New doorstep scams are themed around the COVID-19 coronavirus pandemic, warns the Chartered Trading Standards Institute (CTSI). Scammers may be bogus healthcare workers at doorsteps claiming that they are providing coronavirus tests; or, pretending to be charity workers, offering shopping assistance and requesting donations for fake charities.
Rather than providing real assistance, the scammers are aiming to walk away with credit cards and make fraudulent payments into their bank accounts.
CTSI Lead Officer for Doorstep Crime, Katherine Hart, said: “The depths that scammers are sinking to know no bounds. We must all practice additional caution and suspicion at this unprecedented time. The government has an online charity checker, which is an essential tool for these circumstances. Charities receiving above £5,000 in annual donations should be registered.
“No outsider should be visiting households during the lockdown unless the visit is necessary. Householders should treat unexpected visits from strangers with absolute suspicion in regular times, let alone the crisis we are living in.”
Fraudsters could offer bogus insurance products and high-risk investment and pension products, warns the Association of British Insurers. Mark Allen, ABI Manager, Fraud and Financial Crime, said: “Criminals are experts at exploiting situations for their own gain and coronavirus is a perfect opportunity for them, so people need to be on their guard. Consumer scams can leave people seriously out-of-pocket. If someone offers you a deal that looks too good to be true, then it probably is. If you are unsure, always check the Financial Conduct Authority’s Financial Services Register to make sure that who you are dealing with is genuine.”
Beware, the ABI says, of:
– Robocalls or automated texts that falsely claim to be legitimate, mainstream insurance companies. They may claim, for a fee, they can help recover losses by submitting a claim, for the cost of a holiday or event such as a wedding cancelled due to coronavirus.
– Pension and investment scams, which might claim that they will guarantee you higher returns than your current savings.
Cold calls about your pension. It is illegal for firms to contact you out of the blue about your pension, and you should hang up. The caller may offer to help you access your pension before age 55, or offer you, a “free pensions review”.
– Phishing emails. These attempt to trick people into opening malicious attachments or reveal personal or financial information.
– Ghost brokers. Fraudsters may attempt to use an insurer’s branding to promote and sell fake or invalid insurance products, including products such as travel and business interruption which may claim to offer COVID-19 protection.
– False insurance cancellation. Callers will say your insurance has been cancelled and they promise to reinstate it – if you pay an extra fee over the phone.
As the City of London Police’s Insurance Fraud Enforcement Department (IFED) says, scammers use any tragic events, including the COVID-19 pandemic, to make money. Several of IFED’s past cases have involved fraudsters who exploited the Grenfell Tower fire and London Bridge terror attack, and the Manchester Arena bombing.
If anyone has suspicions of insurance fraud, they can help report to a confidential Cheatline service at www.insurancefraudbureau.org.
