Cost of living support payments have started dropping into the bank accounts of millions of Brits today but many are being warned about the criminals exploiting the crisis with sophisticated scams.
MoneySavingExpert has warned households about criminals using the cost-of-living crisis to scam people with offers of rebates, grants and support payments.
Fraudsters have been requesting information through text messages, email, and over the phone as part of a recent hoax.
Government support payments are usually automatic, so be cautious if you have received a message requesting sensitive personal information.
The finance expert has issued the warning as the Department for Work and Pensions (DWP) starts releasing cost-of-living payments to millions of households across the country today (July 14).
DWP has also warned Brits to watch out for scam messages claiming to be the local government authority or the energy regulator Ofgem.
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Here are three cost-of-living scams to watch out for:
Texts asking you to claim cost-of-living support
The money expert has warned households of scam texts claiming to be ‘Gov.org’ or DWP, followed up by an email asking them to call a fake number to provide more information.
However, you do not need to apply to claim for the cost-of-living payment, which is initially worth £326.
If you are eligible for the support, this payment will be automatically made into your bank account.
Council tax rebate - councils will never ask for bank details
Scammers have been using the £150 council tax rebate to request for bank details over the phone.
A number of councils, including North Devon, Stevenage, and the Local Government Association have urged households not to give out this information.
The rebate will be paid automatically to those who pay their council tax by direct debit, and most of these people should have received their payment by now.
Meanwhile, most councils collect bank details using a secure online form for those who don’t pay through direct debit.
The finance expert recommends hanging up the phone if you receive a call and you’re unsure if it's genuine.
It is advised to call your council directly using the contact number on the website.
Ofgem isn’t offering a £400 energy rebate
Energy regulator Ofgem has told domestic energy providers to make customers aware of a scam text inviting households to apply for a £400 rebate.
Ofgem will never text you offering money or a rebate, so don’t respond or click on any links in the fraudulent text.
In May the government announced that households with an electricity supply would receive a £400 grant.
However, these payments will be sent in lump sums from October automatically - you will not need to apply.
What should I do if I think I’ve been scammed?
If you think you’ve been a victim of a scam, the MoneySavingExpert has provided some tips to help stop fraudsters in their tracks.
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End all communication with them immediately
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Contact your bank to cancel any recurring payments
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Call the new 159 hotline which allows people across the UK to quickly and securely check if a suspicious call is genuine
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Report the scam to the police through Action Fraud on 0300 123 2040, or report a scam anonymously on the Action Fraud website
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If you’re in Scotland, report the incident to Advise Direct Scotland on 0808 164 6000 or on the Advice Direct Scotland website. You can also report the scam to Police Scotland on 101
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For further advice and support, contact Citizens Advice Scams Action via the Citizens Advice website, or call its Scams Action helpline on 0808 250 5050.
