WorldRemit: Four Money Transfer Scams to Beware of in 2023

BY IMANE CHARIOUI, DIRECTOR OF FRANCOPHONE AFRICA, WORLDREMIT

The rapid growth of mobile money technology has disrupted the financial sector in Sub-Saharan Africa, fuelling social-economic transformation in many countries and the growth has provided considerable benefits to citizens looking to access reliable financial services.

In fact, Africa accounts for 70% of the world’s $1 trillion USD mobile money value. In 2021, the value of Africa’s mobile money transactions increased 39% to $701.4 billion USD from $495 billion USD in 2020, highlighting the future of banking in the continent as mobile money reduces transaction costs for users and helps households to manage their cash flows more effectively, manage risk and build working capital

In Cameroon, the rise of mobile money has enabled 98% of the population to be covered by a mobile GSM network (2G and above), accelerating financial inclusion and improving the welfare of low-income households

However, criminals have also discovered the opportunity this presents and the National Agency for Information and Communication Technologies (ANTIC) reported that cybercrime caused financial losses of 12 2 billion CFA Francs to the Cameroonian economy in 2021, double the losses reported in 2019

These losses were primarily due to scamming, and phishing, a technique used by fraudsters to obtain personal information to perpetrate identity theft amounted to 6 billion CFA Francs.

With these developments, managing security and privacy in a dynamic and vulnerable environment remains crucial. WorldRemit, a leading global payments company, has identified the top four money transfer scams occurring in the industry in 2023 that Cameroonian residents should look out for.

The four scams include email scams, such as taxation scams, where scammers impersonate the ATO, and online dating scams, where scammers can play on emotional triggers to get you to send money

In 2021, Interpol’s African Cyberthreat Assessment Report indicated that the highest-reported and most pressing cyber threat in Africa was indeed online scamming

Additionally, online shopping scams, such as overpayment scams, where scammers ask you to ‘refund’ an overpayment before you realise the credit card has been stolen or a payment receipt is fake, and Facebook impersonation scams, including money flipping scams that promise quick cash if you invest

“WorldRemit takes online security very seriously and we understand many of the tricks and techniques behind some of the most popular scams. We want to educate Cameroonians on what scams look like so that our customers can understand what to avoid and protect themselves from getting scammed,” said Imane Charioui, Director of Francophone Africa at WorldRemit.

Imane Charioui shares her top tips to avoid these four popular money transfer scams

Tips for avoiding email scams

Don’t click on links or open attachments in an unsolicited email.

Check the sender’s email address matches the website address of the organisation it says it’s from. Be wary if the email doesn’t use your name and says something like “Dear customer”

Avoid emails with a sense of urgency, asking you to act at once

Beware of emails with poor grammar and spelling mistakes

Never share personally identifiable information with someone who has contacted you unsolicited This includes banking and credit card information, your birth date, and Social Security/ Social Insurance numbers

Keep your devices updated with antivirus software to protect yourself from any malware

Tips to avoid online dating scams

Don’t trust those asking for you to share money, gifts or your bank account/credit card details Use social media channels and online to see whether their dating profile is consistent with their other online profiles

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“Always double-check who is asking you to send money, and if you are not comfortable with the transaction, don’t pursue it Also avoid using third-party intermediaries, or agents who offer to make transactions on your behalf, and if you need to transfer money overseas, once you have checked the recipient, use a trusted money transfer service like WorldRemit to ensure that your money does arrive in time.”

As a rule, we advise that you shouldn’t send money to someone unless you have met them in person or via video

Tips for avoiding online shopping scams

Make sure that the website has ‘https’ in the URL (the extra ‘ s ’ is for ‘ secure’) and a small lock icon on the address bar Even then, the site could be unreliable

Read reviews about the quality of the merchandise, and make sure you ’ re not buying cheap and/or counterfeit goods

Check on the website for a clear refund policy and method of contact should you have a customer query

The website should not include an option to use an IMT to make the payment

Tips for avoiding impersonation scams

Don’t accept friend requests from people you don’t know and have never met.

Don’t share your password with others. When logging in, use two-factor authentication. Avoid connecting to public and free Wi-Fi networks. Keep your browser and apps updated. Add an added layer of security and use proactive cybersecurity software.