Published on:
03
September 2008
Stirling & Clackmannanshire Trading Standards Service is advising consumers to be on the alert for a scam involving insurance for mobile phones.
The scam starts when a consumer enters into a new contract for a mobile phone. Many retailers now offer insurance contracts with their mobile phones. Fraudsters are targeting these customers by phoning up and claiming to be from the insurance company. They pretend to be offering additional cover at a heavily discounted rate, or else they will simply state that they are preparing the necessary paperwork, and need to confirm some details. They go on to ask for personal information, including credit card and bank account details. Needless to say, these fraudsters have no connection with the mobile phone retailers or any legitimate insurance companies. Customers in the Stirling Council area who have recently been taken in by these fraudsters have found that they subsequently remove significant sums of money from their bank accounts, typically between £80 and £120.
Mobile phone retailers do not pass on personal information about their customers. Instead, these fraudsters rely on the fact that the airtime providers often release mobile phone numbers to retailers in blocks. If the fraudsters can identify a genuine number from a particular retailer, they can then dial a range of consecutive numbers using the same prefix, and hope that they will eventually get through to somebody. They will be able to make false claims about working in association with the retailer concerned.
Hugh Hamilton, Trading Standards Team Leader, warned consumers not to be taken in by these fraudsters. He said: "Consumers should never give out any personal information, especially credit card and bank details, to anybody who makes an unsolicited telephone call. If the caller claims to be from a legitimate organisation that you are already dealing with, take appropriate steps to verify that they really are who they say they are. Check your paperwork, and call them back using a number that you have already been given or which has been publicly advertised, for example on television or in a reputable telephone directory. Better still, ask them to confirm their request in writing. Legitimate organisations will rarely ask you to disclose personal information over the telephone, so be wary if you receive such a request."
Any person who receives a suspicious telephone call should contact the police or their local Trading Standards Service. Members of the public can contact the Stirling and Clackmannanshire Councils joint Trading Standards Service on 0845 277 7000 or by visiting them at Municipal Buildings, 8-10 Corn Exchange Road, Stirling, FK8 2HU during normal office hours.