Consumer Information

Overpayment Scam

2010-08-31T14:45:55Z

In the age of online selling on websites like Kijiji, Craigslist and eBay, fraudsters have turned to the Internet to find their scam victims. The overpayment scam tricks sellers into sending back some of the extra money the scammer “accidentally” sent in exchange for their purchase.

How the scam works

This is how an overpayment scam typically unfolds:

The seller will place an online ad for a high-priced item, such as furniture, a car or piece of electronic equipment.
The seller will receive an offer for the item, usually by email
The “buyer”/scammer will send a cheque or money order for the item, but for an amount much larger than the asking price. For example, you’re selling your item for $1500 but the buyer/scammer sends you a cheque for $3000.
The scammer will claim the extra money is to cover the costs of shipping or customs fees and should be sent to a third party
The seller will deposit the cheque or money order into their account and then withdraw the appropriate funds and send it to the specified third party account
Later, once the cheque or money order is processed, the seller will discover that it was fraudulent. The seller won’t get any of the funds promised by the buyer and, worse, they have handed over some of their own money right back to the scammer.
In other cases, the buyer might claim he or she may have sent a larger cheque by accident. However the outcome is the same; once the seller sends back the “extra” funds, they’ll discover the cheque was fake.

How can you protect yourself?

In addition to receiving a fraudulent cheque or money order, the seller may have already sent the scammer the item that was for sale. Add this to the funds the seller may have sent back in “overpaid” fees, and this scam could prove to be very costly. Thankfully, there are a few tips you can follow to make sure you don’t end up a victim of this scam:

Beware of buyers who send more money than you’re asking for. If you receive a cheque or money order that is more than the agreed amount of money, refuse the payment and send it back to the buyer
If you’ve already cashed the cheque and the buyer asks you to send back the extra funds, don’t agree to repay the difference until the cheque has cleared
Know the details of your buyer, including their full name, telephone number and address
Remember to treat a money order like a cheque; these funds are not the same as cash and must be cleared the same way that a cheque clears
To find out more about recognizing fraudulent cheques and money orders, click here

A cheque or money order is a payment agreement made between a buyer and seller. The bank processes the payment but they are not involved in the agreement. You are responsible for the items you deposit in your bank account. If the item is returned as fraudulent, you, as the depositor, are liable for the full amount. So if you're in doubt, or if the situation seems fishy in any way, request electronic payment, through an e-mail money transfer or online payment service such as PayPal, or even find another buyer. These payments happen right away and you don’t have to wait for a cheque to clear.

Grandparent Scam

2010-08-31T13:59:32Z

When it comes to fraud, criminals have set their sights on seniors with grandchildren using a particularly malicious trick known as the “grandparent scam”.

How the scam works

The exact details of this scam may vary but, in general, this is how it works:

A senior will receive a phone call from someone who starts the conversation with, “Grandma? Do you know who this is?”
The victim, thinking it’s one of their grandchildren, will respond with, “Yes, I know it’s you (name of grandchild).” The caller will then start using this name to gain credibility with the victim.
The caller will claim to be in trouble and will request money right away. Often they’ll say they were in a car accident with a rental car or they are under arrest and in jail in another city or country. The “grandchild” will tell the victim he doesn’t want his parents to know and ask the victim to keep it a secret.
To make the story seem more credible, the caller might also put another person on the phone to act like a police officer, bail bondsman or lawyer.
The victim, wanting to help, will withdraw funds from their bank account and wire money to the “grandchild”. The money will be sent through a money transfer service, such as Western Union or MoneyGram, where the criminal can then pick it up at any location across the world.

How you can protect yourself

Fortunately there are a few simple steps that you can take to avoid falling victim to this scam:

Never offer information to the caller. If they prompt you with a question like, “Do you know who this is?” simply say no and have them tell you.
Press your caller for details. If the person on the other end of the phone is explaining his/her story, ask them questions about their specific location or have them repeat their story. A criminal will have a hard time recalling details or coming up with them on the spot
Ask the caller a few personal questions that a real grandchild could answer but an imposter could not
After you hang up, verify the story by calling the parents or other relatives of the “grandchild”
Never wire money to someone under uncertain conditions. It is nearly impossible to recover or trace money that has been wired
Never provide your credit card number over the telephone or Internet unless you are sure about who you’re giving it to

If you’ve been caught in a scam like this one, call your local police department. Bank staff are aware of these kinds of scams and are trained to pay attention if a customer makes an unusual transaction — for example, withdrawing more money than usual. However, as the owner of the account, you are ultimately responsible for any funds that you withdraw from your own bank account. That’s why it’s especially important to ask questions and be 100 per cent positive about who you’re talking to before you send any money.

CBA Fraud Prevention Tip

2010-07-23T05:00:00Z

It’s sometimes hard to keep on top of all the information you need to know to keep your money and your personal information safe. Terms like “identity theft,” “debit card fraud” and “phishing” can sound scary and you may not know where to turn to get clear information about what these terms mean and how you can protect yourself.

To help you make fraud prevention a habit throughout the year, the CBA, on behalf of Canada’s banks, has developed a convenient Fraud Prevention Tip” that is e-mailed to subscribers. In each edition, we’ll focus on one important fraud issue, such as how to shop and surf online safely, how to prevent your credit and debit card numbers from falling into the wrong hands, and about identity theft — what it is and how you can prevent it.

To receive the Fraud Prevention Tip by e-mail, subscribe here.

To read previous Fraud Prevention Tips, click below:

Debit Card Fraud

2010-03-10T05:00:00Z

Using debit cards has become a way of life for many Canadians. In fact, Canadians are among the biggest per capita users of debit cards in the world. Whether you’re withdrawing cash from an ABM, using your card to pay for this week’s groceries, or punching in your Personal Identification Number (PIN) for a night at the movies, your debit card is a simple way to access your money. Using your debit card is a convenient way to get money from more than 55,000 banking and cash machines and for making purchases at more than 410,000 retailers in Canada.

