Consumer Corner: Beware of energy scams this winter

Experts say consumers in Ireland should be on the lookout for energy-related fraudsters targeting them.

Consumers have been warned to be on high alert for unusual scams this winter. Fraudsters will stop at nothing to try and trick people into parting with their money and they are constantly coming up with new ways of doing it.

This winter especially fraudsters are expected to target people in Ireland this winter with energy related scams via texts, emails and calls as they pretend to be their energy company in order to scam them.

In the UK consumer website Which? issued a warning to people saying they could be targeted by fraudsters who are always on the lookout for new ways to part people from their hard-earned cash, adding that the energy crisis is no exception.

Darragh Cassidy from consumer website Bonkers.ie says consumers in Ireland should also be on the lookout for energy related fraudsters targeting them.

“Unfortunately we always need to be on the lookout for financial scams these days. Every year the fraudsters get more clever and cunning it seems and there is a fear that fraudsters will prey on people’s anxiety around energy costs this winter,” says Mr Cassidy.

Mr Cassidy says that given that the Government is automatically paying the energy credit this winter could help to benefit fraudsters.

“Like last time, the money will be credited automatically onto people’s electricity bills. It won’t be deposited into people’s current accounts or paid out in cash or have to be claimed in any way,” he says.

He says this method of paying the credit could work in fraudsters' favour as they will likely target consumers via text or email pretending to be from their energy provider and asking them to claim the credit. However the advice is that if you receive any such text or email you should delete it immediately.

New technology means it’s possible for fraudsters to call people on a number that looks the exact same as their bank or even energy supplier.

“So even if you receive a call from a known number, hang up if you’re in any way suspicious,” adds Mr Cassidy.

Rocio Concha, Which? Director of Policy and Advocacy adds that consumers should be on high alert for energy-related scams and if in any doubt, should verify the email directly with the company before giving any personal information.

Scams are now commonplace in society and we are targeted by fraudsters via so many routes. Every day there seems to be a new scam on the go and it is up to ourselves to make sure we protect ourselves and our money. All fraudsters want is your money, they don’t care about you as a person.

Visa released figures which showed that consumers are targeted around twice a week by online scams. Irish banks such as AIB and Bank of Ireland are always warning customers about the threat of scams.

Advice from Bank of Ireland is that if you receive a suspicious text claiming to be from banks do not respond unless you are entirely satisfied that the text is genuine. They also say not to use a phone number provided in the text which could be fake and do not click on any links. They also advise deleting the text. Of course they stress that people should not share their banking details.

Recently Bank of Ireland announced that the number of combined fraudulent text message and phone call cases jumped by 40%.

Head of Fraud at Bank of Ireland, Edel McDermott says: “Fraudsters are becoming increasingly persistent in their attempts to steal people’s money. Fraudulent text messages are now being followed up by phone calls from fraudsters to convince people to hand over their details. Be vigilant if you receive a phone call from someone claiming to be from your bank, credit card company or another company you may trust, even if you get a text first that tells you to expect the call. No matter what story you are told, do not give away your card, account, or banking details. End the call immediately and do not call the number back if you are suspicious.

“And remember, do not click on links or call any numbers you receive in a text message. You can call your bank using the number on the back of your card or a listed phone number.” The Gardai are constantly asking people to be on alert for fraudsters and they say these fraudsters will try and trick you into giving personal, banking or security information. They say they may also convince you to make a money transfer to them or inform you that you have won a prize and need to send money to release it and add that their intention is to use this information to commit fraud against you or other parties in your name.

The Gardai also say to always say ‘no’ to unsolicited callers or texters seeking private information about you and say that even if the caller already has some information about you, don’t trust them because they use your name or other personal information.