Friday afternoon frauds

It is shocking to hear that people buying or selling properties have been defrauded out of huge amounts of money recently. Action Fraud said this type of fraud has been on the rise since last summer, peaking in December. Between November and January, 35 reports have been made resulting in a combined loss of £2,665,819. Buyers and sellers of properties should essentially avoid communicating with their solicitors and conveyancers by email, experts warn.

“Friday afternoon fraud” as it has been called has seen more and more criminals hack into email accounts and divert large payments that should have been for buying your home lost. The scam has been named  “Friday afternoon fraud” because criminals typically target transactions being processed ahead of the weekend or bank holidays. This limits the chance of detection.

The fraudsters typically gain access to the email accounts of either the victim or their solicitor. When legitimate emails are sent between these parties giving details of bank accounts into which money should be transferred, the fraudsters alter the details so the money is sent to their own accounts. Leading experts in the fields of cyber-security now suggest the public should avoid email when giving or receiving payment instructions to solicitors.

Tony Neate, chief executive of Government-backed anti-fraud agency Get Safe Online, said: “You don’t hear of fraud occurring because someone has overheard a phone conversation.”

Action Fraud, which works alongside the fraud squad, has also said people seeking to move large sums should check bank details by phone. “Preferably talk to the solicitor whose voice you recognise.”

Mr Neate also suggests whenever you need to make a large transaction, transfer a small amount first - “Send an initial payment of £1 to make sure the bank account is legitimate.” "Once you have checked the other party has received the transaction, you can transfer the rest of the balance,” he said.

Source: The Telegraph

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