It is also very safe, with 99 per cent of transactions occurring in Canada without incident each year. And while your bank is working to protect you from fraud, there are simple steps that you can take to protect yourself.

What is debit card fraud?

Debit card fraud happens when a thief “skims” or swipes the information off the magnetic stripe on the back of your card to create a duplicate of your card. They also have to capture your PIN to access your account.

Your bank is working to protect you

Banks have teams of fraud experts and highly sophisticated fraud detection and prevention systems to protect customers from debit card fraud. Very often, the banks’ security systems can detect fraud and reimburse and notify a client before the client realizes the fraud has occurred.

But banks understand that being the victim of debit card fraud can be upsetting for a customer: after all, their money is missing. If this does happen, banks will immediately look into the matter and get the money back to the customer as quickly as possible, which can usually happen within a few days.

When using your debit card, you are protected by the Canadian Code of Practice for Consumer Debit Card Services and Interac policies which guarantees that, if you are a victim of debit card fraud, you will get your money back from your financial institution.

Canada is moving to more secure technology

Security measures are constantly being enhanced and technology is being upgraded to prevent fraud. Banks, the Interac Association and the major credit card companies are introduce chip technology, sometimes called smart card technology, for debit and credit cards. In addition to the magnetic stripe on the back, the cards will be embedded with a microchip —that will process transactions. The microchip is state-of-the-art in payment card technology and is extremely difficult to duplicate. In fact, chips cards have reduced fraud in some countries by up to 80 per cent. The implementation of chip-based technology is expected to be widespread by 2010.

The Interac Association, Visa Canada and MasterCard Canada are bringing chip card technology to Canada on behalf of the banks and other payment card partners. To learn more about chip technology, visit their websites at:

How you can protect yourself

Your bank has sophisticated security systems in place, but there are still important steps you can take to further protect yourself

Always protect your PIN: use your shoulder or your hand to shield your PIN when entering it into the keypad.
If you have a chip card, always insert first instead of swiping when making a purchase. This will protect you from having your card skimmed and, if the store terminal isn’t chip capable, it will prompt you to swipe. And always remember to take your card when the transaction is done.
Never lend your card or disclose your PIN to anyone else.
Memorize your PIN; don’t write it down.
Make sure your PIN can not be easily detected if your card is lost or stolen — don't use your birth date or address or part of your telephone number.
If anything seems unusual about the ABM or point of sale terminal, don't use it; report the situation to police, the merchant or your financial institution.
Regularly review your transaction history online or on your monthly bank statements and report anything unusual to your financial institution immediately.
Change your PIN periodically.

What to do if you are a victim

If you are a victim of debit card fraud, you should contact your bank immediately and they will take the appropriate steps to protect you. For example, they may block your card to prevent losses, ask you to change your PIN or cancel your card and issue you a new one. Depending on the circumstances, the bank may also ask you to sign an affidavit if there are fraudulent transactions in your account. If there is money missing from your account, they will work to get it back as quickly as possible, usually within two or three days or sometimes before you even know that it’s gone.

The prevalence of debit card fraud

Debit card fraud is a crime that banks take very seriously. It’s important, however, to look at the facts to put this crime in perspective.

More than 10 million debit transactions are processed in Canada every day and more than four billion a year without incident. Of the 21 million active debit cards in circulation, about 1 per cent were impacted by a skimming incident in 2009, so the odds of it happening are quite low. But banks will continue to adapt new technologies and new practices to fight this fraud, work with police and protect their customers.

The Interac Association collects debit card fraud statistics from banks and other debit card issuers, which can be found on their website by clicking here and then clicking on “Fraud.”

ABM and Direct Payment: 10 Tips on Security

Identity Theft

2010-01-11T00:00:00Z

On October 27, 2009, legislation to combat identity theft was passed by Parliament allowing law enforcement agencies the ability to charge criminals for possessing the personal information of others before it is used for fraud or theft. The CBA has long advocated for such legislation and applauded the passage of the bill.

Identity theft, or the theft of personal information, can be the starting point to a range of crimes — from financial fraud and forgery to abuse of government programs. That is why combating identity theft requires the cooperation and efforts of business, law enforcement, individual consumers and government.

Banks have highly sophisticated security systems and experts in place to protect customers’ information and to protect them from being the victims of financial fraud. They also work closely with law enforcement and help educate consumers about steps they can take to minimize the risk of becoming a victim. Consumers also have a role to play in protecting themselves, however, and must remain vigilant. For more information, read the CBA’s ID theft prevention tips.

External links

Real Estate Fraud

2009-11-25T00:00:00Z

There are many different types of real estate fraud, but the two that consumers should be aware of are mortgage fraud and title fraud.

Mortgage fraud occurs when an individual intentionally provides inaccurate, fraudulent or incomplete information to a lender in order to secure a mortgage that they might not otherwise be granted. This could include anything from an individual claiming to have a higher income than they actually have to providing falsified proof of identification or a falsified appraisal of the property.

Title fraud occurs when a fraudster assumes the identity of an individual homeowner and then uses that false identity to pose as the homeowner. They could then assume the title on the home, sell the property or obtain a mortgage on that property or other properties in the homeowner’s name.

How big a problem is mortgage fraud in Canada?

Mortgage fraud is a crime that the banking industry, police, governments and other organizations involved in real estate transactions take very seriously. Although there is no central organization that collects statistics nationally there are some indications that the number of incidents is increasing.

While even a single incident is one too many, it is important to put the issue into perspective. There are hundreds of billions of dollars in mortgages held by millions of Canadian homeowners and in the vast majority of cases these mortgages are perfectly normal.

