Reports show that overall scam cases have risen in the first half of 2024.
A total of 26,587 cases were reported, with at least S$385.6 million lost – a 24.6% increase.
Overall, scam cases in Singapore between January and June rose 16.3% compared with the same period last year.
Young people fall for scams too!
The majority of scam victims (74.2%) were youths, young adults and adults under the age of 50.
However, the average amount lost per elderly victim was the highest among the age groups.
This article was written by a Financial Horse Contributor.
Singapore Police Force highlighted Meta, WhatsApp and Instagram as being most often exploited to contact potential victims and carry out scams.
Additionally, more people are falling victim to Telegram scams, with a 137.5% increase in cases.
1. Government impersonation scams
The average amount lost in each scam was S$14,503, an increase of 7.1% from last year.
Government officials impersonation scams caused the highest losses on average, with victims losing about S$116,534 in each case.
A total of 580 such cases were reported in the first half of 2024, with losses of at least S$67.5 million.
Government officials impersonation scams typically involve criminals posing as local government officers such as from ICA, MAS or representatives of Chinese authorities or bank employees.
Common tactics include sending a text message, claiming to be from your bank or the authorities, and ask for sensitive information like your account number or PIN, suggesting there’s a problem (like a confiscated parcel, alleged fines, or similar) that requires immediate attention.
These scams often involve creating a sense of urgency or fear, prompting the victim to act quickly without verifying the authenticity of the request.
2. Investment scams
Investment scams are the most common type of scam, accounting for 38.6% of all cases for the first half of 2024, according to the Singapore Police Force.
Fraudsters often promise high returns with minimal risk, using platforms like Telegram, Facebook, and WhatsApp to contact victims. Many scams involve fake investment opportunities in cryptocurrency, foreign exchange, or other financial products. Victims are typically lured into transferring money, only to find that their investment is gone.
3. Fake job scams
A survey conducted by AsiaOne shows that nearly one in two respondents have received a message from a fake job recruiter asking if they were keen to apply for a job.
Job scams involve promises of lucrative employment opportunities, only to dupe victims into parting with personal information or money.
Scammers may also create fake job postings on legitimate job platforms to lure in unsuspecting job seekers.
Credible employers and recruitment agencies will never ask for payment as part of the employment process.
There are also “WFH” type of job scams. Job offers include performing tasks for a commission such as making advance purchases, liking social media posts, reviewing hotels or restaurants or airlines, completing surveys, “boosting” the value of cryptocurrencies, or “rating” mobile apps to improve their rankings in app stores.
4. CPF scams
The maximum amount of money that can be withdrawn online from CPF accounts will be lowered to S$50,000 per day from Sep 25.
The maximum online withdrawal limit is currently S$200,000 per day. Lowering it provides greater deterrence to scammers and can help to “limit the potential losses” in a scam, the CPF Board said.
“While lowering the maximum (daily withdrawal limit) may cause inconvenience to some, we seek CPF members’ understanding that this move aims to better protect them against scams.”
From Sep 25, members who want to make large withdrawals online are encouraged to plan ahead as they will need to withdraw their money over a few days.
Alternatively, the full amount can be withdrawn in person at CPF Service Centres.
5. E-commerce scams
Online shopping scams typically involve scammers posing as either buyers or sellers on online marketplaces.
These scammers often set up fake online stores or post items for sale on trusted marketplaces.
They lure customers with unbelievable discounts or hard-to-find items and once contacted, they send over a link or QR code that leads victims to a phishing site from which they steal banking and/ or personal information. They may also send over download links or QR for a malware app.
Scammers may also pose as fake buyers. They then send fake proof of payment, followed by similar phishing and/or malware links and/ or QR codes that require the sellers to input their banking and/ or personal information to receive the “payment”.
Another type of common e-commerce scam are “bulk order” scams.
At least 60 people that fell for fake bulk order scams since April 12, with total losses more than $831,000.
The majority of cases involve scammers posing as teachers or staff from academic institutions, or buyers from reputable businesses.
How fake bulk order scams work
- Scammers would pose as “customers” and contact businesses via call or WhatsApp messages, under the pretext of making bulk orders.
- Scammers would typically make bulk orders, asking for additional items or specific brands that the businesses usually don’t stock. The fake orders may also be in quantities that retailers are unable to fulfil on short notice.
- The purported customer would then recommend that the victim buy from a “supplier” (who is also a scammer).
- Scammers may provide screenshots of fake payment documentation to assure the victims that they had made partial payment of the bulk order in advance. This would convince the victims to make upfront payment for the orders placed with the “supplier”.
- Victims would only realise the scam when they do not receive any payment from the “customer”, when the “supplier” does not deliver the goods, or when both “customer” and “supplier” become uncontactable.
How to avoid scams
Always verify the authenticity of any communication claiming to be from government agencies.
If you receive a call, message, or email from someone claiming to be from a government agency, bank, or company, always verify their identity before taking any action. Use official contact numbers or websites to check the legitimacy of the communication.
Check the URL of the website before entering any personal information. Official CPF sites will have a “.gov.sg” domain, and any requests for information should be treated with suspicion.
Do not click on links or download attachments from unknown or suspicious sources.
Be wary of requests for upfront payments, especially in cases involving job offers, loans, or purchases from unfamiliar sources.
Consider using the ScamShield app, which blocks scam messages and calls and allows you to report potential scams directly to the authorities.
Resources like ScamAlert.sg provide valuable information on the latest scams and tips on how to protect yourself.
If you suspect you’ve encountered a scam, report it immediately to the Singapore Police Force or the Anti-Scam Helpline at 1800-722-6688.