UK FCA Warns of Christmas Loan Fee Fraud Surge

The UK's financial regulator has warned UK households struggling with the high cost of living to be on the lookout for fraudsters promising quick and easy loans.
The Financial Conduct Authority said that 40% of adults are concerned about being able to afford Christmas spending this year, rising to half of parents with children under the age of 18.
It added that 47% and 64% respectively feel pressured to spend above their means at this time of the year.
Over a quarter of British parents have borrowed money, or intend to, in the run up to Christmas, the FCA claimed.
It said the amount borrowed has increased by over a third, from £305 in 2022 to £412 this year.
Scammers know this, leading to a surge in loan fee fraud - a type of scam where victims are promised loans they never receive, whilst being tricked into paying an upfront charge as a 'deposit' or 'fee.
Last year, the FCA claimed cases of loan fee fraud rose 21% year-on-year for the 12-month period November 2021-October 2022.
Such scams typically result in a loss of £255, it warned.


This Cyber News was published on www.infosecurity-magazine.com. Publication date: Wed, 06 Dec 2023 09:31:02 +0000


Cyber News related to UK FCA Warns of Christmas Loan Fee Fraud Surge

Comprehensive Guide to Fraud Detection, Management, & Analysis - To mitigate risks, businesses can use risk management strategies, including fraud detection software, company policies, and staff ranging from risk managers and trust officers to fraud analysts. Affiliate Fraud - Affiliates in a marketing arrangement ...
6 months ago Securityboulevard.com
UK FCA Warns of Christmas Loan Fee Fraud Surge - The UK's financial regulator has warned UK households struggling with the high cost of living to be on the lookout for fraudsters promising quick and easy loans. The Financial Conduct Authority said that 40% of adults are concerned about being able ...
7 months ago Infosecurity-magazine.com
Deepfake Digital Identity Fraud Surges Tenfold, Sumsub Report Finds - Threat actors undertaking identity fraud have been using deepfakes ten times more in 2023 than in 2022, according to digital identity verification solutions provider Sumsub. In its third annual Identity Fraud Report, published on November 28, 2023, ...
7 months ago Infosecurity-magazine.com
Identity Fraud Rises as E-Commerce, Payment Firms Targeted - An analysis of global customer data has highlighted a 20% increase in overall fraud incidents compared to last year, largely attributed to the surge in impersonation fraud and the accessibility of sophisticated attack methods and tools. The gaming, ...
6 months ago Securityboulevard.com
5 Fraud Prevention Strategies That Help Companies Ward Off Cyber Attacks - According to PwC's 2022 survey, over half of companies experienced fraud in the past two years, the highest in 20 years of research. From cyber-attacks to wire fraud to dishonest employees, there's no shortage of threats that aim to profit off your ...
6 months ago Hackread.com
Fighting the Next Generation of Fraud - In today's digital age, the landscape of fraud is evolving at an alarming pace. In 2022, 20-59-year-olds reported 63% of all fraud in the United States. Fraudsters have been quick to harness the potential of generative AI to perpetrate various ...
6 months ago Securityboulevard.com
Holiday Threats Surge as Christmas-Themed Scams Explode - As the winter holidays approach, malicious spammers have ramped up their efforts, flooding inboxes with a surge of unsolicited emails and Christmas-themed scams, according to a Bitdefender report. Key findings indicated a steady rise in ...
6 months ago Securityboulevard.com
Does Less Consumer Tracking Lead to Less Fraud? - Authors Bo Bian, Michaela Pagel and Huan Tang investigated the relationship between the rollout of Apple's App Tracking Transparency and reports of consumer financial fraud. By default, Apple's ATT opted all iPhone users out of tracking, which meant ...
6 months ago Eff.org
PennyMac Files Notice of Data Breach That Leaked Thousands of SSNs - On October 19, 2023, PennyMac Loan Services LLC filed a notice of data breach with the Attorney General of Texas after discovering that unauthorized actors were able to access information that had been entrusted to the company. In this notice, ...
7 months ago Jdsupra.com
How Businesses Can Manage Cryptocurrency Fraud - With cryptocurrency payments on the rise, businesses must learn how to safeguard against potential risks. Businesses across the US are seeking innovative payment methods, with an estimated 75% of retailers looking to embrace cryptocurrency payment ...
4 months ago Cyberdefensemagazine.com
Anti-Fraud Project Boosts Security of African, Asian Financial Systems - A nonprofit has launched the first open source platform aimed at delivering sophisticated anti-fraud capabilities to financial systems in Africa as well as parts of Asia and the Middle East. The Tazama open source project is real-time financial ...
