1. Financial Scams – Looking Out for those around us
Laura Jamieson
Policy and Improvement Manager
Trading Standards Scotland

2. Trading Standards Scotland
Trading Standards Scotland’s strategic vision is to reduce consumer detriment by undertaking cross border and national consumer casework and coordinating activity in relation to national enforcement priorities in Scotland.
Enforcement
The enforcement team has a duty to coordinate and enforce cross boundary and national casework as well as undertake the specialist functions of tackling illegal moneylending and Ecrime.
Intelligence
The intelligence gathering and analysis function ensures that the national team can identify a picture of cross border and national criminal activity in Scotland, targeting its resources effectively and efficiently.
Coordination and Prevention
The national team is responsible for coordinating trading standards activity in relation to cross border and national casework as well as coordination of activity in response to national enforcement priorities.

3. National Priorities Doorstep Crime Scams (telephone/mail/internet)
Illicit Trade

4. Scams
A mass-marketing scam is uninvited contact by , letter, phone or adverts, making false promises to con consumers out of money. Scammers try to lure victims with false promises of large cash prizes, goods or services, in exchange for upfront fees, or what they call taxes or donations. Examples of such include notification of mysterious inheritances, lottery scams, wine and diamond buying scams, romance scams, clairvoyant scams and copycat websites.
Consumers can find themselves caught up in a cycle where they are constantly targeted as even one response to scammers can mean that they are added to a suckers list.
The term mass-marketing scam also includes subscription traps – where consumers sign up to free trials (often through social media), are asked to input their bank details and subsequently find that funds are being withdrawn from their account every month to pay for the products.

5. Scams
To get victims hooked and responding to scams, criminals rely on:
Shame;
Social isolation;
Loneliness;
Vulnerable circumstances; and
The fact that victims might not always admit, or be aware that they are a victim of a crime.

6. Cycle of Victimisation
Victim responds to scam.
Personal details added to a Victim’s list.
Criminals target the victim.
Victim receives more scams.
Victim loses money.
Cycle of victimisation, starts with the victim receiving a scam, either by post, telephone, or at their front door. The victim responds to the scam.
The victim unknowningly (in most cases) gives their personal details to the criminals who are orchestrating the scam. These details are then perpetually shared by and sold by criminals to other criminals. The victim’s details are subsequently added to a Victim’s list.
Criminals use this information to relentlessly target victim.
Victim receives is then bombarded with scam postal mail or s, multiple phone calls or repeat home visits.
Criminals will con, mislead or bully the victim to ultimately part with as much money as possible and in some cases their entire life savings.

7. Letter from Victim to Criminal
Letter from a scam victim to a criminal:
Dear sir or madam,
Only just read your letter today – I have been ill, live alone and unable to go out and not able to answer your letter – ‘so sorry’ – so if I am not too late, please can we start again? Will you write me again? And I’ll send you the £30.
Thank you.

8. Loneliness and Isolation
Scams victims are often lonely and the criminal is the only “friend” they have.
Victim quotes, stating why he responds to scam postal mail:
“I get up, I wait for the post, I sort it, I go to bed. What else have I got> I might as well be dead.”
“I hope I win, so I can move to a home. I want someone to talk to.”
“I don’t get out, because I’m frightened. These letters are all the company I get.”
BUT remember. Anyone can be a victim.

9. Types of Scams Postal Telephone Doorstep Online
There are many different types of scams in existence, but for this session will be focusing on four types:
1) Postal Scams, 2) Telephone Scams, 3) Online Scams and 4) Doorstep Scams (or Doorstep Crime).
We will go through each category in more detail.

10. Postal Scams Clairvoyant Inheritance Lottery or Prize Draw
Did you know: A victim in Yorkshire added together all the alleged winnings from her postal scam mail and over a six month period she would have won £2.8 million?
Postal Scams come in many forms. They designed to extract personal details, financial information or money – cheques, cash or postal orders, etc.   
Clairvoyant Scam – offers predictions of the future and requests payment for further information.
Inheritance Scam - an overseas lawyer or official contacts the victim stating that money from the Will of a recently deceased individual is due to them.
Lottery or Prize Draw Scam - claims that victims have won large sums of money on ‘fictitious’ lottery or prize draws.
Role of Royal Mail, confidential reporting hotline and passing details on to Trading Standards

