Be vigilant at all times, is the warning from CIFAS, as impersonation and facility takeover fraud increase.

CIFAS, the UK’s Fraud Prevention Service, has reported a sharp rise in the number of facility takeover fraud victims, and warns of the damaging effects upon them.

Facility takeover fraud is when a fraudster secretly hijacks and plunders a victims bank account, and CIFAS has reported a 207% increase in this type of fraud compared with 2007.

One example given by CIFAS is that of Peter Ayres and his partner, who discovered that an account which should have contained thousands of pounds had been emptied.

“It’s been crippling and has taken so much effort to get sorted out. We’re still not there yet. My partner went into panic attacks and I feel quite paranoid. I’m not sure whether to trust anyone I speak to, and even wonder whether the money was stolen by an acquaintance or colleague.”

Richard Hurley, CIFAS Communications Manager, commented: “Anyone who thinks that fraud is a victimless crime should think again. The financial costs can be bad enough, but the emotional and psychological effects are unquantifiable.”

An analysis of trends during the first quarter of 2009 has also shown a dramatic increase in impersonation fraud compared with the same period in 2008 – up 40%, coupled with a surge in the number of false insurance claims – up 44%.

CIFAS has consistently found that a recession, or economic slowdown, goes hand in hand with increases in fraud. Mr Hurley continued, “It is undeniable that credit has become more difficult to obtain, and this may go some considerable way to explaining the fraudsters’ changing methodology.”

This information should be a stark warning to the public over the importance of keeping alert to threats surrounding them.