1. Phishing Scams

Cybercriminals impersonate companies, friends, or acquaintances in fraudulent messages that include a link to a phishing website. These scams often arrive through email (phishing) or text messages (smishing), aiming to steal your personal or financial information by directing you to what appears to be a legitimate website. A more targeted approach, known as spear phishing, involves attackers customizing their messages to a specific individual or organization, making the deception even more convincing and dangerous.

How to Identify a Phishing Scam

Pay close attention to details such as mismatched email domains, spelling and grammatical errors, generic greetings, and suspicious links. These subtle inconsistencies can help you identify and avoid falling victim to such scams. In the case of spear phishing, be particularly vigilant with requests for sensitive information or to update payment details.

2. CRA Scams

CRA scams are particularly prevalent during tax season and can manifest in various forms. Typically, these scams involve phone calls or text messages, often claiming that the CRA will issue you a tax refund and requesting personal information to update their records. In other instances, scammers may adopt a more threatening tone, alleging that you owe a balance or accusing you of committing tax fraud.

How to Identify a CRA Scam

Remember, the CRA will never:

• Use aggressive or threatening language.
• Threaten you with arrest or send police.
• Ask for payments via cryptocurrency (Bitcoin), prepaid credit cards or gift cards.
• Use text messages to communicate under any circumstances.
• Ask for financial information or request personal information via email, such as a social insurance number (SIN), credit card, bank account or passport details.

3. Romance Scams (also known as catfish scams)

Romance scams, can have a devastating impact on those affected. Victims often lose significant amounts of money and are left heartbroken and psychologically traumatized by the experience. Scammers may spend weeks, months, or even years cultivating a relationship to gain their victim’s trust and ultimately extract money from them, typically through social media platforms like Facebook.

How to Identify a Romance Scam

When starting a new online relationship, take steps to verify the individual’s identity by:

1. Requesting video calls to help confirm they are who they claim to be.
2. Performing reverse Google image searches on any photos they provide.

Remember, if the person asks you for your personal information or to send them money, end the conversation, it’s likely a scam.

4. Buyer / Seller Scams

Scams targeting both buyers and sellers are increasingly common on platforms like Facebook Marketplace and Kijiji. In a typical buyer scam, the scammer poses as a buyer and sends a fraudulent payment, often via a fake Interac e-Transfer link or a counterfeit cheque exceeding the item’s price. The seller, believing the payment is legitimate, may refund the overpayment, only to later discover the cheque has bounced or their banking credentials have been compromised by the link. Conversely, in a seller scam, the scammer lists a product at an irresistibly low price and may offer to hold it for a fee. Once the buyer sends the funds, the scammer disappears, often deleting the ad or providing a false address for pickup.

How to Identify a Buyer / Seller Scam

Scammers often create urgency to pressure quick decisions. Overpayment scams involve buyers offering more than the asking price and requesting a refund. Be wary of suspicious links that may lead to phishing sites. Be cautious of unsolicited sale messages from Facebook friends, as these accounts might be hacked, making offers seem legitimate. And remember, if you are registered for auto-deposit, you don’t need to log in to your bank account to accept an e-Transfer.

5. Investment Scams

Investment fraud occurs when someone attempts to influence your investment decisions using false or misleading information. Scammers may target you to invest in digital currencies, stocks, bonds, real estate, or directly in a business. Recently, scams have increasingly focused on cryptocurrencies. Fraudsters often use social media, dating apps, internet ads, or elaborate websites to create a sense of urgency and promise high returns to entice individuals to act quickly. These websites depict fake earnings, prompting the victim to invest more.

How to Identify an Investment Scam

Successful investors typically achieve gradual returns over time. Be cautious of offers promising quick, substantial gains, as these are often red flags. High-pressure sales tactics and unsolicited offers, especially via social media or email, are additional warning signs. Always verify the credentials of the person or company and ensure clear documentation and transparency. Consulting a trusted financial advisor before making significant investment decisions is wise.

Remember, if something seems too good to be true, it probably is.