The New Year is a time for fresh starts and renewed hope. Unfortunately, as we embrace this optimism, fraudsters are equally actively crafting schemes to exploit our goodwill and vulnerabilities. These scams not only threaten personal finances, but also erode trust of people and institutions.

Here are some New Year scams to look out for and ways to avoid falling victim to them:

1. Fake NHT and Tax Refund Scams

If you are a National Housing Trust (NHT) contributor or expecting any type of refunds or cashback this year, you’ve likely been anticipating the chance to apply and receive your funds or benefits. Scammers are capitalising on this anticipation by devising fake schemes to prey on unsuspecting victims. Be cautious of any messages claiming to relate to refunds, especially those requesting sensitive information or upfront payments.

2. Fake New Year’s Promotions

Scammers are always trying to exploit the festive spirit by advertising unbelievable deals or giveaways online, especially on social media platforms. They often require payment or personal details from interested persons to claim a prize. They may also lure buyers with attractive items at low prices but disappear once payment is made.

3. Charity Fraud

During Christmas and into the New Year, there is often an increase in appeals for charitable donations. However, some of these requests may be fraudulent, exploiting people’s generosity. Scammers may use emotional stories or falsely claim to represent well-known, reputable organisations in an attempt to deceive donors.

4. Employment and Investment Scams

For many, the New Year is a time for fresh opportunities, and scammers take advantage of this by offering enticing promises of high-paying jobs or lucrative investment opportunities. They typically require an upfront fee for training, registration, or processing before any work or investment can begin. However, they disappear once the fee is paid, leaving victims without the promised job or returns.

Red Flags to Watch For:

• Unsolicited messages or calls asking for personal information
• Requests urging immediate action
• Requests for unusual payment methods like wire transfers
• Unverified websites or social media pages

 Protect Yourself:

• Be sceptical of unsolicited messages requesting sensitive information or payments and deals that seem too good to be true
• Only engage with organisations through official websites or contact numbers
• Use payment methods that offer buyer protection, such as credit cards
• Avoid clicking on suspicious links or downloading attachments
• Use strong, unique passwords for different accounts and enable two-factor authentication (2FA), where possible
• Educate friends and family about common scams

How to Report a Scam

By staying vigilant and informed, you can protect yourself and your loved ones from the growing threat of scams. However, if you encounter or fall victim to a scam, report it immediately to the relevant authorities, including the police and your bank, to mitigate potential losses.

Safe Banking Tip

A great way to start this New Year is to review and update your account security. If you haven’t done so in a while, now’s a good time to change your online banking passwords to strong, unique ones and/or enable multi-factor authentication for added protection. Remember to monitor your accounts regularly for any unusual transactions. These proactive steps can help safeguard your finances throughout the year and protect against potential fraud or unauthorised access.