The number of online scams reported to the police has nearly doubled over previous years as fraudsters take advantage of the rise in virtual shopping due to the pandemic.
The police Cyber Crime Unit received 608 reports in 2020 compared to 387 in 2019 and 384 in 2018. By the end of February this year, 145 reports had already been filed.
“An increase was registered throughout the first part of 2020. This is possibly due to the fact that more people relied on online shopping and online payment methods,” a police spokesperson said.
“Most reports involved online shopping, unauthorised or fraudulent credit card transactions as well as fraudulent losses after victims responded to malicious communications like emails, SMSes or online chats and subsequently paid money.”
In most cases, the losses were of “a few thousand euro”, the spokesperson said. Some people lost larger amounts on fictitious high-value items such as a cars or boat.
Should be wary of pitches that create a sense of urgency
The spokesperson said fraudsters often rely on the victim’s lack of attention.
“One should be wary of messages and sales pitches that create a sense of urgency, for example an offer that ends in a couple of hours,” he said.
He also urged online shoppers to fact-check the company’s claims and examine reviews from previous customers. Once a person realises they may have been scammed, it is important to inform their bank immediately.
Lodging a report allows the police to investigate, usually following at least two lines of enquiry: the attempt to follow the money and recover losses, and the communications exchanged with the fraudsters or website.
Scammed – a victim’s account
“The other day I was browsing through Facebook when an advert popped up for a 70 per cent off flash sale on children’s playhouses.
“I had always wanted to get a playhouse for my young child but always felt they were a bit overpriced. But here it was – at a decent, affordable price. I had to act fast or miss out on the deal.
“A voice inside me questioned: ‘Could this be too good to be true?’ But I had heard of the company before and the site said ‘Trusted Site’. I wanted it to be true. And in any case, it was less than €70.
“Out came the credit card in excitement. I could already see the joy on my child’s face. This was going to be the perfect Easter present.
“I was the perfect bait.
“A few days later, a neighbour searched the company’s Facebook page and there it was – a post from the original company alerting customers to a scam.
“I felt miserable. More than the money, I felt sad that someone would take advantage of my urge to make my child happy. I called the bank to stop the transaction.
“At work, one colleague fell for a Facebook ad by a company asking for crowdfunding to develop a new electric bike in return for a huge discount. The bike manufacturer exists – but it was not their Facebook ad.
“We are human and vulnerable. We fall for people that prey on people like us: busy, in a rush, hopeful.
“So be careful.”
What is a clone company?
Clone companies use details of established ones to deceive the public by various means including cold calling and fake websites.
Always verify details. Type in its name followed by the word “scam” or “fake” and you may learn more.
To spot a clone, look for red flags such as:
• Lack of a padlock which indicates the network is secure
• Lack of secure payment methods
• Lack of contact details (for instance only a phone number or e-mail address)
• Spelling mistakes
• Lack of details of staff or use of stock or fake images
• Presence of unclickable logos from reputable companies which the fraudsters claim to partner
• Inconsistent information
Source: Malta Financial Services Authority