As the digital landscape continues to evolve, so too do the methods employed by scammers seeking to defraud unsuspecting individuals.
According to FinTech Finance, the latest research from Barclays highlights a concerning trend: a surge in invoice and mandate scams across March and April 2024. The inaugural Barclays Scams Bulletin, released today, unveils a stark reality – while overall scam claims have seen a slight decrease, the prevalence of invoice and mandate scams is on the rise.
According to the Bulletin, the volume of invoice and mandate scams increased by 6.9 per cent during the specified period, with the total value soaring by 24.6 per cent. Particularly alarming is the revelation that the average claim in these cases exceeds £8.6k, showcasing the substantial financial impact on victims.
Delving deeper into the data, it becomes evident that individuals aged 61-70 are increasingly targeted, with the proportion of claims from this demographic doubling. High-value cases within this age group drive the average claim to a staggering £12k. Kirsty Adams, Fraud & Scams Expert at Barclays, underscores the sophistication of these scams, stating, “Invoice scams are becoming increasingly sophisticated. Scammers target suppliers, creating fake emails requesting invoice payments that can look seriously legitimate.”
Adams further emphasises the importance of vigilance among consumers, especially as significant events like weddings and parties approach, which often involve substantial financial transactions. She advises individuals to double-check invoice and payment details against previous records and to verify any doubts with known contacts from the business over the phone.
While invoice and mandate scams dominate the landscape, other forms of fraudulent activity persist. Smishing scams, carried out via text and messaging apps, remain a prevalent tactic employed by scammers. Although there’s been a marginal decrease in volume compared to previous months, these scams still constitute a notable portion of overall scam claims.
Interestingly, smishing scams tend to be of lower value, with an average claim of £2.1k, suggesting scammers target smaller sums but on a larger scale. Kirsty Adams reiterates the need for caution, warning individuals to scrutinise unsolicited messages requesting money and to verify the authenticity of all communication channels, especially those originating from unfamiliar numbers.
In a somewhat positive turn, the Bulletin reveals a decline in police and bank impersonation scams both in volume and value. This decrease, particularly among older demographics, signifies progress in combating these fraudulent schemes. However, Adams stresses the importance of continued vigilance and education to stay ahead of evolving scam tactics.
The release of the Barclays Scams Bulletin serves as a timely reminder for Brits to remain vigilant in safeguarding their finances against the ever-evolving landscape of scams and fraud.
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