94% of the Irish population have been targeted by fraudsters in the last 12 months, new data from Bank of Ireland reveals.
The volume of investment fraud attempts in Ireland in H1 2024 has surged by 76% compared to the same period in 2023.
That’s according to the latest Bank of Ireland fraud data.
“The level of highly personalised targeting of consumers continues to grow year on year, and everyone needs to be on their guard”
The Bank has revealed that it will spend €50m on fraud prevention technology in 2024 and 2025.
What is investment fraud?
Investment fraud happens when fraudsters, posing as legitimate firms, offer consumers investment opportunities on social media or in a sponsored search result.
A common tactic is to promise high returns and then put people under considerable pressure to commit to the investment opportunity quickly.
“The growth in investment fraud attempts is the most concerning trend we are seeing at the moment,” said Nicola Sadlier, head of Fraud at Bank of Ireland.
“The level of highly personalised targeting of consumers continues to grow year on year, and everyone needs to be on their guard. When it comes to this serious criminal activity, there is no room for complacency. Being alert to the ‘red flags’ – including too good to be true returns and pressure to act quickly – is vital.”
According to the Red C fraud research, 94% of people have been targeted by a fraudster in the last 12 months.
The most common way is by text message (89%), followed by phone calls (75%) emails (65%) and fraudulent WhatsApp messages growing in prevalence at 39%.
When asked whether they feel personally at risk of financial fraud, 43% of people still rate themselves as having little or no risk of fraud in the next 6 months. This increases to 52% in the age 18 – 30 category, showing a high degree of complacency or over-confidence.
“We know that three in four consumers want to be able to speak directly with someone at their bank or financial service provider if they fall victim to fraud or are worried about a transaction,” Sadlier said.
“That’s why Bank of Ireland offers a 24/7 fraud telephone support for customers on 1800 946 764, available every day of the year. We encourage our customers to put this number in their phone so they have easy access to it if they ever need it.”
Fraud prevention
The majority of investment fraud cases begin on social media with customers then receiving phone calls and messages to continue the scam.
The practice of re-targeting customers is also a growing trend. This is where fraudsters contact a person who has already been a victim and pose as someone trying to help the consumer recover their money. However, this is simply another way for them to try to gain access to consumers’ accounts.
Bank of Ireland is rolling out a new heavy-weight fraud awareness campaign across social media that will run for the rest of the year.
The latest phase in Bank of Ireland’s consumer fraud education campaign, now in its fourth year, will have a particular focus on media to reach the 18-30 demographic, where research has indicated a degree of over-confidence.
The campaign includes five new episodes of Fraud Watch: True Crime Stories, a content series featuring real-life examples of fraud scenarios including advice from international cyberpsychologist Professor Mary Aiken, digital audio ads, social influencer partnerships, a partnership with LADBible and ‘Back To Basics’ social content series. The content highlights topical fraud scams and gives customers essential fraud prevention steps they can take.
“Bank of Ireland runs one of the most comprehensive consumer fraud awareness programmes in Ireland, designed to help safeguard the financial wellbeing of our customers,” said Aine McCleary, chief customer officer at Bank of Ireland.
“However, our research shows that close to half of those surveyed do not feel at risk of fraud, and this underlines the importance of raising awareness of this very real risk.
“Bank of Ireland will spend €50m on fraud prevention and protection measures this year and next. This includes €15m on new fraud prevention technology, along with a range of high-profile consumer awareness campaigns and support for customers who are targeted by fraudsters.”
Red flags for investment fraud
- Follow-up calls: You receive a call having clicked an investment product advert on social media or in a sponsored search result
- Big/fast returns: They promise a quick and profitable return, with little or no risk
- Pressure: They advise you must act quickly to take advantage of an “opportunity of a lifetime”
- Urgency: They tell you to make an urgent payment to get in on the deal
- Secrecy: They say you’re not to discuss the “investment” with family, friends or your bank and they may instruct you to sign a “non-disclosure agreement” (NDA)
Anyone who suspects they have been a victim of fraud should contact their bank immediately so that the bank can try to stop the fraud and try to recover funds. Bank of Ireland customers can call the Fraud Team 24/7 on the Freephone line 1800 946 764.
Main image at top: Baz Ashmawy and Mary Aiken launching the new Bank of Ireland fraud campaign with members of the Bank’s Fraud team in the background
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