Rising Scams in India: Building Awareness and Prevention

Authored by Anuradha, Sakshi Jaiswal 

In 2024, scams in India have continued to evolve, leveraging sophisticated methods and technology to exploit unsuspecting individuals. These fraudulent activities target people across demographics, causing financial losses and emotional distress. This blog highlights some of the most prevalent scams this year, how they operate, some real-world scenarios, tips to stay vigilant and what steps to be taken if you become a victim.

This blog covers the following scams:

1. WhatsApp Scam
2. Instant Loan Scam
3. Voice Cloning Scam
4. Credit Card Scam
5. Fake Delivery Scam
6. Digital Arrest Scam

1.WhatsApp Scam:

Scam Tactics:

Fraudsters on WhatsApp employ deceptive tactics to steal personal information, financial data, or gain unauthorized access to accounts. Common tactics include:

• Phishing Links: Messages with fake links mimicking trusted organizations, urging users to verify their accounts or claim rewards.
  Example: “Your account will be deactivated! Click here to verify your number now.”

Case 1: In the figure below, a user is being deceived by a message originating from the +244 country code, assigned to Angola. The message offers an unrealistic investment opportunity promising a high return in just four days, which is a common scam tactic. It uses pressure and informal language, along with a link for immediate action.

 

Case 2: In the figure below, a user is being deceived by a message originating from the +261 country code, assigned to Madagascar. The message claims that you have been hired and asks you to click a link to view the offer or contact the sender which is a scam.

• Impersonation: Scammers hijack or mimic contacts to ask for urgent financial help.
  Example: “Hey, it’s me! I lost my wallet. Can you send me ₹5,000?”
• Fake Job Offers: Messages promising high earnings from home to lure victims into scams.
  Example: “Earn ₹10,000 daily! Contact us to start now!”

Case 3: In the figure below, a user is being deceived by a message originating from the +91 country code, assigned to India. Scammers may contact you, posing as representatives of a legitimate company, offering a job opportunity. The recruiter offers an unrealistic daily income (INR 2000–8000) for vague tasks like searching keywords, which is suspicious. Despite requests, they fail to provide official company details or an email ID, raising credibility concerns. They also ask for personal information prematurely, a common red flag.

Case 4: In the figure below, a user is being deceived by a message originating from the +84 country code, assigned to Vietnam. The offer to earn money by watching a video for just a few seconds and providing a screenshot is a common tactic used by scammers to exploit individuals. They may use the link to gather personal information, or your action could lead to phishing attempts.

Case 5: In the figure below, a user is being misled by a message originating from the country codes +91, +963, and +27, corresponding to India, Syria, and South Africa, respectively. The message claims to offer a part-time job with a high salary for minimal work, which is a common tactic used by scammers to lure individuals. The use of popular names like “Amazon” and promises of easy money are red flags. The link provided might lead to phishing attempts or data theft. It’s important not to click on any links, share personal details, or respond to such unsolicited offers.

Case 6: The messages encourage you to post fake 5-star reviews for businesses in exchange for a small payment, which is unethical and often illegal. Scammers use such tactics to manipulate online ratings, and the provided links could lead to phishing sites or malware. Avoid engaging with these messages, clicking on the links, or participating in such activities.

 

• Lottery/Giveaway Fraud: Claims of winning a prize, requiring advance payments or sharing bank details.
  Example: “Congrats! You’ve won ₹1,00,000 in the WhatsApp Lottery. Share your bank details to claim.”
• Malware Links: Messages containing harmful links disguised as videos, photos, or documents, designed to infect your device.
  Example: “Look at this amazing video! [malicious link]”
• Wedding Invite Scam: Fraudsters send fake wedding invitations with malicious links. Clicking the links can download .apk file and install malware, steal personal or financial information, or gain unauthorized access to a WhatsApp account. Always verify the sender and avoid clicking suspicious links.
• Verification Code Theft: Fraudsters trick users into sharing their WhatsApp verification codes, enabling account hijacking.

How to Identify WhatsApp Scams:

• Unsolicited Messages: Be cautious of unexpected messages, especially from unknown numbers.
• Sense of Urgency: Scammers often create panic, pressuring you to act quickly.
• Poor Language: Messages may contain spelling or grammatical errors, indicating they are not from legitimate sources.
• Generic Greetings: Messages lack personalization, such as using “Dear Customer” instead of your name.
• Too Good to Be True Offers: High-value rewards, jobs, or opportunities with no clear justification.
• Suspicious Links: Shortened or unrecognizable URLs that redirect to fake websites.

Impact:

• Financial Loss: Victims may transfer money or share bank details, resulting in unauthorized transactions.
• Identity Theft: Personal information can be misused for fraudulent activities.
• Account Hijacking: Losing access to your WhatsApp account if verification codes are shared.
• Privacy Breach: Sensitive data from your chats or device can be exploited.
• Emotional Distress: Scams can cause stress, anxiety, and a loss of trust in technology or personal relationships.

