- UK reports rise in friendship fraud scams targeting older people
- Scammers use social media to build trust before requesting money
- Victims lose thousands through repeated small or large payments
- Authorities urge reporting scams and limiting online personal information
Banking and charity officials have noted that older people are the victims of an increasing number of scams of so-called friendship fraud, where criminals use their loneliness and social isolation to raise funds by playing with their emotions over a long period.
In the UK, lender TSB has cited an increase in frauds where fraudsters are using social media to gain trust with the victims and then asking them to send money to them in small and repeated installments. The scams can last months or years, and thousands of pounds have been lost by a victim of what seems to be a real friendship.
As numbers quoted in the report reveal, an average victim loses approximately over £3,100, but there are cases when some might lose a lot more. One customer lost £4,000 by being convinced to chip in to cover so-called medical bills and another person paid a scammer about 60 payments over a four-year period by pretending to be a person who was escaping abuse.
The fraud normally starts as casual internet communication, usually in interest groups, and then flows into solicitation of money after trust has been built.
Fraud is Based on Emotional Control
According to experts, the scam is comparable with romance fraud, except that it is not targeted at people who seek romantic relationships but companionship. Fraudsters take time to research the social life of victims so they can reflect their interests and even develop a rapport.
To attempt and develop the relationship, Steph Harrison, a fraud specialist at TSB, said that "they can peep through what you post and replicate or repeat some of that."
After a bond has been established, solicitation of funds starts, usually in the form of an emergency, but one that is seemingly credible, like medical expenses, traveling, or day-to-day activities. The payments are normally sent through bank transfers or gift cards and are hard to recover.
These scams are also very harmful because they are prolonged, and thus victims might not detect the deceit immediately.
Caroline Abrahams of Age UK mentioned "the practice, in particular, as horrible and insidious, pointing out the emotional and financial cost."
Older individuals who are lonely or grieving especially are an easy target because the criminals want to use their loneliness and friendship craving to separate them from their money, she said.
Increased Bare Facts Are an Indication of Wider Social Dangers
The rise in fraudulent friendship incidents indicates broader issues of internet security and frailty of older generations in the virtual world. The analysts observe that the social isolation coupled with the rise in the number of older age groups who use the internet has created a fertile background to such scams.
Based on the reports, the duration of contact between fraudsters and their victims can last a long time, instilling trust and piling financial burden over time. In other instances, the victims are also forced to make continued payments through threats of losing the relationship.
The frauds also bring into focus the keep-up of the financial institutions and the financial regulators, as transactions usually have a legality and are authorized by the victim themselves.
Banks have encouraged the customers to be cautious in dealing with strangers online, especially when conversations lead to financial aid.
Prevention and Response Measures
Any demand for money by a person with whom you have no physical contact is as well an indication of a lack of trust as recommended by the experts. It is advisable to end communication as soon as financial requests come in.
The victims are advised to report the cases to fraud agencies and inform their banks about them as soon as possible. Recording communication might help in investigations and recovery.
Relatives are also encouraged to be alert, especially when their elderly family members become friends with new people on online platforms. It can be discussed openly about online safety and financial risks and therefore could identify possible scams beforehand.
Law enforcement suggests that social media privacy settings should be reviewed to achieve a reduced level of personal data disclosure to strangers, eliminating the risk of selective manipulation.
The trend of friendship fraud indicates the change of financial crime, which now involves emotional exploitation, along with the application of digital means to exploit vulnerable people, to an even greater extent.
