Card phone fraudsters target Brits over 60
The generation of Brits over 60 years old is the preferred target for card fraud phone scammers. More than £750,000 has been lost to this type of fraud in 2011.
Card fraud phone scams cost an average of £10,000 per incident. Fraudsters make a tangible profit from this type of scam and are now firmly targeting the over 60s generation of Brits as their potential victims.
How does it work?
The victim receives a call that claims to be from their bank. The fraudster says either that their systems have detected a fraudulent transaction on their card or that their card is due to expire and needs replacing.
The victim trusts that person and believes they could help them. Then, the fraudster asks them to ‘activate’ or ‘authorise’ the replacement card in advance by keying their PIN into their phone’s handset.
Once they know the PIN number, the fraudster picks up the victim’s card from them at their home pretending to be a bank representative or a courier.
Information is protection
To avoid this type of crime, British cardholders should be aware of what to expect from their banks.
Experts say that banks will never come around to pick up cards, neither will they ask you to ‘authorise’ anything by entering your PIN into the telephone.
According to a recent report from The UK Cards Association, while card fraud and online banking fraud losses fell, cheque fraud and phone banking fraud losses increased in the last few months.
Cheque fraud losses increased by 17% in that same 2011 period, rising from £14.0 million in the first half of 2010 to £16.4 million. Telephone banking fraud losses rose by 48% (8.6 million) during January to June 2011.