There are many types of fraud, but three of the most common are:
- providing a poor quality service and charging you over the quoted price;
- tricking you into paying money upfront in order for you to profit later on (for instance, a bogus lottery win); and
- persuading you to get involved in expensive investments that are worthless.
Identity theft is becoming increasingly common, too. This is when someone commits fraud by using another person’s personal details to carry out a crime. Common examples include opening bank accounts and purchasing services and goods using your money or bank details.
Once tricked into supplying personal details to a fraudster, it can be very difficult to recover anything that was stolen, unless the fraudulent activity qualifies for a refund from your credit card provider. However, if the case goes to court and the offender is convicted, the court has the power to order compensation be paid to you.