WARNING: The sick scammers targeting elderly and poor this Christmas
COLD-HEARTED fraudsters are setting out to wreck the Christmas of millions of hard-up families and pensioners, experts have warned.
Elderly people are a target for fraudsters
Scammers have created a deluge of loan companies and scams targeting borrowers looking for help with the cost of the festive season, according to the Consumer Finance Association.
The sites promise instant cash without credit checks in an attempt to target desperate people who have been turned down by mainstream lender.
But victims who are lured in by the bogus marketing are likely to find to be stung.
Fraudsters may ask for fees to release loans that never appear. And in other cases, the unregulated firms mean consumers are at high-risk borrowing and collection methods.
Russell Hamblin-Boone, chief executive of the Consumer Finance Association, said: “These dodgy sites offer no protection to borrowers, but they can be enticing to unsuspecting borrowers, particularly those with poor credit histories who are tempted to take loans that they may not be able to afford."
At the same time, there is set to be a spike in stolen identities used to make fraudulent applications for mortgages, current accounts and insurance policies, according to Experian.
Trusting older couples and pensioners are a key target, said the credit history provider.
Nick Mothershaw, director at Experian, said: "It’s that time of the year when fraudsters like to give themselves a Christmas present…using someone else’s identity.
“We’ve seen ID fraud attempts soar this year, led primarily by current account fraud, which gives ID thieves a stepping stone to a wider range of financial products.
"The brunt of recent increases have been felt by older members of society, who often have a good credit rating and have lived at the same address for a long time.
"They now account for one in 20 detected current account frauds in the UK."
Scammers are trying to trick people struggling with the cost of Christmas
Heartless scammers are trying to con people out of money at Christmas
How to avoid falling victim of fraud this Christmas
*Avoid websites that are full of spelling mistakes and bad grammar
*Reputable credit and loan sites will be authorised by the Financial Conduct Authority (FCA) and have an authorisation number - check that it is a genuine lender on the FCA’s website
*Genuine websites begin with ‘https’ rather than ‘http’ and and should have a padlock icon in the address bar when you enter card details
* Don't update software through emails, which could be fake, as it's likely to lead to malware on your device
*Avoid paying by money transfers which aren’t secure, and reputable sellers won’t ask you to do this, according to Nationwide. It's a better idea to use an online payment option such as PayPal, or a credit card which offers greater protection.
*Never give out account details – no building society or bank will ask for your personal banking details and information. If you’re being asked for them, it’s likely to be a scam.
Falling for a scam can wreck Christmas