Take care of your wallet: Canada's worst financial scams

Image result for walletNowadays, there is no shortage of people who are ready to do anything to rip you off. There is also a lot of way to do it. With the Internet, and the number of people who have a cell phone, stealing people’s money has become a lot easier than with a gun.

According to the Better Business Bureau of Canada, over the last two years Canadians have lost more than $ 1 billion through scams of all kinds through the internet, telephone and mail. We do not call the scammers “artists” for nothing. Thieves have made it their job and have become very good manipulators, especially with the elderly, people looking for love in the wrong place and young people who are starting to use credit cards.

Here is a list of the major Canadian financial scams you should be wary of.

Fee or deposit to receive a loan: the scam

Fee or deposit to receive a loan: the scam

This scam is aimed at people seeking a loan, whether for their home, car or business. In recent years, this scam has allowed criminals to steal more than $ 1 million across Canada. It happens when people deal with a bad loan company and they are asked to pay fees in advance to be approved. The victim, desperate to receive significant funding for her rushes and gives her money. Unfortunately, she will not see either the loan money or the deposit money.

How to avoid this scam

Be aware that in both Canada and the United States, it is illegal for a financial company to charge fees in advance. If the company you want to do business with does not have a recognized name or reputation made or is not listed in the Better Business Bureau’s database, it’s probably a scam. If you are unsure about the contract you are being offered or are simply suspicious, be careful and take any additional steps necessary to ensure that you will not be scammed.

Help me! You are my only hope!

 

This scam usually targets the elderly and has resulted in nearly $ 2 million worth of loss across the country in the past two years. The victim will receive a call from someone claiming to be a parent, perhaps a distant grandchild, whose voice may not be recognized immediately by telephone. They will often have personal information about the victim to make them believe that they are a true family member. The scam artist then asks for money under the pretext of being imprisoned and has no one else to help him pay his bail. Or maybe he is sick and needs money to pay for the treatments. The crooks will ask for money in their accounts and then the victim will not talk about them again. In addition, the victim’s banking information is often compromised.

How to avoid this scam

How to avoid this scam

As you already know, just about everything is done online nowadays. If you have a Facebook account or similar account, a talented scammer can find anything about you and use it to his advantage. Unless you are 100% sure that this person is your relative or have confirmed your identity with another family member, do not hesitate to hang up and never transfer money to anyone you do not know. have never met before.

CRA tax scam

 

This scam has cost more than $ 3 million nationally since its inception in 2015. A person will receive either a call or an email, in the form of an automated message claiming to be the Canada Revenue Agency (CRA). The message will state that the person has not paid a portion of his taxes on his income and owes a large amount. A serious voice will say something like this: “warning, do not try to ignore or delete this message, you must (X amount), and you will be fined or stopped if you do not contact us immediately. You can contact us at the following number (…) and can get in touch with one of our “agents”. The most annoying thing about this is that the Canada Revenue Agency is a real organization, so they can actually contact you and it has to be serious. So once you call them back, the scammer will manipulate you and ask you to pay a credit card or ask for your bank account information, and your money and identity will be compromised.

How to avoid this scam

How to avoid this scam

The most important thing to know is that the CRA will probably never ask you to pay anything, tax or otherwise, over the phone or over the internet. If they do, they will certainly not send you an automated message or email. If you do not know if the message is real or not, go to the CRA’s official website where you will find a phone number to contact them about any request, and they will confirm whether or not you owe them money. If you have been the victim of one of these scams, your credit card will be canceled immediately and contact your bank so that your information is modified or protected.

The secret buyer

This scam is a job scam and makes fun of people looking for serious work. This resulted in losses of nearly $ 4 million in Canada. In this case, the victim will receive a job offer, usually by text message, in order to become a secret client, who evaluates the customer service of various stores while spending the employer’s money by buying things with a “certified” check. Catches it? He asks the victim to return unspent money, which is done through the person’s bank account. Once it is too late, the bank contacts the victim to say that the check has bounced.

How to avoid this scam

Be careful, since the money will come in the form of a check, it may take several days for it to be processed and then, prove to be wrong. No one will offer you a dream job without you looking for it. Plus, no company should charge you anything. If this has happened to you, the money you have returned may be lost, but you can at least contact your bank and it will take the necessary steps to protect your banking information.

