How to avoid social media scams

An increasing number of people are being duped into investing in social media scams. According to the US-based Federal Trade Commission, social media was “…far more profitable to scammers in 2021 than any other method of reaching people.”

When you think about it, social media is a scammer’s dream. They have access to the same advertising tools as a legitimate business, so they can targets ads at victims who:

• Have a particular interest
• Are from a specific location, gender, or socioeconomic group

Such adverts feel personal and bespoke, which makes them more likely to pique the consumer’s interest. It is incredibly easy to look legitimate on social media.

Buying followers is a simple process, as is quickly scraping together a shiny logo and some legit-looking copy. It might sound obvious that a quick search at Companies House will discredit these bogus companies immediately.

But you’d be surprised by the amount of people who don’t do due diligence before handing over their money.

Research before investing

Social media investment prospects come in various shapes and forms including:

• Bonds
• Stocks
• Stock options
• Cryptocurrency
• Precious metals and stones
• Investment advice

3 tips to avoid social media scams

1. Limit who can see your posts and profile. Avoid scams and fake ads by opting out of targeted advertising
2. Verify all money requests
3. It may sound obvious, but following recent revelations made victims of Shimon ‘Tinder Swindler’ Hayut: be wary of romantic connections and relationships that start online

Scammers and opportunists use social media to pose as legitimate celebrities and business people. Usually, they encourage others to make cryptocurrency-related investments that promise big returns.

Although these investments appear genuine and authentic, it’s still astounding that so many people fall for these cons.

We live in an age where anyone on social media can be whoever they want, and do whatever they aren’t brave enough to do offline. So, please, think twice before allowing them into your life.