11. Telephone Scams Investment Computer
Emerging as a precursor to doorstep crime
Did you know? In a recent project, whereby call blocker devices were installed in the homes of telephone scam victims, 93% of users felt safer as a result of having a device to eliminate cam calls.
Communication by telephone is another method used by scammers as it is a very effective and easy method by which personal details and/or financial information can be obtained.
Investment or ‘Boiler Room’ Scam - a telephone call offers worthless, overpriced or non-existent shares.   
Computer Scam - a telephone call states that there is a problem with the victim’s computer or laptop and help is offered to fix the issue.
Sign up for the TPS, call blocking devices.
Cost benefit analysis paper

12. Doorstep Scams
Doorstep criminals usually pose as legitimate workmen to purport to undertake property maintenance and repair; usually for unnecessary work or to ‘fix’ damage deliberately caused by them in the first place.
The intention is to extort as much money as possible from usually elderly victims through repeat targeting; each time the cost of work is usually increased. It is not uncommon for victims to part with thousands of pounds and even tens of thousands of pounds.
The crime is perpetrated by organised criminal groups (usually familial groups) who travel the country deliberately targeting areas known to have high levels of elderly owner occupiers.
But the harm is more than financial; often it can undermine the confidence of an elderly individual in their ability to live independently and in some cases it would appear to trigger off a chain of events which shortens their life.

13. Energy Efficiency Consumer is initially cold called on the telephone;
Offered a raft of lucrative energy efficiency provisions that they have qualified for;
Exploiting the fact consumers remain uncertain as to what they are eligible for;
Consumers can find themselves subjected to aggressive sales practices, tenuous contracts which often create difficulty to seek redress and spurious claims that the companies are indeed legitimate, claiming to be endorsed and backed by Government funding.
Back in October 2016, we launched a campaign which encouraged consumers to contact Home Energy Scotland for advice on how they can potentially save money and ensure their homes are warmer this winter in a bid to oust the rogues from the energy efficiency sector.  The two week campaign sought to raise awareness of the tactics such companies use in an effort to secure as much money as possible often leaving consumers paying off exorbitant debts for years to come. The campaign also urged consumers to report any suspected rogues to the Citizens Advice Consumer Helpline.
More often than not, companies establish their targets by cold calling on the telephone with a view to arranging a follow up visit to the consumer in their home.  In the main, this unsolicited contact offers a raft of lucrative energy efficiency provisions the consumer has allegedly qualified for under the auspices of some government scheme.  Along with promises of the potential savings that can be made on energy bills, no one can argue about that this can seem like an extremely attractive offer. 
Over the past few years, there has been a considerable rise in reports where consumers have been informed that they have qualified for various Government funded energy efficiency measures with thousands of victims falling foul to false promises stemming from a phone call.  Indeed the Information Commissioner’s Office (ICO) is clear that Scotland in particular has a problem with nuisance calls emanating from companies selling energy efficiency products.
Exploiting the fact that consumers remain uncertain as to which grants, if any, they may be eligible for and indeed, which grants actually exist, consumers can find themselves subjected to aggressive sales practices, tenuous contracts which often create difficulty to seek redress and spurious claims that the companies are indeed legitimate, claiming to be endorsed and backed by Government funding.
Capitalising under the guise of these grants, the risk posed by such rogues is higher and potentially more damaging than ever where the long term impact of this unscrupulous crime is often much more than the financial loss, indeed the health and wellbeing of the victim can suffer tremendously.  Not forgetting of course, how much this crime can hurt local legitimate business in turn creating a knock on effect on the economy.  Ultimately everyone loses out apart from these sham traders.  

14. Case Study
At 75 years of age, Allan was enjoying a comfortable retirement with no financial constraints and no mortgage.  One afternoon, Allan was called upon by salespeople offering him the opportunity to take advantage of energy efficiency measures for his home.  Eventually Allan conceded and agreed to a boiler, solar panels and energy saving lightbulbs. 
The cost of which amounted to £1650 but the salespeople informed Allan that he had qualified for a Government grant which would cover £800 of the work, making the total cost a little easier to manage. 
However, on completion of the installation, Allan was presented with a final bill of almost £10,000 and through the myriad of paperwork it eventually came to light that he was tied into a credit agreement would take 23 years to finally pay off.  At which point Allan would almost be 100 years old. 
Additionally and despite being assured that any work would be cost neutral, there was absolutely no difference to his bills after the installation of the panels and indeed, Allan was considerably out of pocket paying off the additional debt he had taken on.  

