Using platforms including Teams, TeamViewer and Zoom, screen sharing scams trick consumers into sharing their financial data – and scammers have been able to embed themselves in victims’ digital devices to access online banking and investment details.
The regulator the FCA (Financial Conduct Authority) surveyed 2,000 investors from the ages of 18 to 55-plus. That suggested that half, 51pc of would-be investors would check if a company appears on the FCA’s Warning List when deciding if an investment opportunity is legitimate. The FCA’s Warning List is a list of firms that are not authorised or registered by the FCA, and are known to be running scams. However, of the 91pc who said they would never share their PIN with a stranger, 85pc would not think a request by a website to use or download software as a warning sign that someone was seeking to gain illegal access to personal information on your device.
Likewise, while 88pc said they would check if their investments were offered or sold by FCA firms , one in ten of these people would still trust their gut instinct with an investment opportunity from someone they didn’t know without making proper checks, like ensuring the firm or the financial promotion is properly authorised.
With the pandemic increasing use of video conferencing and remote platforms to work and socialise, scammers are taking advantage of a growing familiarity with requests for screen sharing, the FCA warns. Although older respondents admitted needing more help with technology, younger investors are not immune: a quarter (26pc) of those aged 18 to 34 would agree to screen-sharing their online banking or investment portal with someone they had not met.
Mark Steward, Executive Director of Enforcement and Market Oversight, FCA, said: ‘Investment scams can happen over many months, but sharing your screen without making the proper checks can change everything in an instant. Once scammers gain to your screen, they have complete control. That means access to your sensitive banking and investment information, the freedom to browse at their leisure, and the ability to take whatever details they want. It can affect any investor, no matter how experienced. It’s incredibly difficult to get money back once lost in this way, but there are ways to protect yourself: don’t share your screen with anyone, as legitimate firms will not ask you to do this and check out our Scamsmart website for advice on how to avoid being scammed.’
The research also revealed other factors which might tempt investors to make a snap decision: a good one in five, 23pc said they would be encouraged if the person they were speaking to appeared knowledgeable about investing; 17pc said the possibility of securing better returns than elsewhere, and 14pc would be encouraged if that person appeared to be successful – with displays of wealth.
The FCA is calling on all investors to be ScamSmart and check the advice on the Scamsmart website, including a Warning List before making any investment decisions. This can help identify any firms that are actively running scams, or flag to investors where additional research is needed. If you deal with an unauthorised firm, you will not be covered by the Financial Ombudsman Service or Financial Services Compensation Scheme (FSCS) if things go wrong, the FCA warns.
The regulator poses three questions to ask to protect yourself from these scams:
Have you checked the FCA’s Scamsmart wesbite and Warning List? This will help you to avoid being scammed and show you whether or not the firm you are dealing with is registered, or known to be suspicious.
Are you being asked to download anything new? Your bank will never need to access your screen to view your information, so someone asking you to do this is a clear warning sign.
Have you navigated away from your banking, or investment platform? Anything that takes you away from your banking or investment app, and through a search engine, increases the risk of coming across a fraudulent number or link.
