How a “It won’t happen to me” mindset plays into the hands of fraudsters

When reading about online scams, it’s easy to think you’d never fall for something so clearly fraudulent. But cyber criminals are clever and use proven tactics to con individuals out of money and information. “It won’t happen to me” is exactly what fraudsters want you to believe.

There are countless stories of fraud in the media these days. More and more often, individuals are coming forward to share their stories of how they were scammed out of significant amounts of money – sometimes their life savings. When watching or reading these reports, a natural response is to wonder how someone could believe the story woven by the person on the other end of the phone, email or text line, and hand over hundreds or thousands of dollars. 

The reality is, however, that scammers are experts in their craft and use techniques they know will work. And scammers don’t discriminate by age, education or occupation – people of any demographic, income level, technical ability and life experience could be a victim of fraud.

Common tactics scammers use to trick their victims

Everyone has vulnerabilities. At any given time, you may be low on sleep, stressed about work, trying to keep up with young kids, going through a relationship breakdown or dealing with some financial hardship. When fraudsters reach you when your guards are down, it can be easy to fall for a scam. Here are some of the ways they play on your vulnerabilities.

Creating a sense of urgency

It is very common for a scammer to create a sense of urgency, making you “act now” in order to protect an account, claim a prize or take advantage of an investment opportunity. This urgency is meant to create a sense of panic, which undermines the ability to think clearly and rationally. By making victims rush into action, fraudsters aren’t giving them the chance to stop and think whether what they’re doing makes sense.

Using scare tactics

Another common way scammers can create a sense of panic is to use scare tactics. They may say something like, “you will be arrested – the police are on their way” or “you will be deported” if you don’t do what they tell you to do immediately. While you may think you wouldn’t respond to such a tactic, when faced with someone telling you you’ll be sent to jail, you may act without thinking the situation through.

Insisting on secrecy

So why doesn’t the target of a scam ask a friend or family member for their thoughts on the situation before withdrawing money or giving their credit card details? In many instances, a fraudster convinces them that the matter has to be kept a secret – otherwise there will be serious consequences. 

Preying on emotions

The Grandparent Scam has been one of the most common scams of recent years. In the scam, a fraudster poses as a loved one, typically a grandchild, who claims to be hurt or in trouble and in need of money immediately.  Most grandparents would do anything possible to help a grandchild in need, and fraudsters know this. They exploit the emotions and need to protect a family member to the point that the grandparent does not stop to question the situation. In this scam, urgency and secrecy also play a role which contribute to its ongoing “success.”

Creating believability

In many instances, a scammer will have more than an email address or phone number before they reach out.  Scammers are known to be meticulous in building profiles and gathering information on a target such as their name, address, family members, financial institution, employment status and more. So, when they call and have all this personal information on hand, it’s easy to believe they are calling from a legitimate institution such as a bank or government. 

How to outsmart a scammer

While scammers and their tactics are clever and effective, there are ways to outsmart them. For one, understanding what the methods are can help you spot and avoid scams – for instance, recognizing that urgency, secrecy and scare tactics are common tricks, you may be better prepared to recognize scams for what they are.  

When in doubt, consider these important steps:

• Take a step back. Take 6 seconds and think about whether the situation seems legitimate and logical.

• Ask for a second opinion. Despite any insistence on secrecy, connect with someone you trust to see if the scenario feels off.

• Don’t answer the phone if you don’t recognize the number. This is one simple yet effective way of avoiding a fraudulent situation entirely.

• Don’t give personal information or money to someone you haven’t met. Even if they call claiming to be from a legitimate company, if they’re calling you, it’s likely a scam. 

• Never make a payment in the form of crypto currency or gift cards. No legitimate organization would ever ask for payment in this way.

Remember, if targeted in the right way at the right time anyone can be a victim of fraud – regardless of their education, employment, or age.  So, believing that victims are gullible, naïve or uneducated can be a misconception that could cost you. Being aware, following these tips, and reporting any fraudulent activity you witness can help protect you and others around you.

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