What is my bank doing to protect me from real estate fraud?

The banks work constantly to protect you from fraud. All banks have fraud and security teams working around the clock to ensure that security measures are constantly being enhanced, technology is being upgraded, and that the banking industry assists police in investigations to help catch the criminals and put them behind bars.

In addition, the banks and the Canadian Bankers Association are involved in real estate fraud task forces across the country. These task forces bring together lenders, police, government, real estate groups, the legal profession and other groups to look closely at real estate fraud to determine what changes can be made, individually and collectively, to prevent fraud and protect Canadians. This work is ongoing but, to date, significant changes have been made to directly prevent some instances of real estate fraud from occurring.

How do I protect myself from becoming a victim of mortgage fraud?

Protect your personal information from identity thieves:

Do not give out personal information on the phone, through mail or over the Internet unless you have initiated the contact or know with whom you're dealing.
If it sounds too good to be true, it probably is — before you reveal any personal information, find out how it will be used and if it will be shared.
Pay attention to your billing cycles. Follow up with creditors if your bills don't arrive on time.
Guard your mail. Deposit outgoing mail in post office collection boxes or at your local post office. Promptly remove mail from your mailbox after delivery. Ensure mail is forwarded or re-routed if you move or change your mailing address.
Minimize the identification information and number of cards you carry.
Keep items with personal information in a safe place. An identity thief will pick through your garbage or recycling bins. Be sure to tear or shred receipts, copies of credit applications, insurance forms, physician statements and credit offers you get in the mail.
Give your Social Insurance Number (SIN) only when absolutely necessary. Ask to use other types of identification when possible.
Don't carry your SIN card; leave it in a secure place.
Check your credit report regularly to ensure there are no discrepancies
Reviewing your credit report can help you find out if someone has opened unauthorized financial accounts in your name. There are two credit reporting agencies in Canada: Equifax Canada and TransUnion Canada. You can request free copies of your credit report from credit reporting agencies by mail. Online versions of reports are also available for a small fee.
You can also conduct a property search at your province land registry office to ensure that the title to your home is in your name.

When the banks become victims of mortgage fraud, where do they turn to recover the funds?

In the event of a mortgage default, the property pledged as security would be sold by the lender, and this alone can sometimes cover any money lost through mortgage fraud.

If there is a shortfall after the property is sold, then a lender may turn to mortgage or title insurers to recoup losses. There are also a variety of professional errors and omissions funds set up by groups such as law societies and real estate associations to reimburse victims for losses if their members are involved in the crime. The bank may also sue the criminals themselves to recoup some or all of the losses.

Again, keep in mind that, in most cases, there is still a property that can be sold, so the banks may only turn to insurance or funds to cover the difference between the amount of the mortgage and the amount they received for the sale of the property, not the entire amount of the mortgage.

If banks are recouping their mortgage fraud losses from mortgage insurance provided by the Canada Mortgage and Housing Corporation (CMHC), a crown corporation, then do taxpayers pay for the losses?

The CMHC insurance program is completely self-funded and CMHC competes with other insurers for mortgage insurance business. The Canadian treasury and Canadian taxpayers do not suffer any losses as a result of mortgage fraud or any other mortgage defaults. In fact, in 2003, CMHC announced a 15 per cent reduction in premiums for mortgage loan insurance.

How do the banks assist the police when it comes to investigating cases of mortgage fraud?

It is in all of our best interests to combat mortgage fraud. The banks co-operate fully with police to ensure that homeowners are protected, criminals are brought to justice and that effective measures are put in place to fight and reduce mortgage fraud in Canada.

The banks conduct their own internal investigations and will provide their findings to police. They will also help in any way that they can, within the law, with police investigations into mortgage fraud. This could include providing documents and other information that they have obtained or testifying in court.

The banks and the CBA also sit on task forces and working groups with police, governments, real estate groups, the legal profession, other financial institutions and other stakeholders that look at mortgage fraud and related issues. To commit mortgage fraud, a number of parties need to be working together and they vary the methods used to commit this crime. By sharing information, we can all constantly be taking steps to change practices and close any gaps that may exist in the system.

Do bank customers ultimately pay for mortgage fraud losses through higher service fees?

No. There is no direct correlation between fraud losses and service fees — that’s not how banks operate. There are, of course, many costs of doing business for a bank, including losses associated with fraud. Others would be such things as credit loan losses, operating expenses, wages, technology and rent. In the end, if these costs of doing business go up, then revenues and earnings go down. Mortgage fraud losses are an unfortunate cost of doing business and banks are working aggressively to decrease those losses.

It is also important to note that, in general, monthly service fees have remained relatively stable over the past few years.

Staying Safe Online

2009-10-30T00:00:00Z

The Internet has made it easier than ever to conduct business, and manage our finances with greater speed, efficiency and convenience. It also allows us to communicate with friends and family through social networking sites such as Facebook or Twitter, and to seek-out and establish virtual communities with others from around the world.

Unfortunately, criminals also use the Internet to try to gain access to personal information, such as passwords, personal banking and credit card details and social insurance numbers. Once the criminals have obtained this information, it can be used or sold to others to make fraudulent transactions.

Banks and other businesses have sophisticated security systems in place to protect your personal and financial information and provide you with a safe online environment. Criminals know these strong protections are very difficult to overcome, so they try to get your confidential information directly from you. To avoid becoming a victim, it is important to understand what kinds of scams are out there and how you can protect your home computer and your personal information.

What are Internet criminals after?

Fraudsters want your personal information and they use it to commit identity theft and financial fraud. Criminals can achieve financial gains from more than just direct access to your bank accounts. Disclosure of your personal information, such as your social insurance number (or U.S. social security number) or driver’s license number, can allow a fraudster to assume your identity and use that for their financial advantage by taking out a loan or mortgage or buying expensive items in your name.

