How I learned to protect myself from financial scams and fraud

Contributed by Ada Tony-Ilebor, Branch Manager, TD Canada Trust

Three months after arriving in Canada, I received a phone call from the Canada Revenue Agency (CRA) using a private number requesting my Social Insurance Number (SIN) to process a payment for me. I had not applied for any grants or money, nor was I awaiting any payments. I was also aware that the CRA would not call me from a private number. I cut the line and called the CRA to confirm if they called me, and my suspicions were correct – the CRA had not attempted to reach me, and this phone call was a scam.

Financial fraud and scams have serious consequences that can affect friends, families, individuals, and our community. Victims often experience financial losses and stress, alongside impacts to their credit scores, confidence and economic stability.

Perpetrators of financial scams continue to develop new ways to deceive unsuspecting individuals and exploit their hard-earned money. In this article, I will share some of the actions I have personally taken to help increase awareness and my ability to spot financial fraud and scams.

Here are some of the scam techniques I've encountered:

Phishing scams: Scammers send fake emails, texts, or phone calls pretending to be representatives of reputable companies like banks, governments, or well-known businesses. They often try to trick people into revealing personal information such as passwords, credit card numbers, or Social Insurance Numbers. Be especially careful as scammers have the ability to use caller ID spoofing technology which allows them to disguise their phone numbers to seem like they are calling from reputable companies.
Impersonation: Scammers using impersonation techniques, such as voice altering software, to pretend to be someone else, such as a friend or relative who needs assistance, a government official, or a representative of a reputable company. They may demand cash or personal information, or even try to access personal computers or bank accounts.
Investment scams: These schemes often sound too good to be true, offering investors huge returns or guaranteed profits, coupled with a sense of urgency to invest.
Lottery or prize scams: Scammers say you’ve won a lottery or a prize and demand money in order for you to collect your riches. Legitimate lotteries and contests do not require payment to obtain a prize.

Here are some of the ways I keep safe:

I keep my personal information private: Sharing personal information, such as my Social Insurance Number and bank account information should never be done. Passwords or Personal Identification Numbers (PINs) should never be shared, and reputable companies will never ask you to provide these.
I’m cautious of unsolicited communication: I do not respond to unsolicited phone calls, emails, or messages asking for personal information or money.
I verify the legitimacy of requests: when I receive an unsolicited communication requesting personal or financial information, I do not respond until I first verify the source by contacting the organization or person through official channels to confirm the request is authentic.
I use strong, unique passwords: And I avoid reusing my passwords across multiple platforms.
I monitor my accounts regularly: I regular review my bank statements, credit card bills, and other financial accounts to detect any unauthorized transactions. If I notice any suspicious activity, I immediately report it to my bank or financial institution, as applicable.
I educate myself and my family: I continue to learn about common scams and educate my family members about them. You can visit TD Stories for articles that discuss several ways to help protect yourself and your loved ones from fraud and scams.