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Four vacation scammer red flags

Vision Credit Union • Mar 28, 2019

Don't let travel fraud steal your sunshine

Ah… springtime. It’s the time of year when many Albertans’ thoughts turn to getting away from well… Alberta. After months of winter and a slow-to-show spring, many folks feel desperate for the sight of green grass and the feeling of sun on their shoulders.

All that yearning for sunshine can make a person prone to believe almost any offer that promises a warm vacation, even if that offer is a scam. According to the Canadian Anti-Fraud Centre, scams centring on travel are a growing issue. The best way to protect yourself and your vacation savings? Recognize the tells of a vacation scammer.
Here are four types of holiday scams the fraudsters favour:

1. Free or discounted vacation scam

This variation involves fraudulent offers of free or discounted vacations using company names like Expedia, Air Canada, Transat, WestJet and others. The fraudster will call and say that you’ve won a destination vacation or that as a preferred customer, you’ve been awarded a credit or discount on a destination vacation if you book immediately. Once you proceed with the call, you’ll be asked for personal information to book the vacation and a credit card number to make a deposit/payment to guarantee the trip.

Warning signs to watch for:

  • An unknown caller tells you that you've won a contest that you didn't enter.
  • You receive a call saying that you've won a free vacation but have to provide a credit card number to cover taxes before receiving the vacation.
  • You ask for the caller's name and for a call back number and they won't provide one.
2. Ticket re-sell

In this scam, fraudsters post an ad selling a purchased vacation (airline tickets and accommodations) on websites like Kijiji and Craigslist. If you contact the “seller” and agree to purchase the package, the fraudster will urge you to pay in full before the tickets are transferred into your name. On the departure date, you arrive at the airport and learn that the tickets are fake.

Warning signs to watch for:
  • The seller refuses to meet in person and most communication is done via text or email.
  • The vacation is offered at a price that seems to good to be true.
  • The seller is in a big hurry to complete the transaction.

3. Points scams

This scam involves offers from fraudsters claiming to be from Air Miles or another points rewards company. You would receive an automated telephone call advising that you’ve won prizes worth thousands in reward points or that the caller has information on the status of your points account. You would then be asked to provide personal information, your collector account PIN and your credit card information. Once this information is provided, the fraudster then steals the cash or your reward points.

Warning signs to watch for:
  • An unknown caller tells you you've won a contest you didn't enter or wants to update your account.
  • You are asked to provide personal, credit card, or account related information over the phone.

4. Vacation rental scams

This scam involves fraudsters posting a destination property for rent online using common sites like Kijiji and Craigslist. Fraudsters list accommodations in desirable locations for far below the typical rental cost. When you call to enquire about the rental, the scammer will ask you to provide a deposit for the rental, typically via wire transfer. Once you arrive at the rental property, you’ll realize that the rental either doesn't exist, the condition has been misrepresented, or the property was never available for rent.

Warning signs to watch for:
  • The ad doesn't give the address of the rental.
  • The same property is listed several times with different contact people.
  • Payment is requested via wire transfer, money order, or cashier's cheque. Credit cards are not accepted.

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