It’s a lucrative enterprise, one that is organized and inventive.

What are the threats today?

How do these criminals get at your information? There are many deceptive tactics that they try. The more common ones include:

Trying to trick you into downloading software that can monitor what you do and where you go online. This software can also steal your log-in user names, passwords and personal and financial information.
Sending e-mails and using Internet pop-ups that seem legitimate, but take you to a phony website to try to get you to reveal your personal information.
Contacting you by phone or leaving voice messages directing you to contact a phony call centre that attempts to trick you into divulging personal information.
Reaching a large number of people by directing scams at users of popular websites. The scams are often designed to fit in with the theme of the website: like targeting popular social networking sites where friends and family share information.

What do these scams look like and how do I avoid them?

Scams are becoming more sophisticated, but there are ways to recognize them and to avoid the traps.

Criminals may send e-mail or text messages posing as an organization or individual that you recognize. The messages are often designed to provoke an emotional response, inciting anxiety, anger, shame or sympathy. They are meant to draw your attention and respond to the criminal’s call to action, such as providing personal information or clicking on an attachment or Internet link that actually conceals malicious software.

In one common scam, you will get a message through a social networking site claiming to be from a friend or family member stranded in another country. The convincing message will ask you to wire money so they can get home. The problem is, your “friend” likely isn’t even travelling and the message is from a criminal. Always try to contact the friend or family member through alternate channels before agreeing to this type of request.

You should also be wary of e-mail, text messages or phone calls claiming to be from your financial institution or other legitimate organization asking you to provide your passwords, financial or other personal information. Your bank will never send you an e-mail or text message asking you to provide this information. Even though your bank may call you if they suspect fraudulent activity on your bank account or credit card, they will never ask you to provide your passwords or account numbers verbally or via the telephone keypad.

Should you receive fraudulent requests like these, do not respond, but check your bank’s website for contact information on how to report these types of scams to them.

For more information on recognizing these scams, visit our sections on e-mail scams (phishing) and phone scams (vishing).

Surf with care

Your online browsing habits may unknowingly put you in danger of downloading malicious code or viruses to your computer or making your personal information available to strangers. There are a number of simple actions and best practices you can take to counter the threats posed by online fraudsters and reduce the likelihood that your personal and financial information will be exposed to strangers:

Protect your home computer – make sure that you install anti-virus, anti-spyware and Internet firewall tools purchased from trusted retailers or suppliers. Keep these programs enabled and continuously updated to protect your computer against malicious software.
Protect your passwords – ensure that you create strong and unique passwords for each Internet log-in identity. Pet names, birthdates and simple number combinations (e.g., 1234) are examples of predictable passwords that can be easily ‘cracked’ by criminals. Avoid using the same log-in passwords for multiple websites, especially when it accesses websites with sensitive personal or financial information.
Read privacy policies – before you provide personal information to any website, read the site’s privacy policies and understand how information you provide may be used and how long it will be retained.
Be wary of downloading free files, programs, software or screensavers – malicious code, like spyware (that secretly monitors what you do online) and keystroke loggers (that secretly track what you are typing) can be hidden within the downloaded file and used to access personal information, such as passwords and financial information.
Use caution when dealing with unsolicited or provocative messages (e-mail, Internet pop-ups or phone messages) – understand that fraudulent messages are widespread and can target anyone. Your vigilance is critically important for your safety. If you feel provoked or have any reason to question the legitimacy of a message you’ve received, verify its authenticity through trusted channels – do not respond using information or links provided in the original message.

For example, online criminals may use alarming messages to convince you to divulge personal information or unknowingly download malicious software. The following images show how online criminals try to alarm you by claiming your computer has been infected with malware. The onscreen image is designed to appear as though it is a legitimate warning message from your computer. The message instructs you to purchase security software or download an anti-virus tool. Either option can expose your computer to malware and provide unauthorized access to personal information.

Familiarize yourself with your computer’s legitimate warning or security alert messages. Do not click anywhere on the screen (including the "Cancel" button in the on-screen dialogue box) if you receive an unfamiliar or suspicious warning message. Instead, use Alt+F4 or Ctrl+Alt+Delete and launch Task Manager to close the window. Alternatively, restart the system and manually scan for malware with your own anti-virus product.

Ensure that you are in a secure environment when doing financial transactions online – look for the closed-lock or unbroken-key icons on your browser when entering credit card or other sensitive data. If you don’t see these icons, or if you see the broken key or the open padlock, your transaction is not being securely transmitted across the Internet and the website may be a fraudulent one.
Protect your Internet connection – this is especially important if you are directly connected to the Internet for an extended period of time through a cable modem or digital subscriber line (DSL). Disconnect from the Internet when you’re finished.
Verify your Internet connection – double-click on the closed-lock or unbroken key icon and read the certificate details to ensure it is registered to your financial institution.
Clear your cache – when you visit different websites, the website addresses are stored in the cache, or memory, of your computer. Make sure you clear the cache of your browser after visiting secure sites so that nobody else can view any confidential information you may have transmitted.
Check your financial and credit card statements regularly – immediately contact your financial institution or creditor if you suspect any unusual or unauthorized activity in your account. Securely dispose of printed statements and any other documents that contain personal information (names, addresses, birthdates, account numbers, transaction histories, Social Insurance and US Social Security numbers, etc.) using a paper shredder.

To test your knowledge of online threats and best-practices for protecting your personal information, please take the Cyber Security Quiz.

File sharing networks

File sharing networks, often called “peer-to-peer” (P2P), are popular because they allow users to upload and download music, movies, games, documents and other computer programs across global networks. P2P file sharing software products are freely available on the Internet.