Prevention:

• Verify Sender Identity: Confirm any request for money or sensitive information directly with the person through alternate means.
• Avoid Clicking on Links: Always verify the legitimacy of links before clicking.
• Enable Two-Step Verification: Secure your WhatsApp account with a PIN for added protection.
• Restrict Profile Access: Adjust privacy settings to limit who can view your profile photo, status, and other details.
• Be Cautious of Urgent Requests: Fraudulent messages often pressure you to act immediately. Take a moment to evaluate.
• Check Authenticity: Research offers or schemes mentioned in messages to ensure they are legitimate.
• Report and Block: Use WhatsApp’s “Report” feature to flag suspicious contacts and block them.

 

2. Instant Loan Scam:

Scam Tactics:

• Fake Loan Apps or Websites: Scammers create fake loan apps or websites that appear legitimate. They promise easy loans with minimal requirements and fast disbursements.
• Personal Information Harvesting: To apply for these loans, victims are asked to provide sensitive personal information, such as bank details, Aadhaar numbers, and other financial information.
• Advance Fee Demand: Once the application is submitted, the scammers claim that an advance fee, processing charge, or security deposit is required before the loan can be disbursed.
• Excessive Interest Rates: If the loan is approved, it often comes with extraordinarily high interest rates or hidden charges, leading the borrower into a debt trap.
• Threats and Harassment: If the victim is unable to repay the loan, scammers may use aggressive tactics, including blackmail, threats of legal action, or public humiliation to force repayment.

How to Identify Instant Loan Scam:

• Unsolicited Offers: Be wary of loan offers you receive unexpectedly via calls, emails, or ads.
• Too Good to Be True: If the loan offer seems unusually easy, with little paperwork or no credit checks, it’s likely a scam.
• Advance Fees: Genuine lenders never ask for upfront payments before disbursing a loan.
• Excessive Interest Rates: Watch out for loans with outrageously high interest rates or hidden fees.
• Unprofessional Communication: Look for red flags like poorly written messages or vague, generic offers.
• Pressure to Act Fast: Scammers often create urgency, pushing you to make quick decisions without proper verification.

Impact:

• Financial Losses: Victims are often tricked into paying exorbitant fees, with no loan ever being disbursed, or receiving loans with unaffordable repayment terms.
• Emotional Distress: The constant harassment, along with the fear of financial ruin, leads to significant emotional and mental stress for victims.

Prevention:

• Verify Loan Providers: Always check the legitimacy of loan apps or websites by reading reviews and verifying their authenticity through trusted sources.
• Avoid Sharing Sensitive Information: Never share personal or financial information unless you’re sure of the legitimacy of the platform.
• Report Suspicious Platforms: If you come across a suspicious loan provider, report it to relevant authorities like the Reserve Bank of India (RBI) or consumer protection agencies.
• Be Cautious with Quick Loans: Instant loans with no credit checks or paperwork should raise immediate suspicion. Always read the terms and conditions carefully.

 

3. Voice-Cloning Scam:

Voice-cloning scams use advanced AI technology to replicate the voices of familiar people, such as friends, family members, or colleagues, to manipulate victims into transferring money or providing sensitive information.

Scam Tactics:

• Impersonating Trusted Voices: Scammers use voice-cloning technology to mimic the voice of a person the victim knows, often creating a sense of trust and urgency.
• Urgent Requests for Money: The cloned voice typically claim an emergency, such as needing money for medical expenses or legal issues, pressuring the victim to act quickly.
• Sensitive Information Requests: Scammers may also use voice cloning to trick victims into revealing personal information, passwords, or financial details.

How to Identify AI Voice-Cloning Scams:

• Verify the Country Code: Check the country code of the incoming call to ensure it matches the expected location.
• Contact the Person Directly: If possible, reach out to the person through another method to confirm the authenticity of the call.
• Notice Changes in Speech Tone or Patterns: Be alert to any changes in the speaker’s tone or unnatural speech patterns that may indicate a scam.

Impact:

• Financial Losses
• Emotional and Psychological Stress

Prevention

• Verify the Caller: Always verify the caller’s identity through an alternative channel before proceeding with any action.
• Be Skeptical of Urgency: Take your time and evaluate urgent requests carefully, especially those involving money.
• Check the Country Code: Be cautious if the call comes from an unfamiliar country code.
• Listen for Inconsistencies: Pay attention to unusual speech patterns or background noises.
• Limit Information Sharing: Never share sensitive details over the phone unless you’re sure of the caller’s identity.
• Use Multi-Factor Authentication: Add extra security to sensitive accounts with multi-factor authentication.
• Stay Informed: Educate yourself and others, especially vulnerable individuals, about voice cloning scams.

