Are you an expat and fear using modern digital solutions to avoid being prone to online scams? Undoubtedly, internet-based scams especially in the financial industry have grown uncontrollably. Nevertheless, authorized payment institutions (API) help make secure transactions worldwide.
The people of underdeveloped countries such as the Philippines have always focused on moving to developed countries for better employment opportunities. It is primarily due to the financial woes that the people of these countries face. These expatriates often have to send money to Philippines to support their families. Staying safe while sending money home remains their chief concern.
Let’s now look at online money transfer scams and try to understand them along with the best workable solution for expatriates.
Online money transfer frauds or internet scams
These frauds are the online or virtual deceptions under different titles that you will study shortly. These are primarily based on software, SMS, calls, and emails.
Although the titles differ along with the modus operandi, the primary aim remains the same. And that is to deprive you of your money. Therefore, you need to exercise extreme caution while dealing with virtual financial matters.
Now, let’s see the different types of online fraud. Holistically understanding these frauds will automatically help you spot and guard against them. So, read with care!
After understanding the basic idea of online scams, you need to look at the online scams statistically.
Online scams in statistics
- A survey in the US revealed that slightly over 50% of the American population experienced fraud in the last couple of years.
- In 2020 7,994 fraudulent companies were located in the US, and 8,096 were located in China.
- A huge percentage of about 78% of American companies reported having experienced Phishing attacks in 2019.
- About 47% of social media users find more spam in their feeds.
- Prize of Lottery winning scams reached a staggering 52.6% in China in March 2020.
- In 2020 the total loss resulting from online scams amounted to $154.8 million.
With these frightening statistics about online frauds, care and caution coupled with a deep understanding of the same are essential for online money transfer to your loved ones. Let’s take a look at the details.
Online scams – types and details
Sending money to Philippines from the UK is a frequent occurrence. Therefore, it is a given that with the frequency, the margin for frauds increases. Here is a quick look at the different types and details to better understand.
Online scams based on COVID-19 pandemic
Online scammers keep looking for newer and newer ways to dupe people. In this context, the Covid-19 pandemic has proved to be of ’help’ to the scammers. Under the pretext of the pandemic, the following frauds have appeared in online money transfers.
Unreal health organisations
The scammers will contact you and pretend to be representing health organisations such as WHO and others and will ‘’inform’’ you about the cures, medicines and additional related information.
Fake websites selling products
To guard against the virus, you essentially need masks, sanitisers and disinfectant wipes. Many fake websites approach you and ask you to purchase these products by paying online first. But, these products never arrive.
Nonprofit donation requests
Since the Pandemic slowed down the global economic activity, poor segments need financial help and support. In this regard, many scammers feign to be representing nonprofit organisations and ask you for donations to help the poor.
Phishing scams
These include fake emails from a source that seems familiar and appears reliable, such as your bank, university or a retailer you frequently come across.
These are the standard attacks on the people. A report by the FBI revealed that over 114,700 people were deceived by these Phishing scams in 2019. They lost $57.8 million in toto or around $500 each.
Fraudulent shopping sites
Fake websites offer great deals on brands. If you are not aware of these fake sites, the chances are that you will end up paying in return for getting nothing.
Technical support scams
In these scams, you will receive calls or emails, etc., telling you that your computer is infected badly. You will be then asked to download software to remove the infection. And as soon as you do what they tell you, you will end up having your computer hacked.
Antivirus scams (Scareware)
In this, the scammer will make you believe that your system is badly infected and you need to download antivirus from a given link. And if you click on the link, you provide them with access to your computer and credit card information.
Grandparent-oriented scams
You might get a call from a ‘worried’ grandchild needing cash for an emergency their grandparents are in. You are likely to fall victim to the cries and pleas of the caller. But, we will shortly explain how to spot and stay safe.
Fraud 419 of Advance-fee scam
It is also known as the Nigerian letter scam, named after the Nigerian criminal code section that outlaws frauds.
In this, the scammer will seek your bank details to give you a large chunk of money for safekeeping which will later belong to you, in return for a fee and your bank account details.
A report by the FBI noted that 14,600 people fell victim to this fraud in 2019. The losses were $100.6 million or around $6,800 each.
Fake lottery scams
You will receive an email congratulating you on winning a giant lottery. You will be asked to deposit a fee to process the amount and transfer it to your bank account.
Fake job offers scams.
You will be apprised of your appointment in a high position. And you will be required to deposit money to proceed with your hiring process.
These are some of the most common online scams that you must know. You can avoid these scam if you choose to make an online money transfer to Philippines or other countries through a regulated, authorised, and reliable remittance company.
Now let’s take a look at how to spot these.
Spotting and guarding against online international money transfer scams
Following are the ways through which you can easily spot an online scam.
- Scammers will pretend to be representing an organisation you know, such as your bank. Now, you must bear in mind that you already have the helpline of your bank. So, call the helpline yourself to ascertain if their representative called you.
- The scammer will make you believe that there is either a problem or a prize. You might want to think about what you have to do with a problem you are not concerned with. And as for the award, you need to recall if you participated in any such scheme to win a prize. And if you haven’t, why someone would give you prizes when you have done nothing to win it.
- The scammer will always make you act hurriedly. It is the most common point to spot an online scam and avoid it. Make sure you never act in a hurry when told to take specific steps online.
- Scammers will always pursue you to make payments in a certain way. These ways will always be different and unique. Always remember that the genuine ways of making online payments are simple and easy.
These are the common online money transfer scams that have been taking place around the world. Many remittances companies barring ACE Money Transfer cannot ensure 100% secure international money transfers.
Why transfer money to the Philippines via ACE Money Transfer?
In the wake of rising online money transfer scams, the credible companies providing secure money transfer services are few and far between. You will learn how ACE Money Transfer holds the top slot in this regard shortly. But, a few other companies through which you can transfer your funds securely will charge you an exorbitant fee.
This huge fee renders it impossible for you to initiate an international money transfer through them. On the other hand, ACE Money Transfer will help you transfer money at the lowest cost and in an extremely secure manner.
Online scams are rampant in the world, but you can easily avoid those simply by having a deep understanding of these scams provided above, and two, by staying vigilant and following the steps mentioned above.
Filipino expatriates prefer to send money to the Philippines online through ACE Money Transfer due to the foolproof security it has around its online transactions. And that too, in exchange for minimal to zero fees, best currency exchange rates and 24*7 best quality service availability around the globe.