However, using these networks is considered a high-risk activity. We strongly recommend that you do not install P2P file sharing software or use P2P websites. If you do choose to participate, extreme caution must be exercised. Here are precautions and tips to keep in mind:

Beyond the legal issues relating to copyright infringements, file sharing on peer-to-peer sites is commonly used by criminals to distribute objectionable or illegal files and viruses that are disguised to look like innocent downloads of popular songs, movies, etc. Relying on a recent version of an anti-virus program alone may not be sufficient protection.
If you use peer-to-peer sites, make sure that you use the most current versions of anti-virus and firewall software programs that are licenced with the manufacturer. The threat of contracting viruses and downloading malicious software is very high when P2P software is downloaded, so you need to scan for viruses frequently.
Do not accept a P2P program’s default settings. Doing so will leave you vulnerable to unwelcomed access to your personal information, since default settings typically grant other users broad access to personal folders. That includes access to your entire MyDocuments folder on your home computer. Any personal information contained within your folders – from financial or banking information, to documents containing social insurance numbers or birth dates – can be captured and used for the purposes of identity theft or financial fraud.
Always manually determine which folders and subfolders you will share with your network.

Social networking sites

Popular websites and forums, like social networking sites, are fertile ground for criminals. Social networking sites promote open communication and allow you to build virtual communities of friends around the world. When you are on a site that encourages the posting and sharing of information, it can be easy to let down your guard and respond to a message requesting personal information. Here are some helpful hints:

Be careful of what you include in your profile details. Never include phone numbers, addresses, your birth date or other personal information, as that could be used to steal your identity. Never include or post any banking information: not even the name of your bank.
Exercise caution when adding “friends” to your network. You may not know who is behind some online account: a new “friend” could be a criminal who is out to trick you into divulging your personal or financial information.
Check the privacy and security settings of the social networking site. Don’t just accept default settings, which generally allow more access than people want or realize. That access could include a very wide audience, where something that you post to a discussion forum could end up accessible to everyone who uses a common online search engine such as Google.
Read the privacy policy for the site carefully. Ensure there are no clauses that give the social network the right to use information posted on the site, which could mean selling e-mail addresses or contact information.

External links

What is Malware?

2009-10-01T00:00:00Z

Malware, or malicious software, is designed to infiltrate your computer to perform unauthorized activities. Examples of malicious software include viruses, computer worms, Trojan horses, spyware, and scareware.

Malware is spread over the Internet using various methods, including e-mails, pop-ups, compromised websites and instant messaging just to name a few. Once your computer has been compromised, your personal information may be exposed to criminals as the malicious software may allow them to monitor your keystrokes, scan through the files on your hard drive, read cookies or open applications and transmit your information to others.

If your computer has been infected with malicious software, you may experience some of the following symptoms:

The system performance may be negatively affected which will cause your computer to slow, crash or freeze.
You may have difficulty accessing the Internet.
Your Internet browser may have changes to the toolbar(s) and could re-direct you to other websites.

There are different variations of malicious software. Some of the most common types include:

Trojan horses – this looks like software that performs a desirable function, but once downloaded onto your computer, it may allow unauthorized access to your computer system.
Spyware – also known as tracking software, is an application that gathers information about you without your knowledge. The primary function of these applications is to collect personal information stored on your computer and monitor websites you visit and items you purchase online. Spyware has become the number one threat on the Internet surpassing spam or virus infections.
Scareware – is typically an Internet pop-up message that is designed to alarm you and provoke you into downloading what you believe to be information or software that will help.

A current example of a scareware ad is the anti-virus pop-up message. The message poses as a browser window that could pop-up at any time while surfing the Web and often resembles a program window or dialog box, leading you to believe the message is being generated by your own computer.

The message generally sends you to a product purchase or activation site. By purchasing this software, you may have provided your credit card information directly to criminals. The downloaded software may in fact do nothing to protect you, or it may actually compound the damage by disabling security protections, gathering more malware, capturing passwords or accessing personal information to commit fraud.

Financial Abuse: What Seniors Need to Know

2009-07-22T18:38:59Z

Sometimes it is useful to have a family member or other caregiver help you with your financial affairs. Their responsibility is to protect your well-being and financial interests.

What is financial abuse?

Financial abuse happens when someone you know tries to take or control what belongs to you for their own benefit, not yours. This can include your money or your property.

Financial abuse is unethical, and in many cases it is also illegal.

Financial abusers — who are they?

A financial abuser can be a trusted person in your life: a spouse, adult child or other family member, caregiver, or friend. He or she may exploit your relationship to pressure you to gain access to your finances or estate.

Examples of financial abuse

A trusted person may be a financial abuser if they:

Put pressure on you to give or lend them money, or to gain access to your financial information.
Misuse a power of attorney.
Force or trick you into signing a contract or will.
Take possessions or money from your home or bank account without permission.
Misuse your bank or credit cards.
Misuse joint banking accounts.
Forge your signature on pension cheques or legal documents.
Sell or transfer your property against your wishes or interests.
Fail to provide you with agreed upon services such as care-giving or home maintenance.
Refuse to return borrowed money or property.

Some warning signs

A caregiver takes an extreme interest or involvement in your financial matters.
Your financial records are inconsistent with your activities (e.g. account withdrawals or transfers you have not made).
You start failing to meet your financial obligations.
Changes are made to your will, trusts, contracts, power of attorney, property titles, deeds or mortgages that are not in your best interest.

How can you prevent it?

A joint account, power of attorney or other arrangement may be useful tools, but they should be used in your best interest. Make sure your wishes and expectations are clear when you enter into any such agreement.
If you are able, conduct your financial transactions and estate matters yourself, whenever possible.
Say “no” when someone pressures you for money — even family members.
Make sure you understand every document you sign.
Have pension cheques directly deposited into your bank account and bills direct debited out of your account.

