Consumers shop online for convenience and savings. However, online shopping poses risks to the consumer. A Federal Trade Commission of the United States recently reported a steep increase in the number of online scams on social media (e.g Instagram, Facebook and Twitter). Social media has provided a platform for unfiltered and unverified advertising campaigns. Many consumers are duped into believing that the content they see on-screen are by their favourite brands. The basic modus operandi for such schemes is almost the same as a phishing attack: get the victim to click on a malicious link that will divert them to an attack site.The concern here is the use of the digital advertising ecosystem to deliver personalised links to lure victims into the perpetrator's net.
This approach has expanded from the use of social media to other platforms, such as email, text messages or even cold calls.
Fraudsters focus on a victim's hope, greed and fear. The lure of great deals and large discounts or rewards for a small effort are a means to influence victims.
Read further of an exclusive interview with Certified Fraud Examiner (CFE) and Anti-Money Laundering Specialist (CAMS), Mr. Raymon Ram on how to spot online scams.
Source: New Straits Times