Being the victim of a fraud can have a hugely negative impact on your life and many people have lost money due to fraudulent activities. This is why it makes sense to be aware of the different types of fraud that are on offer and some of the tell-tale signs that are associated with fraud. Making yourself aware of the common signs of fraud can help to minimise the impact of fraud in your life.


Always know who you are dealing with

If you want to minimise the likelihood of being a victim of fraud, make sure you know who you are dealing with. In the era of the internet, this can be more difficult than it used to be for some reasons but of course, the internet gives you more opportunities to carry out research. Always look online to see if other people have had dealings with the company you are dealing with.

If there is only one or two mentions about the company, you shouldn’t automatically believe what is being said but equally, you should be cautious about doing business with a company that doesn’t seem to have a reputation online. If there is a general consensus about the company, be it good or bad from a lot of people, you should be more confident about what is being said.

Review your monthly statements

It may be that you are being scammed and you don’t actually know about it. It may be that a fraudster or scammer has set you up with a membership fee which will see money coming out of your account on a regular basis. Many of us don’t pay close attention to our bank accounts on a daily, weekly or monthly basis and this creates the opportunity for scammers to get away with taking money from our account on a regular basis.

Spending five to ten minutes reviewing your account on a regular basis for payments that you don’t recognise will go a long way to ensuring you are not the victim of this style of fraud.

Be wary of who wants your money

Something that is very common in the modern era is the number of charities that pop up to raise money good for causes. If there has been a disaster or major event that has impacted on people’s lives, it is natural that people are keen to provide support in some way. However, not everyone who is looking to collect money is doing so with honest intentions or with the intention of giving money to the people that need it most.

This means if you are looking to give money to a charity in the wake of big event, be sure to provide money to established charities that have been operating for a while. This will give you confidence and peace of mind about where the money is going to go and who will benefit from your funding.

Know that there is no such thing as a guaranteed investment

When it comes to investing, there is no such thing as a guaranteed investment or something which will definitely provide you with a return for your money. The whole point of investing is that there is a risk involved and this creates the opportunity to make money. If someone tries to entice you with a low-risk but high-return opportunity, you should look to avoid it. A legitimate company will not claim to offer you a guaranteed return; in fact, they will go out of their way to ensure you understand the risks and consequences involved with your investment.

It is also important that you don’t give money or financial information to people asking for it when you don’t know who they are. In the modern digital era, it is easy for companies to contact people but it also easy for scammers and fraudsters to get in touch with people and making financial requests. You should never provide your personal details and you’ll find that the majority of reliable firms will not ask for these details online or over the phone.

In the vast majority of cases, you should be cautious with your details and don’t be in a rush to hand over anything that you wouldn’t like people to know. The impact of fraud can ruin your life so make sure that you give yourself the best chance of avoiding being a victim of fraud.

Andrew Reilly is a freelance writer with a focus on news stories and consumer interest articles. He has been writing professionally for 9 years but has been writing for as long as he can care to remember. When Andrew isn’t sat behind a laptop or researching a story, he will be found watching a gig or a game of football.