You are here: Home - Saving & Banking - News -

FCA investigates more than 150 Covid-19 related scams

0
Written by: Emma Lunn
24/08/2020
The Financial Conduct Authority (FCA) has investigated more than 150 coronavirus-related scams since the pandemic began.

The data, obtained under the Freedom of Information (FOI) Act by think tank Parliament Street, reveals the extent to which financial services organisations and banks have been targeted by financial criminals during the pandemic.

The total number of suspected scams reported to the FCA over the past five months is 165. The types of scams that have been circulated during this time include email, phone calls, text messages, letters, and social media.

In one of the scams, fraudsters pretended to be from HMRC and targeted company owners seeking Covid-19 relief grants to help manage their finances throughout the crisis.

Other scams included a targeted effort to steal the login credentials of HSBC customers with business accounts, and seeking to obtain the passport details of financial services workers.

Experts have warned that the rise in sophisticated Covid-19 related scams could leave financial services firms open to the risk of financial crime, especially with increasingly stringent anti-money laundering legislation in the pipeline.

Max Worrall, sales manager at Encompass Corporation, said: “The Covid-19 pandemic has seen a rapid increase in the number of  financial crime scams entering circulation. There have been numerous reports of company owners and directors receiving highly realistic scam emails, requesting usernames, passwords, and bank details from workers.

“These risks are a reminder of the threats posed to regulated firms seeking to enforce anti-money laundering (AML) measures and customer verification checks. These processes often involve reviewing personally identifiable information and documentation, something criminals are always seeking to get their hands on, by any means necessary.

“It is therefore vital that companies have in place the necessary anti-financial crime systems, as well as the ability to identify and confirm that the customer is who they say they are.”

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

The savings accounts paying the most interest

If one of your jobs this month is to get your finances in order, moving your savings to a higher paying deal i...

Coronavirus and your finances: what help can you get?

News and updates on everything to do with coronavirus and your personal finances.

Everything you need to know about being furloughed

If you’ve been ‘furloughed’ by your company, here’s what it means…

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

  • @YourMoneyUK All you need to know about the latest Current Account Switching winners and losers - hats off to Starl… https://t.co/fAyHhplpoP
  • RT @WeareJust_PR: Many people struggling to make ends meet may not realise they are entitled to financial help or find the system too confu…
  • RT @WeareJust_PR: Many people struggling to make ends meet may not realise they are entitled to financial help or find the system too confu…

Read previous post:
Welsh property transactions down two thirds as prices dip

The coronavirus property market shutdown cut transactions in Wales by 66% in the second quarter of the year, according to...

Close