Money & Budgeting

Common Scams UK — How to Spot and Avoid Fraud

Guide to recognising common scams in the UK. Phone scams, email phishing, investment fraud, and romance scams — how they work and how to protect yourself.

By PocketWise · · 4 min read

Scams cost UK victims over £1 billion annually. Here’s how to protect yourself.

Most Common Scams

Overview

Scam Type Typical Loss
Investment fraud £10,000-£100,000+
Romance scams £5,000-£50,000+
Bank impersonation £1,000-£10,000+
Purchase scams £100-£1,000
Phishing Varies widely

Phone Scams

How They Work

Scam Approach
Bank impersonation “Fraud on your account”
Police impersonation “Helping us catch criminals”
HMRC impersonation “Tax refund” or “arrest warrant”
Tech support “Your computer has a virus”

Warning Signs

Red Flag What It Means
Unexpected call You didn’t initiate
Urgency “Act now or face arrest”
Request for PIN/password Legitimate banks never ask
Transfer to “safe account” Classic scam tactic
Caller ID looks genuine Can be spoofed

How to Protect Yourself

Action Why
Hang up No legitimate caller will object
Call back on known number From your card or statement
Use different phone Scammers can hold the line
Never share full PIN/passwords Bank will never ask
Don’t be pressured Take time to think

Email and Text Scams (Phishing)

Common Phishing Attempts

Pretends to Be Message Type
Banks “Suspicious activity detected”
HMRC “Tax refund waiting”
Delivery companies “Redelivery fee needed”
PayPal/Amazon “Payment problem”
Netflix/Apple “Subscription issue”

How to Spot Phishing

Check What to Look For
Email address Often wrong domain
Spelling/grammar Often poor
Generic greeting “Dear customer” not your name
Links Hover to see real destination
Urgency “Account suspended”
Request for info Real companies don’t ask via email

What to Do

Action Details
Don’t click links Go to website directly
Check sender Email address not just name
Forward to report See reporting section
Delete Don’t engage

Investment Scams

Types

Scam How It Works
Crypto scams Fake platforms, impossible returns
Clone firms Impersonate real FCA-registered firms
Boiler room High-pressure share sales
Forex scams Fake trading platforms
Recovery room Promise to recover previous losses

Warning Signs

Red Flag Reality
Guaranteed returns No investment is guaranteed
Very high returns Too good to be true
Urgency “Limited time offer”
Cold call FCA-authorised firms rarely cold call
Overseas Unregulated jurisdictions

How to Check

Check Where
FCA Register fca.org.uk/register
Warning List fca.org.uk/scamsmart
Companies House Company registration
Clone firm check Contact company direct

Romance Scams

How They Work

Stage What Happens
Contact Meet on dating site or social media
Build trust Communicate for weeks/months
Excuses Can’t meet in person
Crisis Medical emergency, stuck abroad
Money request Wire transfer, gift cards
Repeat More requests follow

Warning Signs

Red Flag What It Means
Too perfect Photos often stolen
Can’t video call Not who they claim
Quick declarations of love Manipulation
Always a reason not to meet They’re not real
Financial problems Every story leads to money

Protection

Action Why
Reverse image search Check if photos are stolen
Video call Verify identity
Never send money No matter the story
Tell someone Get outside perspective
Meet safely Public place first

Purchase Scams

Where They Happen

Platform Scam Type
Facebook Marketplace Non-existent goods
Fake websites Clone of real retailers
Social media ads Too-good prices
eBay/Gumtree Non-delivery, fakes

Red Flags

Warning Sign What It Means
Price too low Probably fake
Payment by bank transfer No protection
Pressure to pay fast Doesn’t want you to think
No reviews Unverifiable seller
Generic website Copied from elsewhere

Safe Purchasing

Action Protection
Pay by credit card Section 75 protection
Use PayPal Goods & Services Buyer protection
Check reviews Trustpilot, etc.
Verify website Correct URL, padlock
Collect in person Where possible

Doorstep Scams

Common Types

Scam Approach
Rogue traders “I noticed your roof needs repair”
Distraction burglary “Can I check your water?”
Fake charity Collecting “donations”
Council worker impersonation Check ID

Protection

Action Why
Check ID carefully Verify independently
Don’t pay on doorstep Legitimate traders invoice
Never let unexpected visitors in Even if they seem official
Use chain or camera Before opening fully
Say no to pressure “I need to think”

If You’ve Been Scammed

Immediate Actions

Priority Action
1 Contact bank immediately
2 Stop any ongoing payments
3 Change compromised passwords
4 Report to Action Fraud
5 Keep evidence

Reporting

Organisation What to Report
Action Fraud All fraud (0300 123 2040)
Bank Unauthorised transactions
FCA Investment scams
report@phishing.gov.uk Phishing emails
7726 Forward scam texts

Getting Money Back

Type Chances
Credit card fraud Good — Section 75
Debit card fraud Reasonable — chargeback
Bank transfer (APP) Possible under CRM code
Cash/gift cards Very unlikely

Summary: Scam Protection Checklist

Golden Rules

Rule Why
If it’s too good to be true… It probably is
Take your time Scammers create urgency
Verify independently Don’t use details they provide
Never share PINs/passwords Legitimate firms don’t ask
Trust your instincts If something feels wrong

If Contacted Unexpectedly

Action Details
Don’t engage Hang up, delete
Call them back On a known number
Check independently FCA register, company website
Talk to someone Get another opinion

Regular Protection

Action Frequency
Check bank statements Weekly
Review credit report Monthly
Update passwords Regularly
Check for data breaches When notified

Key Contacts

Service Contact
Action Fraud 0300 123 2040
Bank fraud line Number on your card
FCA consumer helpline 0800 111 6768
Citizens Advice 0800 144 8848

Scammers are sophisticated, but most scams follow patterns. Take time to verify, never act under pressure, and report any suspicious approaches — even if you didn’t lose money.

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Sources

  1. Action Fraud
  2. FCA — Scams