning an average loss of £34,000 for each case.
The most common fraud is falling victim to an advertising scam on social media. After clicking on a fraudulent ad personal banking details are obtained by the scammers.
It is important that everyone is able to spot the warning signs of a potential scam to help protect both individuals and businesses.
➢ Beware of an unsolicited approach by phone call, text, or email – some scammers will even come to your door to try and sell a fraudulent investment.
➢ Be cautious of anyone pressuring you into making a quick decision.
➢ If you are being offered a high return on your investment, but are told it is low risk, this is also a scam red flag.
For further guidance on managing cyber threats, please contact the NEBRC at [email protected]
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The NEBRC is a non-profit organisation that seeks to inform, educate, and support businesses in the UK on how to stay safe against digital threats through strong cyber security practices.