Scams hide in plain sight

The Call That Sounds Reassuring

It starts with a phone call that appears to be from your bank. The caller sounds professional, knows your name and asks you to confirm personal details. They warn of suspicious payments you did not make, reassure you the transactions have been blocked, and say urgent action is needed to secure your account.

You are asked to approve a notification or read out a one-time code. It feels sensible, even responsible. In reality, that single action can give criminals full access to your card through a digital wallet, allowing them to make high-value purchases that are quickly resold.

How the Scam Works

The fraud usually begins earlier with phishing. A text message, email or online prompt encourages the victim to share personal or banking details, often dressed up as a bargain, refund or official notice. Days or weeks later, a phone call follows.

Armed with real information, the fraudster claims to be from the bank, invents fraudulent transactions and creates urgency. The code or notification the victim is asked to approve is genuine, but it relates to adding the card to a mobile wallet rather than blocking fraud. In a moment of panic, victims believe they are protecting their money when they are actually unlocking it.

Pressure, Panic and Persuasion

Fraud specialists say the emotional element is central to the scam’s success. Victims are told their account is under attack and that delay could mean losing everything. Under pressure, approving a notification feels like the safest option.

Criminals exploit trust in bank branding and security language, mixing social engineering with legitimate banking processes. The result is a scam that bypasses many traditional defences by persuading customers to authorise access themselves.

A Growing Problem for Banks

UK banks and industry bodies confirm digital-wallet fraud has become a major source of card losses. Some lenders say it is now one of the leading causes of card-based scams, with attempts rising over the past year as criminals adapt to tougher security elsewhere.

Industry groups warn that stronger protections in one area often push fraudsters to try new angles, rather than deterring them altogether. Digital wallets have become a particular target.

Convenience Comes With Risk

The rapid growth of mobile payments has created new opportunities for criminals. Digital-wallet use in the UK has risen sharply over the past few years, with billions of transactions now flowing through smartphones and watches. Contactless and mobile payments dominate everyday spending, making them an attractive channel for fraud.

For criminals, goods bought through digital wallets can be high-value and easily resold, turning a single successful scam into fast cash.

The Cost of Scams Remains High

Overall losses from fraud remain substantial. Hundreds of millions of pounds are stolen from UK consumers each year, despite banks blocking large volumes of attempted scams. While some forms of unauthorised fraud have eased slightly, authorised push payment scams and social-engineering attacks continue to drive losses higher.

The figures highlight both the scale of criminal activity and the limits of existing safeguards when customers themselves are manipulated into approving transactions.

What Banks Say to Do

Banks are clear on one point: they will never ask customers to secure an account over the phone. Anyone who receives an unexpected call claiming to be from their bank should hang up and call back using a trusted number found independently, such as on the back of a card or an official website.

Customers are also urged to be cautious about one-time passcodes and prompts, checking exactly what they are being asked to approve. Setting up account alerts, monitoring transactions closely and acting immediately if something looks wrong can limit damage.

Staying Safe as Scams Evolve

Technology firms say responsibility for approving cards and preventing fraud ultimately lies with banks and payment schemes, though collaboration continues behind the scenes. For consumers, the most effective defence remains scepticism.

Unexpected calls, urgent demands and requests to approve codes should all raise red flags. As mobile wallets become ever more common in the UK, the scams targeting them are becoming more sophisticated. Staying alert, slowing down and using independent contact channels can make the difference between stopping a scam and losing money.

Sourced by Noah Wire

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