Where to get help

Remember, financial abuse is a violation of your rights. It is not your fault, and you can get help.

Alberta: Family Violence InfoLine
310-1818
British Columbia: Coalition to Eliminate Abuse of Seniors
1-866-437-1940
Nova Scotia: Senior Abuse Line
1-877-833-3377
Ontario: Senior Safety Line
1-866-2991011
Call your local police.
Talk to your bank manager.
Report financial frauds and scams to PhoneBusters: 1-888-495-8501 / www.phonebusters.ca

Phoney Bank Inspector Scam

2009-07-21T00:00:00Z

Long before the Internet, identity theft or sophisticated online scams, fraudsters would impersonate a bank investigator and trick unsuspecting consumers into providing their own money to “aid” a criminal investigation.

How the scam works

There are many variations to this scam but, in general, this is how it plays out:

An individual (often a senior) receives a phone call from someone who knows their name.
The caller claims to be a bank inspector (bank manager, police investigator, etc.) and explains that the bank is investigating a series of fraud cases that have been committed by staff at the individual’s branch.
The caller then asks the individual to withdraw a large sum of money from their account that will be inspected and used as evidence as part of the investigation.
The caller explains that, because the suspected criminal works at the branch in question, the individual should not tell the branch staff why they are withdrawing the money.
After the money is withdrawn, the victim is advised to meet the “investigator” at a pre-determined nearby destination, where the money is handed over for investigation.
Once the money changes hands, the victim is instructed to return home and await a phone call confirming that the money has been re-deposited into the original account.
Unfortunately, no call comes, the money is not returned and the “inspector” is never heard from again.

Protect yourself

The painful irony of this scam is that it is an individual’s honest desire to help catch a criminal that ends up turning that person into a victim. And because the individual has withdrawn the money from his or her own account and handed it over to criminals voluntarily, they are unlikely to be reimbursed.

Luckily there are a few simple precautions that individuals can take to ensure they don’t fall prey to this type of fraud.

It is important to remember that neither your bank nor a police investigator will ever request that you assist in an undercover investigation or ask you to withdraw money from your account. If you receive such a suspicious call, hang up and call police.
Never give out personal bank information over the phone unless you have called your bank and they ask you questions to verify your identity.
If you do need to withdraw a large sum of money for a legitimate purpose, request a bank draft or a money order as this ensures only the intended recipient is able to access the money. Criminals will not accept these forms of payment because it creates a paper trail that can be used by real investigators to track the fraudsters.
Check your bank statement frequently and report any irregularities to your bank as soon as you notice them.

External links

Credit Card Fraud

2009-05-29T00:00:00Z

Credit cards are a convenient, safe and flexible payment tool accepted at more than 30 million locations worldwide. While credit card fraud can happen, banks take significant steps to protect customers and minimize the fraud as much as possible.

What is credit card fraud?

Credit card fraud can happen several ways. Your card could be lost or stolen and used to purchase goods and services. A criminal could obtain your card number and expiry date and use this information to manufacture a counterfeit card, or you could inadvertently provide your card number and expiry date to a criminal over the phone or Internet.

Your bank is there to protect you

Banks and the credit card companies take credit card fraud very seriously, and have highly sophisticated security systems and teams of fraud experts in place to monitor transactions, protect customers and prevent and detect credit card fraud. For example, the banks’ systems can automatically detect unusual activity in a customer’s account and take steps to prevent fraud from occurring.

Visa, MasterCard and American Express have zero liability policies for unauthorized transactions. Customers are protected when using credit cards issued by banks and are not responsible for fraudulent transactions made on their cards.

Canada is moving to chip-based technology

Canada’s current credit card security systems are very safe but banks are always looking for ways to enhance customer security. Before too long, the credit card in your wallet may be sporting a shiny new look.

Banks and the major credit card companies have begun to introduce chip technology, sometimes called smart card technology, for debit and credit cards. In addition to the magnetic stripe on the back, the cards will be embedded with a microchip — really a small computer — that will process transactions. The microchip is state-of-the-art in payment card technology and is extremely difficult for criminals to duplicate. In fact, chips cards have reduced fraud in a number of other countries where they are currently used. The implementation of chip-based technology has already begun and it’s expected that the conversion to chip will be widespread in 2010.

Visa Canada and MasterCard Canada are bringing chip card technology to Canada on behalf of the banks and the financial institutions that issue Visa and MasterCard branded credit cards. To learn more about chip technology, visit their websites at:

How you can protect yourself

The banking industry works hard to prevent and detect credit card fraud using advanced technology and by assisting with police investigations. There are some simple steps that you can take to protect yourself as well:

Report a lost or stolen card as soon as you notice it is gone. Your card issuer will cancel your card and issue you a new one.
Make it a habit to regularly check your transactions online or on your monthly statement. If there are any charges that you didn’t make, report them to your card issuer right away.
Never give out your card number over the phone or Internet unless you know you are dealing with a reputable company.
Protect your Personal Identification Number (PIN): don't share it with anyone or write it down, memorize it.
Sometimes scammers will try to trick people into revealing information about their credit cards either over the phone or through e-mail. It’s important to know that your credit card company or bank would never call to ask for personal information like your credit card number, expiry number, PIN, or the security number on the back of your card.
Protect your credit card like you protect your cash. Never leave them unattended in your car or at work.
Always check your card when it is returned to you after a purchase. Make sure it is your card.
When travelling, carry your cards with you or make sure they are in a secure location such as a hotel safe.
Sign the back of a new card as soon you get it.
Make a list of all your cards and their numbers and keep this is a secure place. This key information is helpful when reporting lost or stolen cards.

