Consumers are vulnerable as scammers exploit the way that they want to change their lives at the start of 2025.
Athaly Khan, head of Fraud Risk Management, Standard Bank said: "As you prepare for the exciting New Year, remember that your goals, ambitions, and resolutions present an opportunity for scammers."
"They capitalise on the uncertainty and pressure that often accompany new beginnings, and prey on your hopes and concerns."
Most people are seeking out investment opportunities, employment, student loans, and assistance to achieve their new goals during this time of the year, scammers exploit this.
There has been a rise in unsolicited offers, which can come through phone calls, emails, or online advertisements.
Here's a look at some of the most common scams right now and how to avoid them:
Investment scams
Unsolicited investment offers that promise high returns with little risk are on the rise as scammers prey on the renewed financial resolutions that people have as well as the urgency for financial stability amid the January financial stretch.
"Be cautious of unsolicited investment opportunities, especially those offering high returns with little risk. Scammers often ask you to act swiftly so that you do not ‘miss out’ on the opportunity of a lifetime," Khan said.
Job scams
Fake job offers have continued to be a persistent threat. Scammers lure victims with promises of good earning potential or easy passive income but first demand upfront fees for administration or taxation costs.
According to Anna Collard, SVP Content Strategy and Evangelist at KnowBe4 Africa, there are two types of recruitment scams:
- impersonation, where fraudsters pose as legitimate recruiters and contact people on online platforms like WhatsApp, Telegram, Facebook LinkedIn or via email.
- fake job postings where scammers use legitimate job boards, to post fake job offers to get access to your personal information.
Student loan scams
At the start of the academic year, scammers pose as financial service providers to offer reduced-rate student loans.
Victims of these scams are asked to pay upfront fees or share sensitive personal information.
People need to know about these schemes as they often claim to have ties to legitimate educational institutions which makes them even harder to detect.
Here are tips protect your financial wellbeing:
- Do not share your personal banking information on unsecured platforms.
- Ensure that your account details private are to avoid becoming a victim of money mule schemes.
- Steer clear of upfront payments and keep in mind that legitimate organisations never ask for money in advance.
- Being careful of deals that sound too good to be true and never sharing your card information to subscribe to such offers.
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