UAE Banking Fraud Alert

Fraud alert from banks in the U.A.E.!!! The warnings are issued as a result of recent flurry of incidents of payment fraud.

The latest scams relate to alleged change of payment details of customers’ creditors, through email re-direct.  According to the U.A.E. banks, this is how payment fraud works.

• • Fraudsters hack or spoof email accounts, belonging customers’ creditors.
  • Then, they send customers an email, appearing to come from their creditor: 1) advising that creditor’s banking details have changed and 2) asking customers to pay an outstanding debt to a new account number.

The fraud is usually discovered much later, when creditors question non-payment.

Banks warn that, because of the time that normally passes between 1) payment and 2) discovery of fraud, recovery of funds is almost impossible, as the amount had long since been withdrawn by the fraudsters. Therefore, banks urge customers to be vigilant and always verify any alleged change of bank details of their creditors, by calling creditors directly, to confirm the change.

Furthermore, customers should always use an existing contact number for their creditors and never use any contact numbers or email addresses mentioned in the email.

So, to avoid falling victim to scams, please always beware of any requests to send money to new bank accounts.