 

4. Credit Card Scam:

Scam Tactics

Scammers use various methods to deceive victims into revealing credit card information or making unauthorized payments:

• Phishing: Fake emails, texts, or websites pretending to be from a legitimate entity (e.g., banks or online stores). Victims are tricked into providing card details or logging into a fake account portal.

• Skimming: Devices installed on ATMs or payment terminals capture card information. Hidden cameras or fake keypads may record PINs.

• Vishing (Phone Scams): Scammers impersonate bank representatives or government officials. They ask for credit card details, PINs, or OTPs to “resolve an issue.”

• Fake Online Shopping Websites: Fraudulent e-commerce sites offer deals to steal card details during fake transactions.

How to identify Credit card scam:

• Unsolicited Contact: Unexpected calls, emails, or messages asking for sensitive information.
• Urgency: Claims of account suspension or fraudulent activity requiring immediate action.
• Generic Greetings: Messages addressing you as “Dear Customer” or similar vague terms.
• Suspicious Links: Links in emails or texts that lead to fake websites.
• Unfamiliar Transactions: Small charges on your statement that you don’t recognize.

Impact:

• Loss of Money: Unauthorized purchases can drain your account.
• Identity Theft: Scammers can misuse your personal details.
• Credit Problems: Fraudulent charges could damage your credit score.
• Stress: Victims often face anxiety and frustration.
• Legal Issues: You may need to dispute fraudulent transactions.

Prevention:

• Don’t Share Card Details: Never share your card number, CVV, PIN, or OTP with anyone.
• Shop on Secure Websites: Only enter card details on sites with “https://” and a padlock icon.
• Avoid Suspicious Offers: Don’t click on links offering unbelievable discounts or rewards.
• Check Your Transactions: Regularly review your bank statements for unauthorized charges.
• Enable Alerts: Set up notifications for every card transaction to catch fraud early.
• Protect Your Card: Be cautious at ATMs and shops to avoid skimming.
• Use Virtual Cards: For online shopping, use one-time-use virtual cards if your bank provides them.
• Install Security Software: Keep your devices safe with antivirus software to block phishing attempts.
• Report Lost Cards: Inform your bank immediately if your card is lost or stolen.

 

5. Fake Delivery Scam:

Scam Tactics:

In fake delivery scams, fraudsters pose as delivery services to trick you into providing personal information, card details, or payment. Common tactics include:

• Phishing Messages: Scammers send texts or emails claiming there’s an issue with your package delivery. They include links to fake websites asking for payment or details.
• Example: “Your package couldn’t be delivered. Pay ₹50 to reschedule: [fake link].”
• Impersonation Calls: Fraudsters call pretending to be delivery agents, saying extra charges are needed to complete the delivery.
• Fake Delivery Attempts: A scammer posing as a delivery person asks for cash-on-delivery payment for a package you never ordered.
• Malware Links: Links in fake delivery notifications may install malware on your device, stealing sensitive information.

How to Identify Fake Delivery Scams:

• Unexpected Notifications: You receive a delivery message for a package you didn’t order.
• Urgent Payment Requests: The scam demands immediate action, such as paying a fee to receive your package.
• Suspicious Links: Links in the message look unusual or redirect to websites that don’t match the official delivery service.
• No Tracking Information: Legitimate delivery companies provide proper tracking numbers. Fake messages often lack these or give invalid ones.
• Unprofessional Communication: Scammers’ messages may contain spelling errors, awkward language, or lack the company’s official logo.

Impact:

• Financial Loss: Victims may lose money through fake payment requests.
• Personal Data Theft: Scammers can steal personal information like credit card details or addresses.
• Device Infection: Clicking on malicious links can infect your device with malware or spyware.
• Emotional Stress: Victims may feel anxious or distressed about being targeted.
• Identity Theft: Stolen data can be used for fraud, such as opening accounts in your name.

Prevention:

• Financial Loss: Victims may lose money through fake payment requests.
• Personal Data Theft: Scammers can steal personal information like credit card details or addresses.
• Device Infection: Clicking on malicious links can infect your device with malware or spyware.
• Emotional Stress: Victims may feel anxious or distressed about being targeted.
• Identity Theft: Stolen data can be used for fraud, such as opening accounts in your name.

 

6. Digital Arrest Scam

Scam Tactics:

Scammers pose as police officers or government officials, accusing victims of being involved in illegal activities like money laundering or cybercrime. They intimidate victims by threatening arrest or legal action unless immediate payment is made to “resolve the matter.”