15. Online Scams Romance Impersonation of UK officials
Legitimate Business (Amazon / PayPal)
Inheritance Scams
Did you know? 53 per cent of the population now view online crimes as seriously as 'physical world' crimes, destroying the notion internet fraud is 'faceless' and of less importance than other offences.
Criminals trick internet and users into giving personal details, including financial information, in order to steal their money.
Romance Scam - a confidence scam whereby a criminal displays (fake) romantic intentions towards a victim in order to gain their affection and trust to extort money.
Impersonation of UK officials - criminals impersonate a UK official to obtain personal information and steal money, often claiming that the victim is due a refund or must make an urgent payment. Example of this scam: HMRC Tax Rebate Scam and the Council Tax Scam.

16. Would you Respond?
Distribute the Example Scam Mail (postal and online) resource (laminates).
Ask participants to look at the example and answer the question – Would you respond to this ?
Ask participants to identify any of the typical themes, i.e. too good to be true offers that might make them not respond. Ask participants to shout out anything they spot, explaining if and why they are correct. Go through any remaining points making sure that you make it clear that most scam s will contain some or all of these points.
does not match the organisations web address.
Poor spelling and grammar. Words may also be misspelt to avoid spam filter - example, scam may be spelt
Urgent offers and pressure to respond quickly - example: hurry, don’t miss out, respond today, immediate action required.
Requests for personal or banking information – most legitimate organisations, especially banks will not ask for this information in an .
Incorrect URL / website links. Or shortened URLs that do not show the actual address.
Overuse of capital letters.
Subject and content do not match.
Vague, generic or non-existent subject lines.
Often contains an attachment.
Does not include a signature, or the signature does not include adequate contact information, i.e. might just say the person’s name and/or job title, etc. but will not include any organisation details, such as a telephone number, address, etc.
Not addressed to anyone, i.e. dear customer / friend, etc. – does not include the customer’s first name/surname.

17. How to Spot a Victim Postal Scams Post office Mail Stamps Cheque books
Products
Free gifts
Telephone Scams
Phone calls
Payments
SMS messages
Friends
Helpful caller
Opportunities
Doorstep Scams
Poor quality
Unnecessary work
Fearful
Pressure
Cash withdrawals
Online Scams
Suspicious s
Final demands
Refunds
Online relationship
Payments
Postal Scams
Have lots of scam mail in their home, including lots of post from companies abroad.
Make regular trips to the post office or bank.
Buy a large amount of stamps.
Use an unusual amount of chequebooks.
Have lots of beauty or food products around the home.
Have ‘free gifts’ or ‘lucky’ objects sent from scammers, such as pendants, badges, etc. and items that are supposedly for protection.
Telephone Scams
Receive high volume of phone calls a day.
Make regular payments over the phone each day.
Receive suspicious SMS Text messages.
Feel that the people calling them are friends as the scammers are the only people they have regular contact with.
Talk about a helpful caller who has helped them to resolve an issue, i.e. ‘fix’ their computer or sort out a banking issue...
Speak of fantastic investment opportunities that they have been given or become involved in.
Doorstep Scams
Have work completed on their property or garden, which is of poor quality or takes a long time to complete.
Agree to further unnecessary works at the property.
Fearful of opening the door or going out.
Feel under pressure from those carrying out the work.
Make large cash withdrawals to pay for work rather than use a secure payment.
…notes for this slide continued on next page
Online Scams
Have received a suspicious or unexpected asking them:
For personal details or banking information.
To click on a link.
Or to open an attachment.
Talk of unexpected final demands or refunds from a UK official, such as the HMRC or the local council.
Talk of a new online relationship where they mostly have contact by telephone, or on the internet and the person is in need of money.
Discover unexpected payments have been made from their account.
A common theme for all scams is that the victim may be:
Experiencing financial hardship which prevents them from stocking their kitchen cupboards, heating their house or paying bills as a result of spending money on scams (or extortionate amounts for work – doorstep scams).
Spending a lot of their time on scams and therefore have begun to neglect themselves or their home.

18. Working Together Identifying potential victims; Call Blocking project;
Setting up a system of referrals

19. Contact Details
Laura Jamieson Policy and Improvement Manager