What to do if you are a victim of credit card fraud

If you have charges on your credit card that you didn’t make or if you think that you may have revealed your credit card number when you shouldn’t have, contact your credit card issuer right away using the phone number on the back of your card. The card issuer will take the appropriate steps to protect you from fraud.

E-mail Fraud/Phishing

2009-04-02T00:00:00Z

E-mail fraud — or “phishing” or “brand spoofing” as it is also called — uses fraudulent e-mail messages and websites that look like they are from a legitimate company, such as a bank, credit card company, online retailer or government agency. The e-mail you receive may look real, with company logos and branding, but beware — you may have actually received this spam or mass e-mail from a criminal. The fraudsters will cast a wide net and send the spam e-mail to thousands of people at once, whether or not they are a customer of the organization, to “phish" for personal information.

Typically, these e-mails will ask you to update or validate your personal information. There will also be some urgency to the request, warning you that if you do not comply quickly your account may be shut down. In other cases, the e-mails will promise financial benefit for the recipient if they reply, or ask for a verification of information to help protect the recipient from identity theft. By clicking on the links in the e-mail you will be taken to a phoney website that, again, appears to be legitimate, where you will be asked to disclose some personal information, such as your social insurance number, credit card number or online banking passwords.

How to identify e-mail fraud

So, how do you know if the e-mail you received is fraudulent? Here are a few things you should know:

Your bank will never send you an e-mail, or call you on the phone, asking you to disclose personal information such as your credit card number, online banking password or your mother’s maiden name.
Be suspicious of unsolicited e-mails that have a sense of urgency and warnings that your accounts will be closed or your access limited if you don’t reply.
Does the e-mail look professional? While some fraudulent e-mails may look professional at first glance, if you look more closely you may notice spelling and grammatical errors, unusual language or branding that isn’t quite right. Fraudulent e-mails are not personalized and, instead, are addressed in general terms, such as "Dear valued customer."
If you receive an e-mail notifying you that an e-mail money transfer is being sent from a person you don't know, delete the e-mail as it is likely fraudulent.

Below is an example of a fraudulent e-mail that circulated recently. Logos and bank names that appeared have been removed and replaced with “Any Bank” to provide a generic example. Note the urgency in statements such as “the process is mandatory” and “failure to do so may result in a temporary cessation of your account services”. There are also spelling and grammar errors such as “promt” and “please do not reply to this e-mails”.

What banks are doing to protect you from e-mail fraud

It is important to remember that fraudulent e-mails sent out by criminals may look like they come from banks, but they are not connected with banks at all. Banks, however, take extensive steps to protect your personal information entrusted to them and to help you protect it as well.

Consumer education is one of the best ways to stop e-mail fraud and prevent customers from inadvertently disclosing their personal information. Most banks have information available on their websites and through booklets and brochures and provide practical tips on how to protect yourself and your money. Click the links below to be connected to the e-mail fraud pages on individual bank websites.

Banks also work very closely with police to prevent fraud and criminal activity. The fraud and security teams at the banks provide support and information to police, and work closely with them to shut down e-mail fraud websites to protect customers from potential losses.

How to avoid e-mail fraud

In addition to bank efforts, there are some simple steps you can take to avoid becoming the victim of e-mail fraud:

Be skeptical. Fraudulent e-mails can look like they come from a real bank e-mail address. If you have any doubts about an e-mail that looks like it is from your bank or a reputable company, contact them before responding to ensure that it is legitimate. But don’t use the toll-free number, e-mail address or website address provided in the e-mail: they may link you to the criminals rather than the bank. Use a phone number, e-mail address or website address that you know is correct.
Never send personal and/or financial information by e-mail.
Always enter your bank’s website using the website address (URL) that you know is accurate. Contact your local bank to get the correct website address if you're unsure.
Regularly review your bank and credit card statements to ensure that all transactions are authorized. Also check your credit report at least once a year by contacting credit reporting agencies Equifax Canada or TransUnion Canada.
Check the domain name shown as the link in the e-mail. When you click the link, if it does not match the name that appears in the browser at the top of the screen, then it may be a fraudulent website.
On the Internet, whenever entering personal information, ensure that you are using a secure website. Look for “https://” rather than just “http://” in the address bar of your Web browser as well as a closed padlock in the bottom right corner of your browser.
Make sure that your home computer is protected. Install anti-spam, anti-spyware and anti-virus software and make sure they are always up-to-date. You should also install a personal firewall to act as a barrier to viruses and other external attacks and check for operating system patches and upgrades on a regular basis.

What should you do if you receive a fraudulent e-mail?

If you receive a phishing e-mail pretending to be from a bank that asks for personal or financial information, there are two things you should do: report it and delete it.

Report it — Banks and other companies need your help to shut down fraudulent websites. By reporting any fraudulent e-mails you receive to the bank or other company being spoofed, you can help us prevent other people from falling for e-mail fraud. Click the links below to find out how to report e-mail fraud to a bank.

Delete it — The best way to protect yourself from e-mail fraud is to recognize it for what it is: a scam. Once you’ve reported the fraudulent e-mail, delete it. Do not reply or click on any link provided in the e-mail.

If you think you have provided your personal information in response to a fraudulent e-mail, you should immediately report it to your bank and to your local police.

Reporting e-mail fraud

Banks and other companies need your help to shut down fraudulent Web sites. By reporting any fraudulent e-mails you receive to the bank or other company being spoofed, you can help us prevent other people from falling for e-mail fraud. Click the links below to find out how to report e-mail fraud to banks:

External links

“Phishing” for Your Personal Information: Protect Yourself from E-mail Scams

Security And Privacy Quiz

Vishing (Voice Phishing)

2009-03-02T12:00:00Z

Vishing stands for "voice phishing" and is a new twist on the phishing e-mails that you may have received, but now the criminals are using the phone as well to trick consumers into revealing personal information.

