SCAMMING - A REAL AND VERY SAD ISSUE

A few years ago most people would never of heard of scamming. However, as more and more of the population have gained access to internet, more business transactions are conducted online as greater efficency is sought. There is no doubt that this development of internet facilities to conduct business has removed barriers to simple business transactions. Even in trying to find "love" and "friendship" people have turned to the internet.

However, this growth in internet business transactions has increasingly exposed the user of the facilities to a greater threat of theft of identity, funds and goods, often described in terms of scamming. Some may think that only vulnerable or those who are not well endowed intellectually fall prey to these scammers. That is not the case, and we even saw a week ago that the much maligned Hotchin, a Director of Hanover, was successfully scammed by some locals, that is, New Zealanders. He was apparently taken in by the promise of some very high returns on his funds.

In the last 12 months, the Ministry of Consumer Affairs has estimated that over $448 million was scammed from New Zealanders in the last 12 months. When I speak with Community Groups they are incredulous of this amount being scammed from New Zealanders. They ask, "what were these people thinking about". New Zealanders are often characterised as being a trusting group who can be a "soft touch" for tragic/sad stories. These are great characteristics to have but can make New Zealanders extra vulnerable to the scammers, both external and internal.

I have been informed of people being scammed as a result of internet friendships promising love some time down the track. People looking and convinced they have found a soul mate. These have ranged to as much as $750,000 in 6 weeks - and not always to the Nigerian scammers. Some of these scammers are in well developed European countries. These scammers once they have the person on the hook know exactly what buttons to push to keep the victim in play.

So don't be under any illusion that scammers only come from places like Nigeria. I have personally dealt with a number of people who have been scammed from overseas scammers and individuals residing overseas by New Zealand scammers. Only last weekend, I had someone get in touch about an apartment they thought they had rented in the UK. Once they had sent the money they knew that they had been scammed and were asking me how they could stop the payment. Unfortunately the money had been collected.

At a recent network meeting of a group who deal with fraud and whose organisations had put an incredible effort into warning people about scamming, most commented "what more can we do to protect people from themselves". One organisation even admitted a Branch Manager had been scammed.

The best way to protect yourself don't send money to anyone unless you know who they are or can verify their credientals. If you have any doubts, don't send the money. The adage "if it looks to good, it is" should be heeded.

If you are using Ebay or Trade Me, when purchasing an item of some substance, put your money in the Trust arrangement that is available and only have it released when you are happy with the item purchased. The few dollars involved could save you much anguish. I am amazed that individuals purchase items for thousands and don't use this safe guard.