• Impersonation and Urgency: Scammers pose as authorities, creating a sense of urgency with threats of arrest or legal consequences to pressure victims.
• Demands for Payment or Data: They demand immediate payments through untraceable methods or request sensitive personal information for identity theft.
• Deceptive Tactics: Techniques like fake documents, spoofed contacts, and social engineering are used to make the scam appear credible and manipulate victims.

How to Identify Digital Arrest Scam:

• Unsolicited Contact: Be cautious of unexpected calls or messages claiming to be from authorities.
• Urgency and Threats: Scammers often pressure victims with threats of immediate arrest unless payment is made.
• Requests for Payment: Legitimate authorities don’t ask for payment over the phone.
• Unverified Claims: Always verify legal claims by contacting authorities directly through official channels.
• Isolation Tactics: If asked not to consult others, it’s a red flag.
• Sensitive Information Requests: Never share personal or financial details over the phone.
• Unprofessional Communication: Look for poorly written or vague messages.

Impact: Daily losses from such scams run into lakhs, as victims panic and transfer money or provide sensitive information under pressure.

Prevention:

• Verify any claims of legal accusations directly with the authorities.
• Avoid sharing personal or financial information over the phone.
• Remember: Genuine law enforcement agencies do not demand payment over the phone.

What to Do if You Fall Victim

If you’ve fallen victim to any of the mentioned scams—Digital Arrest Scam, Instant Loan Scam, Voice Cloning Scam, WhatsApp Scam, Fake Delivery Scam or Credit Card Scam—it’s important to take immediate action to minimize damage and protect your finances and personal information. Here are common tips and steps to follow for all these scams:

1. Report the Scam Immediately:

• File a Complaint: Report the scam to your local authorities or cybercrime cell. In India, you can file complaints with the Cyber Crime Portal or your local police station. For instant assistance, Dial 1930 to report cybercrime.
• Inform Your Bank/Financial Institution: If you’ve shared financial details (e.g., bank account or credit card info), contact your bank or credit card provider immediately to block any transactions and prevent further losses.
• Contact Your Mobile Service Provider: For scams involving SIM cards or mobile-based fraud (like voice cloning or WhatsApp scams), reach out to your service provider to block the number or disable the SIM.

2. Secure Your Online Accounts:

• Change Passwords: Immediately change passwords for any accounts that may have been compromised (banking, email, social media). Use strong, unique passwords for each account.
• Enable Two-Factor Authentication (2FA): Activate two-factor authentication on your important accounts (e.g., email, bank, social media) to add an extra layer of security.
• Review Account Activity: Look for unauthorized transactions or changes to your account settings and report them.

3. Monitor Your Financial Statements:

• Bank and Credit Card Statements: Regularly check your financial statements for unauthorized transactions. If you see any suspicious activity, report it to your bank immediately.
• Freeze Your Credit: In cases of credit card scams or loan-related fraud, consider placing a freeze on your credit with major credit bureaus to prevent new accounts from being opened in your name.

4. Do Not Respond to Unsolicited Messages:

• If you receive unsolicited calls, messages, or emails asking for personal information, do not respond. Scammers often use these methods to steal sensitive data.
• Do not click on links or download attachments from unknown sources.

5. Be Cautious with Personal Information:

• Never share sensitive information like your PIN, passwords, or OTP over the phone or through insecure channels like SMS or email.
• Digital Arrest Scam: If you receive a threatening message about being arrested, verify the information through official government sources or your local police. Authorities will never demand payment for legal issues.

6. Report the Phone Number/Email:

• If the scam came via WhatsApp, SMS, or phone calls, report the number to the respective platform. For WhatsApp, you can block the number and report it directly in the app. Similarly, report phishing emails to your email provider.

7. Preserve Evidence:

• Save Screenshots or Records: Keep any evidence (messages, emails, screenshots, etc.) that can be used to investigate the scam. These may be useful when filing a complaint or disputing fraudulent transactions.

8. Educate Yourself and Others:

• Stay informed about the latest scams and fraud tactics. Being aware of common signs of scams (e.g., too-good-to-be-true offers, urgent demands for money, etc.) can help you avoid future threats.

 

Conclusion:

As scams in India continue to grow in number and sophistication, it is crucial to raise awareness to protect individuals and businesses from falling victim to these fraudulent schemes. Scams such as phishing, fake job offers, credit card scams, loan scams, investment frauds and online shopping frauds are increasingly targeting unsuspecting victims, causing significant financial loss and emotional harm.

By raising awareness of scam warning signs and encouraging vigilance, we can equip individuals to make safer, more informed decisions online. Simple precautions, such as verifying sources, being cautious of unsolicited offers, and safeguarding personal and financial information, can go a long way in preventing scams.

It is essential for both individuals and organizations to stay informed and updated on emerging scam tactics. Through continuous awareness and proactive security measures, we can reduce the impact of scams, ensuring a safer and more secure digital environment for everyone in India.