Vishers will send out an e-mail to thousands of people which looks like it is from a reputable organization, such as a credit card company, online retailer, bank or government agency. The e-mail may warn of a security alert and ask you to call a local or toll-free number where an automated attendant will ask you to punch in personal information, such as your credit card number, social insurance number or online banking password. After you do that you may be disconnected without speaking to anyone, but the criminals will have your information.

Security experts have seen another variation of vishing where the criminals will leave a voicemail message or make telephone calls directing people to the bogus phone number. With Voice over Internet Protocol (VoIP) and other Internet-based telephone technology, criminals can now make calls inexpensively and can mask their identity and their location and even make it look like they are calling from a legitimate company on your call display.

So, why do they do it? Usually it’s to commit some sort of financial fraud.

How to identify a vishing contact

We all get e-mails and telephone calls from legitimate companies and organizations that we do business with, but here are some things you should keep in mind as you try to figure out if you’re being contacted by the legitimate company or by a visher.

If you are dealing with a legitimate company, they know who they are contacting and will address you by name in an e-mail or telephone call. Vishers don’t typically know who you are and don’t usually use your name.
If a bank suspects fraudulent activity on your debit or credit card or account, they will never contact you by e-mail. If you do receive such an e-mail, do not respond and delete it.
In some cases, your bank may contact you by phone or leave you a voicemail message if they suspect fraudulent activity. As part of a legitimate conversation with your bank, you may be asked verification questions so the bank can ensure that they are speaking to the right person. You will not, however, be asked to verbally provide any Personal Identification Number (PIN) or banking password or enter you PIN or password on your telephone keypad. As part of the verification process, your bank will never ask you for your Social Insurance Number.
It is a wise practice not to use the phone number provided in the e-mail or in the telephone message you receive. You can validate that the call is legitimate by contacting your bank using the phone number on the back of your card, on your statement or a published number you have looked up yourself.
As a general rule, be cautious about how and with whom you share personal or financial information.

What should you do if you think you’ve been contacted by a visher?

If you receive an e-mail or voicemail message from someone you suspect may be a visher, do not respond using the phone number provided. Instead, contact that organization at a phone number you know is accurate, appearing: on a debit/credit card or bank/credit card statement; on a bill; or published on a known, legitimate website or in a phone book, and let the organization know the details of the suspected vishing incident.

If at any time you are not comfortable with the questions you are being asked over the phone, do not respond and tell the caller you are discontinuing the call to verify it is legitimate from an independent source. No reputable organization will take issue with that. Then call the organization back on a phone number you have looked up yourself.

If you think you have provided personal information to a visher, contact the organization involved right away. If you have provided some of your banking or credit card information, contact your bank or financial institution immediately and they will advise you on what you should do. You can also call your local police department.

Staying Safe at the ABM

2009-03-02T12:00:00Z

Banks work hard to provide a safe environment for their customers who visit ABMs (automated banking machines) to do their banking and typically locate these machines in branch vestibules or high traffic locations. There are also simple steps you can take to stay safe while conducting your transactions. Here are some tips:

Be aware of your surroundings, particularly while using an ABM at night, early in the morning or when there are few people around.
If you feel at all uncomfortable about using an ABM for any reason, it’s best to delay using the ABM until another time or go somewhere else.
Be discreet when counting your cash in view of others.
Call local police if you notice any suspicious activity at or near the ABM.

Robberies at ABMs are rare

Customer robberies at ABMs are rare in Canada, but as with any type of robbery, a customer’s safety is the number one concern. Here are a few additional security tips to keep in mind:

If a robber forces you to reveal your personal identification number (PIN) to get money from your account, it’s best to co-operate rather than put yourself in danger.
If you're coerced into giving your PIN, then typically you will get your money back from your financial institution.

Urban myth about reverse PINs

It’s also important to beware of an “urban myth” that is currently circulating on the Internet that recommends entering your PIN backwards if you are being robbed at an ABM to alert police. This information is completely false. Instead, it is best to co-operate with robbers to ensure your safety and then to contact police immediately. The banks have security monitoring systems in place and can often assist police in their investigations of this type of robbery.

ABM receipts

If you’re worried that your ABM receipt may contain sensitive personal information, don’t be. Most banks block out most of the debit and credit card numbers for ABM-issued receipts so even if someone else had one of your receipts, they could not get your debit or credit card number.

It’s also important to understand that the number that appears on the front of your debit card is your debit card number, not your bank account number. Criminals would need additional information as well as your secret PIN to create a fraudulent debit card.

Avoiding Counterfeit Bills

2009-03-02T12:00:00Z

Canadian paper money has security features that are reliable and easy to use. By checking a few of the features whenever you accept cash, you can avoid being stuck with counterfeit bills. It’s as easy as paying attention to the look and feel of the bills. Here are some of the security features:

Holographic stripe — Tilt the bill, and brightly coloured numbers and maple leaves will “move” within the shiny, metallic strip. Colours will change through the various shades of the rainbow.
Colour-shifting thread — Hold the bill to the light, and a continuous, solid line appears. From the back of the note, the woven dashes of the thread shift from gold to green when the note is tilted.
Watermark portrait — Hold the bill to the light and a small, ghostlike image of the portrait appears to the left of the large number.
See-through number — Hold the bill to the light and, just like two pieces of a jigsaw puzzle, the irregular marks on the front and back will form a complete and perfectly aligned number.
Raised ink — Slide your thumb or fingers over the bill to feel the raised ink on the portrait (particularly the shoulders), large number, and other areas of the bank note that are thicker to the touch.

For more information on the security features on Canada’s bank notes, visit the Bank of Canada at www.bankofcanada.ca/en/banknotes. The Bank of Canada also offers free quick-tip materials for consumers and businesses.