Financial scam warning as cybercriminals exploit COVID-19 pandemic fears

GoCompare is urging people to stay safe online as official statistics show a dramatic increase in phishing and online shopping scams, with cybercriminals looking to capitalise on coronavirus fears.    

According to Action Fraud’s figures for March 2020, coronavirus-related fraud reports have increased by 400%, with victims’ losses totally nearly £1million. 

Criminals are operating a variety of scams from online shopping for goods that never arrive or for fake treatments for COVID-19, bogus emails, texts, and apps claiming to have important coronavirus updates, which once clicked on lead to devices being infected, to emails purporting to be from HMRC, either offering a tax refund or threatening jail if bank details aren’t provided to settle a ‘tax issue’. 

Coronavirus-themed phishing emails and texts trick victims into opening malicious attachments that enable cybercriminals to steal personal information and/or financial details.  

Fleur Lewis, Head of Fraud at GoCompare commented, “Fraudsters look for any opportunity to exploit the public’s concerns and anxieties.  Sadly, we’re already seeing a host of scams preying on the public’s fears of the coronavirus in order to steal people’s key personal data and money.   Being aware that cybercriminals are exploiting fear of COVID-19 and knowing the key warning signs of the scams can help people from falling victim.

“Cybercriminals are impersonating genuine organisations, including banks, government departments, and health service providers, to operate coronavirus-themed scams in order get victims to disclose sensitive data or to click on links which may contain malware.  So, we’re urging people to be extra vigilant and make sure their online devices and apps are regularly updated with the latest software – which usually contain important security updates.

 “Lots of organisations are sending emails at the moment with COVID-19 updates and there are people having to shop online now, who may not be that familiar with the process.  Criminals know this and are out to exploit the situation.  As a result, people should be wary of unsolicited emails and texts and remember that banks and other official sources would never ask for personal information to be supplied by email.    

“Visiting official sites such as ‘Get safe online’ https://www.getsafeonline.org/ and Cifas https://www.cifas.org.uk/insight/fraud-risk-focus-blog/uk-budget-2020 have some useful advice and guidance on fraud threats and more information if you’ve been a victim of fraud.”

GoCompare’s tips on reducing the risk of becoming a victim of fraud:

1. Protect your personal information and account numbers

Never provide debit or credit card numbers or PINs or other personal information in response to an unsolicited email, text, online or telephone request.  Genuine organisations including banks and card providers never request information in this way. Access your online financial accounts by typing the web address into your browser. Shred documents containing personal or financial information you no longer need. Always protect smartphones and other mobile devices with the highest form of security available.   

2. Protect your passwords and PINs, keep them strong and keep them secret

Choose strong PINs and passwords.  Don’t use obvious or easy to guess numbers (e.g. birthdates, anniversary, or consecutive, ascending or descending number sequences).  Strong, hard to crack passwords contain a combination of upper and lower-case letters, numbers and symbols. Memorise your passwords and PINs – don’t write them down or disclose them to anyone else.  Don’t use the same password and PIN for all your accounts and payment cards.  And, don’t use the same passwords for social media sites and online banking.

3. Online safety measures

Regularly update your computer’s firewall or antivirus software.  When shopping online, always look for secure transaction symbols.  The web address should display the secure payment ‘padlock’ logo or start with ‘https’.  If possible, always shop or bank online from your personal computer. Always log-off from a site once you’ve completed a transaction.

4. Regularly review financial statements

Check credit card and bank statements on a regular basis and look out for unusual or unauthorised transactions.  Contact your provider immediately if you suspect fraud.  Note when you should be receiving a new payment card.  If it doesn’t arrive when you expect it, contact the card provider as soon as possible.

5. Be suspicious of unsolicited contact

Be wary of unsolicited calls, emails or text claiming to be from companies or organisations connected with your finances, requesting personal details.  Never reply to a suspicious email, click on links or ring a number within the message.  Use a different phone line to ring out if you've received a suspected vishing call.

For more information on financial fraud visit: https://www.gocompare.com/money/financial-fraud/

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For further information please contact:

Anders Nilsson or Louisa Marsden at GoCompare on 01633 654 054 / 01633 655 132

Gordon, Jason or Liz at MAW Communications on 01603 505 845

Keep up-to-date with GoCompare on Twitter; @GoCompare

Notes to editors

GoCompare

GoCompare is a comparison website that enables people to compare the costs and features of a wide variety of insurance policies, financial products and energy tariffs.

GoCompare does not charge people to use its services, and it does not accept advertising or sponsored listings, so all product comparisons are unbiased. GoCompare makes its money through fees paid by the providers of products that appear on its various comparison services when a customer buys through the site.

When it launched in 2006, it was the first comparison site to focus on displaying policy details rather than just listing prices, with the aim of helping people to make better-informed decisions when buying their insurance. GoCompare has remained dedicated to helping people choose the most appropriate products rather than just the cheapest, and has teamed up with Defaqto, the independent financial researcher, to integrate additional policy information into a number of its insurance comparison services. This allows people to compare up to an extra 30 features of cover.

GoCompare is the only comparison website to be invited to join the British Insurance Brokers’ Association (BIBA) and is authorised and regulated by the Financial Conduct Authority (FCA).

For more information visit www.gocompare.com and www.gocomparegroup.com