Top 10 Scams in Detail
1. Employment Scam
The most reported scam to BBB Scam Tracker. You likely didn’t apply, much less get an interview for a job you can do from home. It’s just a cheque cashing scheme that is simply too good to be true.
2. Romance Scams
Online dating is big business to scammers. Canadians give away a lot of money as they give away their hearts to Catphishers. Catphishing is when a fraudster fakes an identity and tricks someone via dating sites into a phony emotional or romantic relationship for financial gain.
3. Identity Fraud
Scammers steal your identity to secure credit cards, bank loans, and even rent property in your name. Even children are susceptible to identity fraud.
4. Advance Fee Loan
Paying an up-front fee to get a loan is illegal in Canada and the US. These scammers prey on those who don’t qualify for loans through reputable lenders.
5. Online Purchase Scams
Scammers have new online avenues to take your money and trust. Counterfeit merchandise, goods that never show up, fake websites, and free trial traps are everywhere.
6. Wire Fraud – “Spearphishing”
Spearphishing is a big problem for the business community. Millions are lost when scammers pose as company brass and demand money be wired to a fake company email.
7. Binary Options Scam
Big promises of low risk, high returns, and full refunds entices Canadians to take a chance. It’s really just an unregulated 50/50 bet and not investment at all. They delay any winnings…if you win at all.
*Source: Canadian Anti-Fraud Centre
8. Fake Lottery Winnings
If you didn’t enter…you didn’t win. Calls come in at all hours telling you you’ve won a big US lottery! You just need to pay a tax or insurance fee before you get your millions. It’s way too good to be true.
9. Canada Revenue Agency Scam
Our number one scam in 2016. While this scam is still being reported, a crackdown on a call centre in India in 2016 has seen a dramatic decrease in the number of calls targeting Canadians.
10. Fake Online Endorsements and Sponsored Content
Consumers are often enticed to purchase a product or service based on reviews by social media influencers. Unfortunately, theses reviews may not be genuine and the influencer may have been paid by a company to be used as a marketing tool.