HOW SOCIAL MEDIA IS USED TO FIND VICTIMS
Fraud via social media takes many forms, depending on the type of social account (LinkedIn, Instagram, Facebook, X etc). It not only affects individuals but businesses too where criminals may fraudulently imitate a genuine company. In other cases, business hackers use social media to steal personal data or gain control of your social media accounts which leads to confusion for clients and those using the genuine company’s services. There are also the widely publicised fake cryptocurrency and investment opportunities, which are one of the biggest scams using social media platforms. The implications of social media fraud are potentially enormous causing financial loss and damage to a company’s reputation.
The police body responsible for fraud, Action Fraud, reports that more than 80% of fraud is cyber-enabled, with Ofcom estimating that 23% of fraud takes place on social media.
A study by the campaigning body ‘Clean Up The Internet’ (CUTI) found that the ease of creating anonymous and fake social media accounts is a major enabler of online fraud.
The study recommends those using social media should be able to check other users’ verification status and that this could become a key fraud prevention measure. CUTI founder Stephen Kinsella said: “Online fraud is a huge problem, and almost every scam on social media relies on the use of fake accounts. User verification could therefore be a huge help with preventing fraud — but only if it’s obvious to everyone which accounts are verified and which aren’t.”
At the time of writing this, The Online Safety Bill (full title: A Bill to make provision for and in connection with the regulation by OFCOM of certain internet services; for and in connection with communications offences; and for connected purposes) is awaiting the final stage of Royal Assent when it will become an Act of Parliament. Whilst the forthcoming regulation is a move in the right direction, how this will impact on fraud via social media it is yet to be seen. It is therefore always important to undertake research if you are using a company’ services or thinking of investing and to regularly monitor your own social media platforms.
