The rising cost of living has lead to 82 per cent increase in financial scams that target victims by charging fees for products and services that do not materialise, according to Lloyds bank.
Victims lost £711 on average, and although the amount lost is lower than £1,194 recorded the previous year, the bank said fraudsters appeared to be pursuing a higher volume of lower value scams in the current economic environment.
Fake ads for loans, jobs and rental properties are among the most common tactics currently being used by criminals with reports of ‘loan fee’ scams doubling over the last year.
London saw the highest number of cases of advance fee scams in the UK last year, with the West Midlands was a particular hotspot as, relative to population size, the number of cases reported was around 20 per cent higher than the national average.
Those aged between 25 and 34 are most likely to fall victim, followed by 35 to 44 year olds; those two age groups make up around half of all victims.
The rise of the fast loan scam
Reports of loan fee scams have more than doubled over the last 12 months, up by 105 per cent compared to the previous year, with the number of cases continuing to rise sharply.
The average amount lost by victims last year was…
