Gardai share six most common forms of fraud in Ireland and how to avoid being caught out

An Garda Siochana have listed the top forms of fraud catching people in Ireland out, and have even resulted in some losing large sums of money.

Covid-19 brought about a whole new realm of fraudsters who continue to target people young and old via phone calls, texts, and email.

They have many clever ways of tricking people into divulging private and confidential information whether it be bank details, credit card details, and even logins for other private accounts.

So if you’re looking to educate yourself on the things to look out for as well as the best way to deal with it if you are targeted, here are the top six forms of fraud being reported in Ireland and what to look out for.

Payment Card Fraud

With payment card fraud criminals use stolen or counterfeit payment cards to make direct purchases or cash withdrawals.

They also sometimes use stolen card data to buy items over the phone or via the internet.

Gardai confirm six most common forms of fraud in Ireland and how to avoid being caught out (DPA/PA Images)

Crime Prevention Officers have issued the following advice to avoid being caught out by this type of fraud, and say you should:

• Keep your card in a safe place at all times. Do not leave it lying around. Report it to your bank immediately if it is lost or stolen
• Keep your PIN safe
• Sign any new cards as soon as they arrive from your bank or card issuer
• Cut up the old cards as soon as the new ones become valid
  
• Cover your PIN when making in-store purchases or using an ATM
• Keep your card in sight when paying for goods or services

Invoice Redirection Fraud

This occurs when fraudsters contact businesses or sellers by email, phone or other means of communication.

They pretend to be a supplier of goods or services that you already do business with and request that the bank account details recorded for the legitimate supplier are changed on your financial system.

The next time an invoice arrives from the legitimate supplier, the payment is sent to an account controlled by the criminal instead of the supplier.

This results in significant financial loss which may not be identified until a reminder email is received from the legitimate supplier.

According to gardai, in order to avoid falling victim to invoice redirection fraud, you should:

• Ensure that all staff are aware of this type of fraud and that all requests to change bank account details are brought to the attention of a supervisor for consideration
• Always make a phone call or direct contact with a known contact at the suppliers that has requested the change of account details to verify whether the request is correct
• Ensure the contact is made independently and never respond directly by using the contact details contained in the email

CEO Fraud

Gardai confirm six most common forms of fraud in Ireland and how to avoid being caught out (gettyimages.ie)

This is similar to Invoice Redirection Fraud, however, in this case, the scammers target junior employees in the finance department of a company with an email purporting to be the Chief Executive Officer.

It will state that an important deal or some other urgent matter is pending and that a substantial payment has to be processed immediately.

In many cases, the employee acts on the email and transfers a substantial sum of money to the specified bank to close the deal, because they think the order is coming from the CEO.

To prevent yourself or other members of your company from being caught out:

• Training is a key element to avoiding this type of fraud by educating both CEO’s, senior executives and staff about emails or communications of this nature
• Staff should be told to question requests of this nature
• Companies should have very clear policies and procedures in place for verifying payment transfers or high-level requests

Phishing

This is one of the most common types of fraud and involves criminals making contact by email and can take a number of forms.

The email may appear to be from a reputable company however when you click on the email or attachment or link within the email, malicious software - or malware - is downloaded onto the PC or other device allowing the criminal to track online activity and obtain personal or financial information for fraudulent purposes.

You should never:

• open unsolicited emails
• respond to any unsolicited email seeking personal, financial or security advice
• click on a link or attachment in an unsolicited email
• believe the email is from a genuine source. You should always verify this independently. Independently means independent of the email sender

And remember, if it sounds too good to be true it probably is.

Vishing or Smishing

Gardai confirm six most common forms of fraud in Ireland and how to avoid being caught out (DPA/PA Images)

This type of fraud involves criminals contacting you by phone (vishing) or by text (Smishing) pretending to be your bank, credit card issuer, utility company or often a computer company.

They will generally try and trick you into giving personal, banking or security information.

They may also convince you to make a money transfer to them or inform you that you have won a prize and need to send money to release it.

Officers have warned that you should:

• Always say “NO” to unsolicited callers or texters seeking private information about you. Private information includes your name, address, date of birth, family details, bank account numbers, PIN, Passwords
• Independently verify any requests for information and never use the contact details supplied to you by the caller or texter. Independent means independent of the caller or texter

You should also be aware that the caller may already have some information about you so don’t trust them because they use your name or other personal information.

An Garda Síochána or your bank will never look for your Banking PIN number or Password or ask you to transfer money, or come to your home to collect your payment card, cheque book or cash.

Advance Fee Fraud

This involves criminals targeting victims to make advance or upfront payments for goods, services or financial gains that do not materialize.

These can take many forms including:

• Rental Fraud where would-be tenants are tricked into paying a fee to rent a property that doesn’t exist
• Romance Fraud is where a victim unknowingly forms an online relationship with a criminal who is using a fake online profile and then asks for money for sick relatives or to come and visit
• Inheritance Fraud where the criminal pretends that someone very rich has died and has left you a large sum of money and will organize the payment of the inheritance for a fee
• Lottery Fraud where the victim is told that they have won a lottery or prize draw and need to pay money to release the funds
• Ticket fraud where tickets are bought online that do not materialize
• Ghost Broker /Car Insurance frauds where the insurance product does not exist or cover what it claims to do
• Investment fraud is where investment opportunities are advertised online which do not exist

To avoid falling victim to this, gardai warn once again that, if it seems too good to be true it probably is, as well as:

• Beware of unsolicited offers of service or benefits.
• Ensure that you have independently verified the identity of the person or company you are dealing with and if that is not possible end contact immediately.
• Never give any personal financial or security information to any person or company unless you have satisfied yourself that they are genuine.
• Be wary if you are asked to transfer money to non-identifiable locations such as PO Boxes or through Money Transfer companies rather than bank accounts.