SINGAPORE: Clinical psychologist Annabelle Chow is no stranger to scams. In her line of work, she has helped victims who lost money due to such fraud.
Still, she found herself almost falling for a ruse.
Tempted by a website that promised a 30 per cent discount and same-day delivery for a gin she had tried overseas and loved, she ordered and checked out with her credit card details.
“It looked legitimate because it had Google Pay, it had Apple Pay (and) it had all the correct logos,” she told CNA’s Deep Dive podcast.
“After I put in my credit card details, I had a notification that said … my credit card details were added on a new device.”
She suspected something was amiss and called the bank to block the transaction and terminate her card, stopping short of losing money.
While Ms Chow escaped from her experience unscathed, that is not the experience of many.
People in Singapore lost at least S$385.6 million (US$288 million) between January and June this year, a 25 per cent increase from the same period last year.
Of the over 20,000 cases reported, 86 per cent involved victims being manipulated into transferring money to scammers.
Investment scams were the most common, while the rest were mainly e-commerce and job scams.
To hopefully bring the staggering figures down and protect the public, the police could get powers to intervene, under a new law proposed last month.
The Protection from Scams Bill seeks to allow the police to order banks to restrict a potential scam victim's banking transactions, including online banking, PayNow and at automated teller machine (ATM) facilities.
Each restriction order will last up to 30 days at a time but can be extended up to five times if the authorities deem it necessary, the Ministry of Home Affairs said on Nov 11.
Those subjected to restriction orders will continue to have access to money for legitimate reasons, such as daily living expenses and paying bills, which will be assessed on a case-by-case basis.
The time lapse could be a deterrent, said Dr Chow.
“Every time we get scammed, it's because there's an immediacy, there's an urgency. So when the restrictive order kicks in, it's a bit (like pressing) that pause button,” she said.
She added that while scammers’ techniques are always evolving, such a law in place would act as a hindrance to fraudsters.
The move, however, could be criticised for not allowing people to exercise personal responsibility, said lawyer Mark Yeo, who was also on the podcast.
On the other hand, it could protect the elderly in particular, who may be ripped off of everything they have, he said.
“The sum of money that is being scammed out of them tends to be entire life savings and once that happens, then society has to pick up the pieces when suddenly they need social services support,” said the director at Fortress Law Corporation.
“The community aspect of it – you feel the need to protect them a little bit from themselves.”
In March this year, an 82-year-old man who was targeted by scammers three times in less than two months averted a loss of S$3.7 million following the intervention of the authorities and banks.
Despite its potential benefits, Mr Yeo noted it appears that in the proposed bill, all the power rests within the police force as appeals will also be handled by them.
“I'm not sure in practice how often (the appeals process) will be used, or whether it will be an effective check, given that it's the police checking the police's own actions. So there is that concern,” he said.
He pointed out, however, that having a separate body to handle appeals, like the court, could compromise any ongoing investigations by the police.
Delving into why people – herself included – could fall for scams, Dr Chow said that in a busy world, people make short and quick decisions.
She added that scammers prey on what unsuspecting victims are looking for.
“We are all likely to fall to different kinds of scams based on our own unmet needs,” she said. “In our society, a lot of times it would be related to money or loneliness.”
Another reason people may be cheated of their money is getting complacent thinking they know all about scams, she said.
She added that if people knew themselves better, they may be able to avoid scams.
For instance, when someone who grew up in poorer environments encounters a “good deal”, they may fall for it due to the appeal of saving money, she said.
“Part of this education (on scam prevention) requires a bit of psychology in understanding yourselves a bit deeper,” she added.
Scammers will continue to find new emotions to prey on, said Mr Yeo.
“We really do need to keep reworking and relooking at these measures to see: Are they effective? Do we need more? Do we need to cut back on certain things?” he said.
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Still, she found herself almost falling for a ruse.
Tempted by a website that promised a 30 per cent discount and same-day delivery for a gin she had tried overseas and loved, she ordered and checked out with her credit card details.
“It looked legitimate because it had Google Pay, it had Apple Pay (and) it had all the correct logos,” she told CNA’s Deep Dive podcast.
“After I put in my credit card details, I had a notification that said … my credit card details were added on a new device.”
She suspected something was amiss and called the bank to block the transaction and terminate her card, stopping short of losing money.
While Ms Chow escaped from her experience unscathed, that is not the experience of many.
PROPOSED LAW COULD HELP POTENTIAL VICTIMS
People in Singapore lost at least S$385.6 million (US$288 million) between January and June this year, a 25 per cent increase from the same period last year.
Of the over 20,000 cases reported, 86 per cent involved victims being manipulated into transferring money to scammers.
Investment scams were the most common, while the rest were mainly e-commerce and job scams.
To hopefully bring the staggering figures down and protect the public, the police could get powers to intervene, under a new law proposed last month.
The Protection from Scams Bill seeks to allow the police to order banks to restrict a potential scam victim's banking transactions, including online banking, PayNow and at automated teller machine (ATM) facilities.
Each restriction order will last up to 30 days at a time but can be extended up to five times if the authorities deem it necessary, the Ministry of Home Affairs said on Nov 11.
Those subjected to restriction orders will continue to have access to money for legitimate reasons, such as daily living expenses and paying bills, which will be assessed on a case-by-case basis.
The time lapse could be a deterrent, said Dr Chow.
“Every time we get scammed, it's because there's an immediacy, there's an urgency. So when the restrictive order kicks in, it's a bit (like pressing) that pause button,” she said.
She added that while scammers’ techniques are always evolving, such a law in place would act as a hindrance to fraudsters.
Related:
SHOULD PEOPLE HAVE THE RIGHT TO MAKE POOR CHOICES?
The move, however, could be criticised for not allowing people to exercise personal responsibility, said lawyer Mark Yeo, who was also on the podcast.
On the other hand, it could protect the elderly in particular, who may be ripped off of everything they have, he said.
“The sum of money that is being scammed out of them tends to be entire life savings and once that happens, then society has to pick up the pieces when suddenly they need social services support,” said the director at Fortress Law Corporation.
“The community aspect of it – you feel the need to protect them a little bit from themselves.”
In March this year, an 82-year-old man who was targeted by scammers three times in less than two months averted a loss of S$3.7 million following the intervention of the authorities and banks.
Despite its potential benefits, Mr Yeo noted it appears that in the proposed bill, all the power rests within the police force as appeals will also be handled by them.
“I'm not sure in practice how often (the appeals process) will be used, or whether it will be an effective check, given that it's the police checking the police's own actions. So there is that concern,” he said.
He pointed out, however, that having a separate body to handle appeals, like the court, could compromise any ongoing investigations by the police.
Related:
THE PSYCHE OF A VICTIM
Delving into why people – herself included – could fall for scams, Dr Chow said that in a busy world, people make short and quick decisions.
She added that scammers prey on what unsuspecting victims are looking for.
“We are all likely to fall to different kinds of scams based on our own unmet needs,” she said. “In our society, a lot of times it would be related to money or loneliness.”
Another reason people may be cheated of their money is getting complacent thinking they know all about scams, she said.
She added that if people knew themselves better, they may be able to avoid scams.
For instance, when someone who grew up in poorer environments encounters a “good deal”, they may fall for it due to the appeal of saving money, she said.
“Part of this education (on scam prevention) requires a bit of psychology in understanding yourselves a bit deeper,” she added.
Scammers will continue to find new emotions to prey on, said Mr Yeo.
“We really do need to keep reworking and relooking at these measures to see: Are they effective? Do we need more? Do we need to cut back on certain things?” he said.
Continue reading...