Private sellers

Private sellers have recently cost Canadians more than $ 5 million. This scam usually occurs when someone is looking to sell or buy something online in classifieds sites like Craigslist or Kijiji. If you are looking to sell something, the scammer will send you a check in excess of the amount requested. He could say that it was a mistake to cover the shipping costs. It will allow you to cash the check while returning the difference in cash. If it’s a purchase you make, the scammer could ask for the same thing. Pay for it by providing cash or using a credit card. In either case, you may not receive either the money or the ordered item.

How to avoid this scam

First, you must never transfer money to someone you do not know on the internet. If you or someone else has something to buy or sell, make an appointment and have some cash. If you receive a check for a higher amount than agreed, it is most likely a scam.

The impostor

The impostor

This scam is also called “spearfishing” and has cost nearly $ 6 million in recent years. The victim receives an email or a phone call, supposedly from a reputable company. It can be a bank, an online store, or any other website that she has had to do in the past. The scammer tells her that her account has expired and that she may have to download other software to protect herself from cyber attacks. One can expect a conversation that goes as follows: “Hello, here Windows, you should update the security of your computer. Think that giving a credit card number will solve all your problems is wrong. You would be simply scammed.

How to avoid this scam

The hustler may have set up a website similar to your bank’s or any other website you’ve used before. If you receive a link, be on the lookout. If you are unsure, check the website of the company you are used to dealing with directly and contact them yourself. In any case, do not give your personal information or credit card number. If it’s already done, cancel your credit card and erase the hard drive from your computer. Once you download the software suggest, the hustlers will be able to monitor your keystrokes on your keyboard.

Investment fraud

This scam has been around for decades and has cost Canadians more than $ 6 million in recent years. A scammer will give you the chance to invest in a company or product that would earn you a huge reward with little risk on your part. Of course, if you give them money, you will never see that money again. Simple but effective in many cases.

How to avoid this scam

How to avoid this scam

There are no investment opportunities that have little or no risk involved. If the deal seems too good to be true, it’s probably the case. Never invest in a product or company that does not have a solid reputation, and if you are not sure, always get a second opinion from a financial expert.

Congratulations! You won the lottery!

Another classic in the world of scams that has wreaked havoc over the phone, email or internet. In recent years, the false lottery has cost Canadians more than $ 6 million. A person receives a letter, an appeal or an email from a company, claiming to be a recognized lottery organization, to attract attention. The message will indicate that you have won a sum of money or other prize. All you need to do is send back the fees to claim the prize. It will be relatively expensive, between $ 30 and $ 50, probably in cash to avoid suspicion. But again, as soon as you have sent the money, you will have no news. And will not receive any lottery prizes.

How to avoid this scam

As with all other scams, you can recognize fake lotteries. The messages you receive will be vague and poorly written, will have big numbers and lots of exclamation points! These are small tactics that they will use to distract from the fact that the message in question is just good for the trash. No official lottery organization will call you one day to tell you that you have won a prize for no reason. If you receive this type of call, hang up right away. If it is a letter, throw it away. If you have never opened an account with an official lottery like LotoMax, the scam email will go like this: “You won !! Come to see !! ” You only have to delete the message even before opening it.

The hard heart

Responsible for a loss of 15 to 16 million Canadian dollars over the last few years, the fishing scam is the most successful on the market. The most vulnerable people are those who seek love. Across the country, people subscribe to online dating sites, especially those that are free. They will start receiving messages from someone who is not only attractive but also awesome in every way. After a while in the online relationship, this person will expose a tragic story and need money to get through this difficult time. If the scammer is good enough, the victim will be tempted by the affection and will provide the money. This game to continue for weeks, asking for more and more money, while refusing to meet the victim.

How to avoid this scam

If someone, no matter what he looks like or whatever his speech, asks for money online, it’s a scam. Never divulge your personal or banking information online, especially if you do not know who is asking for it. If you use a website, make sure it is certified. Of course, some charge fees, like the case of E-Harmony, but it is to maintain the good reputation of the site. Anyway, do your research properly and do not skip head over a person just because it uses attractive photos.

There are many ways a person can use to scam you. She can be clever and charming. The key is to always think first about what is asked. Money, everyone wants it, everyone needs it. So, if it does not come from someone you know or from a recognized business, contact your bank or credit card company as soon as possible. They are used to these cases and will find a way to help you get back on your feet.