With the increasing popularity of smartphones, tablets and social media sites, many Canadians are concerned that they may become a victim of fraud. Fraudsters have sophisticated ways of stealing or tricking consumers into revealing personal information through these online channels.
According to the 2012 TD Canada Trust Fraud Prevention Month poll, although fewer Canadians overall are concerned about becoming a victim of fraud compared to last year (72% versus 79% in 2011), many are worried about emerging types of fraud such as online fraud1 (84%), malicious social media apps2 (77%), phishing3 (72%) and fraudulent cell phone apps4 (61%).
“As technology continues to evolve, so too are the tricks fraudsters use to try and steal your personal information,” says Justin Hwang, Associate Vice President, Fraud Management, TD Canada Trust. “Banks and credit card companies have sophisticated security measures in place and work closely with law enforcement to protect their customers, but it is important to remember that you are the first line of defence.”
The good news is Canadians are taking actions to protect themselves from these ‘online bandits’, including:
Ensuring their computer’s security software and virus/malware protection is up-to-date (86%)
Subscribing to the highest level of privacy on their social media accounts (73%)
Using an automatic lock function with a password-protection feature whenever their mobile phone, tablet, computer starts-up or times-out (54%)
Never texting or emailing banking information (46%)
Never downloading social media apps from unknown sources (45%)
Never sharing email or social media site passwords (45%)
Hwang says an emerging type of fraud consumers should watch out for is malicious smartphone and social media apps that are designed to steal personal information, which is then used to commit fraud.
“It’s encouraging to see so many Canadians are taking steps to protect themselves from fraud, but remember that fraudsters can lurk in unsuspecting places – including social media sites and even in mobile phone app stores – so it’s important you remain vigilant,” he says. “Always be cautious when downloading apps for your cell phone, tablet or computer. Try to stay with apps from well-known and trusted brands. For example, mobile banking apps from major financial institutions, like the TD Canada Trust mobile app, maintain a high level of security and integrity so are safe and secure to use.”
Canadians have ‘upped the ante’ in their fight against traditional fraud
The poll revealed Canadians are more concerned about some traditional forms of fraud – including debit card fraud (87% versus 81% in 2011) and identity theft (91% versus 86% in 2011) – but more people are taking precautions to protect themselves. Compared to last year, more Canadians now rely solely on ATMs that belong to their bank (65% versus 58%), have spoken to their bank about reducing their withdrawal limit (30% versus 25%) and change their PINs every couple of months (19% versus 12%).
But Hwang says some Canadians are still engaging in risky behaviour that can make them vulnerable: 14% admit they have carried their debit card or credit card PIN in their wallet, 11% have sent their credit card number through email, and 10% have told someone their PIN.
“Most fraud can be avoided if you are proactive and follow a few basic tips, like shielding your PIN when making a transaction, safeguarding your personal information online and offline, and monitoring your bank account activity for anything unusual,” he says. “If you think that you may have been a victim of fraud, contact your financial institution immediately.”
