Types of business fraud and scams

Bank impersonation scams

In a bank impersonation scam, a scammer calls, texts or emails saying they’re from your bank. They say there’s a problem with your account, like a security breach or suspicious payment. They sound urgent and convincing.

To fix the problem and secure your account, the scammer tells you to follow their instructions. They then direct you to a fake website or live chat, asking you to click on a link that’s actually malicious. Clicking this link downloads a remote access app, often AnyDesk, giving them access to your device and, potentially, your accounts. They ask for one-time passcodes or activation codes and persuade you to authorise payments in the app, or activate a mobile device for online banking. If you do as they ask, they can gain access your account and steal your money.

Invoice redirection scams

Invoice redirection is when a scammer poses as a supplier, vendor or senior executive to trick you into sending them money.

The scammer often contacts you using a spoofed or hacked email, typically targeting finance teams. They say their business bank details have changed and give you a new sort code and account number to use for payments. .

Registered device scams

This is where a scammer tries to set up your account on their device. They call pretending to be from our fraud team. They say there’s an issue with your account and you need to follow some simple instructions to reactivate it. They convince you to share activation codes or one-time passcodes.

Then the scammer directs you to our app or online banking to approve a new device registration. If you do this, the scammer can access to your account.

How to avoid registered device scams 

• Don't share activation or one-time passcodes with anyone
• Regularly check which devices have access to your bank accounts
• Check the URL before clicking links in messages, emails or websites
• Phone us immediately if you’re concerned

Remember, we’ll never contact you to:

• direct you to a live chat on a website to secure your account
• use a remote access app to view or control your device
• give us an activation code or one-time passcode
• authorise, reauthorise or reverse a payment
• give us a Token 3 response: these are only used to authorise a payment
• add a code to your phone number: codes starting *21* are used to set up call forwarding that direct your calls and messages to fraudsters

How to check your registered devices in our app 

You can see the devices registered to your account in our app. It’s important to check this list regularly.

1. Sign in and tap ‘More’
2. Tap ‘Logout, access and security’
3. Tap ‘Mobile app access’

If you don’t recognise a device in the list, take a note of its details, and then delete it.

Then phone us immediately to report fraud. And check your device for malware.

Purchase scams

Purchase scams are when you pay for goods or services that don’t exist. They mainly happen online with ads on social media or fake websites offering low prices or short-term offers. These are designed to rush you into placing an order.

The scammer often asks for a large deposit or to be paid by bank transfer. But, after you pay the money, you discover the goods or services don’t exist.

CEO impersonation scams

CEO impersonation, or business email compromise, is where a scammer pretends to be a senior executive. They then trick an employee into sending money or sharing sensitive info.

The scammer either spoofs the email or gets it through a phishing attack. They then email the employee telling them to make an urgent payment, change payment details or share confidential info. The email pressures the employee by stressing urgency and secrecy.

Investment scams

Investment scams target businesses with fake or misleading investment opportunities. They can involve fake startups, financial products or business ventures and promise guaranteed, or unusually high, returns with little risk.

The scammer contacts you by phone, email, social media, or even in person, posing as an investment advisor, fund manager, or representative of a promising venture. They present a compelling investment opportunity, often offering cryptocurrency or shares in a startup. They use short-term offers, high-pressure tactics, or supposed insider tips to rush you. Then they ask for money to secure the investment.

Get help from Take Five

Take Five to Stop Fraud is a campaign led by UK Finance. See how it can help you and your business stay safe from fraud.