We’ve got some important news about scams in the UK. Almost all adults (94%) are now taking extra steps to avoid falling victim to fraud, according to new research from Featurespace, a global fraud prevention company.
The Stats
- Victims Everywhere: 30% of UK adults have experienced financial fraud.
- Rising Attempts: Over half (55%) have noticed more scam attempts in the past year.
- Common Crime: Fraud is the most common crime in the UK, making up 40% of all offenses in England and Wales.
- Huge Losses: Last year, nearly £1.2 billion was lost to fraud, with Authorised Push Payment (APP) fraud being a major contributor. UK Finance’s 2024 Fraud report noted a 12% increase in APP cases in 2023, totaling £459.7 million in losses.
Social Stigma
Despite the prevalence, many victims feel embarrassed and don’t talk about their experiences:
- Staying Silent: Only 20% of scam victims talk to friends and family about it.
- Embarrassment: 13% didn’t report the scam due to feeling ashamed.
Banks Stepping Up
Banks play a crucial role in helping customers recover their money and feel supported:
- Customer Support: 68% of scam victims are satisfied with their bank’s support.
- Educational Efforts: 57% appreciate banks providing extra information on how to stay safe from fraud.
Technology to the Rescue
Banks are using advanced tech to fight fraud, and it’s making a difference:
- AI and Data: Banks use AI and machine learning to detect fraud in real-time by creating anonymized profiles to spot unusual activity.
- Successful Pilot: Featurespace’s pilot with Pay.UK showed an uplift of over £138.7 million in additional fraud detected.
Success Stories
- NatWest: Featurespace’s solution improved NatWest’s scam detection rate by 135% and reduced false positives by 75%, speeding up genuine transactions and cutting costs.
Key Types of Scams:
- Authorised Push Payment (APP) Fraud: When scammers trick you into authorizing a payment to them.
- Social Engineering Scams: Where scammers manipulate you into giving up confidential information.
Regulator-Validated Practices:
- Report Scams: Contact the National Crime Agency (NCA) or Action Fraud if you suspect you’re a victim.
- Stay Informed: Follow updates from trusted sources like the NCA and UK Finance to keep up with the latest scam trends.
Stay Safe, Stay Informed
Remember, staying informed and cautious can make all the difference. If something seems off, trust your instincts and verify the source. Together, we can outsmart the scammers!
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