5 scams to watch out for this Christmas

As the festive season approaches, you’re most likely placing lots of online gift orders for your friends, family, or even yourself. Unfortunately, it’s also a prime opportunity for fraudsters to take advantage of the busy shopping period. In the first half of 2024 just over £570 million was stolen in payment fraud as criminals continue to target people and try to deceive them into sharing their personal information and money¹.

To help you stay safe we’ve outlined five common scams to watch out for this Christmas, and how you can protect yourself against them.

1. Purchase scams
Always beware of too-good-to-be-true offers, especially on online sites like Facebook Marketplace. Fraudsters often advertise popular items – such as air fryers or tech gadgets – at unrealistically low prices to attract shoppers who might be looking for a bargain.

Tips to stay safe:

• Use recognised payment methods, such as credit cards, rather than bank transfers or cash.
• Whenever possible, make purchases in person and check the item before you pay.
• Remember, if a deal seems too good to be true, it probably is.

2. Romance or trusted person fraud
This type of fraud focuses on building trust and emotional connections, often through social media or dating apps, with £14.5 million lost to the scam in the first half of 2024². Fraudsters aim to build relationships over time, often by posing as romantic partners, friends, or contacts, before requesting money under false pretences.

Tips to stay safe:

• Always look out for requests for urgent financial help or ‘one-time’ investment opportunities as these are common with this type of scam.
• Be wary of any demands for money to be sent to cryptocurrency wallets, prepaid cards, or untraceable accounts.
• Be cautious about sharing personal or financial information with people you’ve met online.

3. Impersonation fraud
Impersonation scams have become increasingly common in recent months. Fraudsters will often pretend to be from trusted organisations, such as your bank or the police. They may claim your account has been compromised and ask you to transfer money to a ‘safe account’. They may also pressure you into providing personal details so that they can use these to call the bank pretending to be you, or even to open loan accounts and credit cards with other institutions.

Tips to stay safe:

• Banks or police will never ask you to move money to a safe account to protect your funds. If this happens, hang up and call them back on the number you usually use, or the number found on the back of your card.
• Banks will never call you and ask you to provide your full password or One Time Passcode (OTP).
• Never give remote access to your computer or device to someone that may have called you out of the blue.

4. Investment Scams

Fraudsters will commonly promise high returns on investments in cryptocurrency, foreign exchange, or tax rebates, often asking for an upfront fee. They may even have fake websites and genuine looking prospectus or documents to make the investments appear genuine in order to convince you. These scams can lead to devastating losses, sometimes exceeding £100,000.

Tips to stay safe:

• Only invest through firms registered with a financial regulator and always do your own independent research on the investment company before any payment is made.
• Avoid unsolicited investment offers, especially from unfamiliar individuals or companies.
• Listen to advice from trusted sources such as friends, family, or banking staff, who may spot red flags more easily.

5. Delivery scams
December is peak season for delivery scams. Fraudsters can impersonate courier services, sending texts or emails about ‘missed deliveries’, containing links to fake websites or demanding additional fees for parcel release. These scams can be very convincing and aim to exploit you when they know it is the busiest time of the year.

Tips to stay safe:

• Avoid clicking on links in unverified texts or emails and always visit websites by typing the address into your web browser.
• Contact the delivery company directly via their official website or app.
• Be cautious of unexpected messages requesting personal information or payments.

Fraudsters are becoming increasingly sophisticated, so it’s important to remain vigilant during the festive season. By looking out for these scams and taking simple precautions, you can protect yourself and your loved ones from being caught out.

For more tips and advice, visit our Protect Yourself from Fraud page.

Stay safe and enjoy a joyful and fraud-free festive season!

¹Half Year Fraud Report 2024.pdf
²Half Year Fraud Report 2024.pdf