An increasing number of individuals are falling victim to investment fraud. In this threat alert, we highlight three common scamming techniques and the group most vulnerable to being targeted.
Investment scams are becoming increasingly common, with a significant rise in reported cases in 2024. Men in their 50s and 60s are the main targets of these scams. They often have more financial resources but lack digital expertise, making them vulnerable to fake apps, loans, and celebrity-endorsed schemes.
1. App Store Attack: How Fake Apps Abuse Your Trust
Fake apps in the Google Play Store have become a growing concern. Scammers create fraudulent copies of legitimate apps, which unsuspecting users download, thinking they are safe. Once installed, these apps can steal sensitive information, giving criminals access to users’ financial information.
2. The Loan Trap: How Scammers Use Fake Loans to Steal Your Money
Credit fraud, where people take out fake loans from scammers, is on the rise. The risk is high when someone can’t get a loan from a bank and turns to alternative online solutions. Fraudsters often ask for various fees to be paid, but the loan itself is never provided.
3. The Celebrity Con: How Fake Big-Name Endorsements Try to Deceive You
Cybercriminals exploit social media by using fake celebrity endorsements, such as articles or deepfake videos, to lure users to fraudulent websites. These sites look professional, enticing victims into small investments with false promises of easy withdrawals. As victims see their supposed investments grow, they invest more, but when trying to withdraw, their investment disappears.
What-to-do’s
Make sure to check off all actions, this will have a positive effect on your Behavioural Risk Score.
Lessons learned
Investment scams exploit trust and appear highly convincing. It’s crucial to remain skeptical of investment offers, especially those that seem too good to be true.
