Each year, thousands of Canadians fall victim to fraud, scams and identity theft. Anyone can be a target.
You can protect yourself by being informed. Knowing the red flags can help you spot fraudulent activity sooner and take action.
8 minute read
Each year, thousands of Canadians fall victim to fraud, scams and identity theft. Anyone can be a target.
You can protect yourself by being informed. Knowing the red flags can help you spot fraudulent activity sooner and take action.
Here’s a quick summary of what you’ll be learning:
Here are some important considerations to prevent scams and fraud:
Identity theft happens when someone steals your personal information, such as your Social Insurance Number (SIN) or credit card number, to commit a crime like fraud or theft.
What can you do if you think you’re a victim of identity theft? Find out now.
Phishing is an online scam where fraudsters will post a fraudulent website to gather your personal information for the purpose of fraud or identity theft.
Vishing happens when fraudsters call to trick people into providing their personal or financial information.
Smishing is a variation of phishing. It happens when fraudsters send a text with a link to a fraudulent website to gather your personal information for the purpose of fraud or theft.
What can you do to prevent phishing, vishing and smishing attacks? Find out now.
This type of fraud happens when someone uses your credit or debit card to make a purchase without your knowledge or consent. They could also apply for credit using your identity.
Credit card fraud happens when a fraudster steals your card or gets their hands on your credit card number, often by phishing, vishing, smishing or malware. Fraudsters can also produce counterfeit cards or get credit cards by using your identity to complete an application.
What can you do if you think you’re the victim of credit card fraud? Find out now.
Debit card fraud happens when a person steals your debit card information and Personal Identification Number (PIN). PINs can be obtained by “skimming,” using a tampered ATM or by switching out the debit handset (where you input the PIN).
What can you do if you think you’re a victim of debit card fraud? Find out now.
Here are the most common scams that you should know about before you send money via MoneyGram, money order, or a prepaid credit or gift card through Canada Post.
Note: This is not a comprehensive list of all the scams affecting Canadians. New scams appear all the time. The Canadian Anti-Fraud Centre provides a more detailed list. Read it now.
If you receive a notification that you’ve won a lottery or sweepstakes, never respond by sending money. A legitimate lottery would never require you to send money before you can claim your prize.
These scams involve dating and romance websites where the scammer sends emails with talk of need, love and/or desire.
Typically a telephone scam, callers may claim to be government officials and make threats of arrest, deportation or loss of citizenship if you don’t send payment immediately. Remember, the government never contacts people by phone for payment and officials don’t threaten people over the phone.
This scam involves telephone offers of low interest loans that are only available if you send money in advance.
This scam typically targets grandparents. A caller claims their grandchild is in trouble and needs money because they’ve been involved in an accident or are stranded in a foreign country.
There are two types of fraud related to online purchases.
In the first, an online fraudster may contact you claiming that the winner of an auction you were bidding in has pulled out and is now offering the item to you. In the second type, fraudsters may trick consumers into buying counterfeit goods at discounted prices through spoofed websites.
In this scam, you’re requested to transfer money for another party. The scammer may offer a share of the money if you provide bank account details and pay taxes and fees for the transfer. The scammer may claim to be a lawyer or bank representative advising you a long-lost relative has left you an inheritance.
Source: Detecting and protecting yourself from fraud, Canada Post and MoneyGram
When it comes to fraud, you are the first line of defence. Here are 4 quick tips to help you become scam smart:
Source: Chartered Professional Accountants of Canada, Fraud Protection (PDF).
The Competition Bureau provides a step-by-step guide on what to do if you think you’ve been a victim fraud, scam or identity theft. Learn what to do.
This material has been prepared for informational purposes only and is not intended to be a substitute for obtaining advice from a financial professional.