Watch out for scams

Masters in the art of manipulation, scammers use social networks and online dating sites to trick their victims into feigned relationships to get money from them under a variety of pretexts. They usually live in another country or province and let the long-distance relationship build over a period of several months. The victims, both men and women, are convinced they are in a real relationship. Before they have a chance to meet, an unexpected event occurs such as an accident, illness of a family member, lack of funds to travel to meet in person, or trouble with the law, generating a request for money. More and more requests for money follow.

Victims often lose their life savings and have to live with the grief and embarrassment that the relationship they believed in was a scam.

In 2017, dating and romance scams cost Canadians $22.5 million.

To learn more, read the article Dating scams: when love comes at a price.

In this type of scam, the fraudster claims to be the grandson of the person on the other end of the line or a loved one. He says that he needs money immediately following an accident, trouble with the law or various problems in a foreign country.

The fraudster's scenario

He calls an elderly person and claims to be one of her grandchildren or a loved one in need of help. He says: "Hi grandma, it's me! Do you know who this is?" Convinced that she is speaking to one of her grandchildren or a loved one, the elderly person replies: "Yes, it's [person's first name]."

How to detect this type of scam

The fraudster:

• claims to be the grandson of the person on the other end of the line, but may also pose as a neighbour, friend, police officer, lawyer or doctor
• claims to have been in an accident, to be in trouble with the law or to have various problems in a foreign country
• explains why his voice is different by claiming to be injured or saying that the call quality is poor
• says that it is an emergency
• insists that it remain a secret

Tips

• Ask a few personal questions to the person on the other end of the line that only your real grandchildren or loved ones can answer: name of a parent, his or her city of birth, a unique family moment, etc.
• Hang up right away if you have doubts about a call.
• Validate the information with a family member or contact your caisse even if the person on the other end of the line said that your conversation must remain a secret.
• Never transfer money immediately after getting a request to do so by phone.
• To get psychological support, contact your CLSC (in French only) - External link. This link will open in a new window. or the Crime Victims Assistance Centre (CAVAC) - External link. This link will open in a new window..

Have doubts about a situation?

Learn more:

• Accès D
• Toll-free: 1-800-CAISSES (1-800-224-7737)
• Canadian Anti-Fraud Centre
• Toll-free: 1-888-495-8501
• Toll-free fax: 1-888-654-9426
• Email - This link will open in a new window.
• Aide Abus Aînés
• Toll-free: 1-888-489-2287
• Ligne Tel-Aînés
• 514-353-2463
• Email - This link will open in a new window.
• Police
• Toll-free: 911
• Your local police station.

Be wary of sites that post application forms that require personal information (name, social insurance number, date of birth, address, phone number, etc.). Fraud artists post tempting job offers using the names of prestigious companies.

Classified ads also sometimes disguise pyramid schemes as legitimate job offers. Be careful! Pyramid schemes are illegal under The Competition Act and you could be prosecuted.

Some companies say they will give you credit even if you have a bad credit rating. They usually request an up-front fee, which may range from hundreds to thousands of dollars. Once you send your money to these companies, you never get your promised loan and you cannot get your money back.

In most provinces and territories, it is illegal for a company to request an up-front fee prior to obtaining a loan.

A scam known as a Nigerian Letter Scam also claims many victims. It begins when a victim receives an urgent and confidential email from a well-connected Nigerian making a business proposition. He may claim to have recently come into some wealth or inherited a family fortune and that he is looking for a foreign partner to help claim these assets.

He explains that his position prohibits him from opening a foreign bank account and asks his victim to deposit the money (often between $25 and $50 million) into their account in exchange for a certain percentage. To complete the transfer, the scammer requests personal financial information (name of financial institution, telephone and fax number, account number, etc.)

The outcome is simple: as a test, the scammer transfers several thousand dollars into the victims' account and asks his victim to send back a portion to his home account. A few weeks later, victims learn that the transfer has bounced and that the money they transferred into the scammer's account cannot be recovered from the overseas bank.