Why Social Media Scams Are Catching
So Many People Out

One reason these scams work is that they rarely look like scams at first glance. As well as fake adverts for investments or goods, unsuspecting victims can be caught out on dating and messaging apps.

What people see online often does not raise immediate alarm bells. An advert may seem genuine, a profile may appear authentic, or a direct message may feel plausible enough to trust. Fraudsters are skilled at making contact seem natural and familiar, then creating enough pressure or excitement to stop people from pausing to check properly. AI-generated text, audio, images and video are increasingly used to make fraud more sophisticated.

A scam may begin with something as ordinary as:

• a bargain item advertised on Instagram or Facebook
• a concert ticket promoted through a social post
• a cryptocurrency or investment opportunity shared by an account that appears successful
• a conversation on a dating app or social platform
• a message from an account pretending to be a company, bank, solicitor or public body

Online platforms are the starting point for around two-thirds of Authorised Push Payment fraud (APP fraud) cases. This is where someone is manipulated into sending money from their bank account. In other words, the payment is authorised by the victim, but only because they have been deceived.

APP fraud can happen to anyone because scams are designed to catch people off guard and make payments seem genuine. Understanding some of the common tactics fraudsters use can help reduce the risk of being caught out online.

There is no guaranteed way to avoid every scam, but a few habits can make a real difference:

• Be wary of adverts on social media, especially where they create urgency or offer prices that seem unusually good – if it seems too good to be true then it generally is.
• Be cautious with anyone asking to move a conversation off-platform quickly, especially if money becomes part of the discussion.
• Do not rely on appearances. A polished profile, a convincing website or a professional-looking message does not prove something is genuine.
• Pause before sending money to a new payee. Where possible, independently verify who you are dealing with using contact details you have found yourself, not those supplied in a message or advert.

If you have sent money after being contacted through social media, or after clicking on an advert or link you believed was genuine, it is important to act quickly.

Contact your bank or payment provider straight away and explain exactly what has happened. You can also contact Report Fraud, the national reporting centre for cybercrime and fraud, run by the City of London Police.

Under the Payment Systems Regulator’s APP fraud reimbursement protections, people making eligible claims relating to Faster Payments can expect a prompt decision, with reimbursement usually due within five business days. In some cases, the process can extend up to 35 business days.

Other routes to redress also exist, including the Financial Ombudsman Service (FOS), the independent body that investigates complaints between consumers and financial firms.

Sarah Spruce, Legal Director, comments:

“Social media has made it much easier for fraudsters to reach people in convincing and highly targeted ways. The figures quoted by Juniper Research make it clear that there is a huge problem with social media platforms, particularly their desire to balance user experience and safety with ad revenue.

We speak to victims from all walks of life who have lost money after trusting what appeared to be a genuine advert, profile or conversation online. The important thing is not to suffer in silence. If money has been sent, there may still be options available, and it is worth getting advice as soon as possible.”

At TLW Solicitors, we advise people who have lost money to APP fraud and scams, including impersonation, romance, and investment scams. APP fraud often involves social engineering, manipulation, and impersonation, and banks have responsibilities when warning signs are missed.

Where someone has been tricked into sending money after a social media approach, advert or conversation, it may be worth exploring whether a refund claim can be made. We can also consider other legal routes, including civil recovery or private prosecution, as appropriate.

The combination of our experienced team and digital case management systems means that we proactively pursue your claim and aim to get the best possible results.