3 months ago Darkreading.com
DataVisor integrates SMS customer verification into its platform - DataVisor announced the expansion of its end-to-end platform capabilities with the integration of SMS customer verification for fraudulent transactions. This new offering, powered by Twilio technology, provides customers with enhanced fraud ...
6 months ago Helpnetsecurity.com
US Consumers Lose a Record $10bn+ to Fraud Last Year - US adults lost over $10bn to fraud in 2023, with investment scams the biggest earner for threat actors, according to the latest figures from the FTC. The figures represent a record high for fraud losses, having increased 14% year on year. Investment ...
4 months ago Infosecurity-magazine.com
Fraudsters have found creative ways to scam some businesses - 70% of businesses report that fraud losses have increased in recent years and over half of consumers feel they're more of a fraud target than a year ago, according to Experian. To thwart fraudulent activity in 2024, businesses need to deploy more ...
4 months ago Helpnetsecurity.com
DWP Clarifies What Bank Accounts are Targeted in Crackdown on Benefit Fraud - Identity of the bank accounts targeted in the DWP crackdown on benefit fraud have recently been made clear. The Department for Work and Pensions will examine bank accounts as part of the Data Protection and Digital Information Bill that is presently ...
6 months ago Cysecurity.news
Latest Information Security and Hacking Incidents - In a recent report by FICO on Fraud, Identity, and Digital Banking, it was revealed that nearly two million Brits may have fallen victim to identity theft last year. The analytics firm found that 4.3% of respondents experienced fraudsters using their ...
4 months ago Cysecurity.news
CyberCrime & Doing Time: Identification Documents: an Obsolete Fraud Countermeasure - When I'm talking to bankers and other fraud fighters, I often mention how easy it is for a criminal to obtain a Drivers License bearing any information they desire. In the new case, Brianna Mills, a 28-year old bank teller in Loganville, Georgia ...
4 months ago Garwarner.blogspot.com
CVE-2018-2712 - Vulnerability in the Oracle Financial Services Loan Loss Forecasting and Provisioning component of Oracle Financial Services Applications (subcomponent: User Interface). The supported version that is affected is 8.0.x. Easily exploitable ...
4 years ago
Malicious Android Loan Apps Steal Users Personal & Financial Data - There were reports of several Android loan apps that pretended to be providing loan services and easy access to funds, which were found to be malicious apps that collected personal and financial information from the victims. More than 17 applications ...
6 months ago Cybersecuritynews.com
Stepping into 2024 with a look at emerging cybersecurity risks - Avast's 2024 guide: AI risks, loan app dangers, chat scams. As we look ahead to 2024, the AI landscape is poised for some pretty big changes. As AI becomes more woven into the fabric of our daily lives, from creating content to streamlining our work, ...
6 months ago Blog.avast.com
Guardians of Finance: loanDepot Confronts Alleged Ransomware Offensive - Among the leading lenders in the United States, loanDepot has confirmed that the cyber incident it announced over the weekend was a ransomware attack that encrypted data. In the United States, LoanDepot is one of the biggest nonbank mortgage lenders. ...
5 months ago Cysecurity.news
Ransomware gang claims responsibility for Christmas attack on Massachusetts hospital - A ransomware gang has publicly said it was behind a Christmas day attack on a hospital serving parts of Massachusetts and New Hampshire. On Friday, the Money Message ransomware gang claimed it stole 600GB of information from Anna Jaques Hospital and ...
5 months ago Therecord.media
Amazon sues REKK fraud gang that stole millions in illicit refunds - Amazon's Customer Protection and Enforcement team has taken legal action against an underground store refund scheme that has resulted in the theft of millions of dollars worth of products from Amazon's online platforms. This lawsuit targets 20 ...
6 months ago Bleepingcomputer.com
SpyLoan Scams Target Android Users With Deceptive Apps - Security researchers have uncovered a surge in deceptive Android loan apps since the beginning of 2023. These applications, posing as legitimate personal loan services, attract users with promises of quick and easy access to funds. Their true intent ...
7 months ago Infosecurity-magazine.com
Advance Fee Fraud Targets Colleges With Free Piano Offers - A malicious email campaign has been discovered leveraging piano-themed messages to perpetrate advance fee fraud scams. These campaigns, active since at least January 2024, primarily target students and faculty at North American colleges and ...
1 month ago Infosecurity-magazine.com

Latest Cyber News


Cyber Trends (last 7 days)


Trending Cyber News (last 7 days)