Protecting yourself from holiday scams

Keeping you and your money safe is our top priority, and we have stringent safeguarding measures in place to help protect all our customers. But there are also steps you need to take to protect yourself from fraud.

To help you identify potential scams and stay safe, we’re publishing a series of articles on fraud protection. This article looks at holiday scams.

What is a holiday scam?

Holiday scams cover a wide variety of different fraudulent tactics that may scupper your travel plans as well and putting a hole in your wallet. A common example is fraudulent holiday advertisements, where individuals or organisations deceive their victims into purchasing fake or invalid holiday packages, accommodations, or travel services. These scams often involve selling holiday deals at inflated prices or for package deals for trips that don’t actually exist.

Holiday scams can also come in the form of ‘ATM skimming’, which involves the use of skimming devices on ATMs to capture banking information from the magnetic strips of cards. Travellers are especially at risk abroad, where they might not detect altered machines, or be less likely to notice hidden cameras, fake keyboards, or shoulder surfing to gather data.

Another common scam, often found around major landmarks, is the ‘bracelet scam’. Scammers will tie unwanted friendship bracelets onto traveller’s wrists and then demand payment, or alternatively use pickpocket them while they are distracted talking to the salesperson. You should also be wary of taxi’s when travelling abroad, ensuring that whenever possible you are using a reputable transport company to travel. This can help you to avoid drivers charging extortionate fees for their services or claiming to have a broken meter.

An example of a holiday scam

Sarah, an avid traveller seeking a relaxing Caribbean getaway, searched online for affordable holiday packages. She discovered an enticing ad promising a luxurious, all-inclusive resort stay at a heavily discounted rate. Intrigued, she clicked through to an unfamiliar website showcasing beautiful beach vistas and upscale accommodations.

A chat window popped up with Mark, who claimed to represent the travel agency behind the deal. Assured by Mark’s convincing pitch and eager to secure the limited time offer, Sarah entered her payment details as instructed. She received an immediate confirmation message stating her booking was successful and awaited her itinerary via email.

However, hours passed without receiving any confirmation email. Concerned, Sarah tried contacting customer support but received no response. It soon became clear that the website was fraudulent, and Sarah had fallen victim to a holiday scam.

Feeling disappointed and realising she had been deceived, Sarah learned a hard lesson about the risks of booking through unfamiliar websites and the importance of verifying deals from reputable sources.

Five tips on how to protect yourself from holiday scams

• Research and plan ahead

Before your trip, spend time reading travel forums, guidebooks, and official tourism websites to understand common scams in your destination. Following local news and travel advisories for any recent reports of scams or safety concerns will also help you to stay updated and well informed.

Additionally, saving the contact details of your country’s embassy or consulate and local emergency numbers in case you need assistance may come in handy.

• Use trusted services

Whenever possible, book your transportation and tours through reputable companies in advance. Websites like TripAdvisor, Yelp, and official tourism sites can provide reviews and recommendations.

Look for official logos, licenses, and credentials on websites and service providers to ensure they are legitimate and try and use well establish apps. For instance for taxis, use trusted ride-hailing apps like Uber or Lyft, which often have built-in safety features and fare estimates.

• Stay aware of your surroundings

Whenever possible, book your transportation and tours through reputable companies in advance, as websites like TripAdvisor, Yelp, and official tourism sites can provide reviews and recommendations. Verify legitimacy by looking for official logos, licenses, and credentials on websites and service providers to ensure they are legitimate, and for taxis, use trusted ride-hailing apps like Uber or Lyft, which often have built-in safety features and fare estimates.

• Secure your belongings

Investing in anti-theft gear like bags with lockable zippers, slash-resistant straps, and RFID-blocking pockets will provide your belongings with an extra layer of protection. Avoid carrying all your money and important documents in one place; instead, split them between secure locations such as a hotel safe and a money belt.

When in public, be discreet and avoid flashing expensive items like jewellery, cameras, or large amounts of cash to minimize attracting unwanted attention.

• Ask locals for advice

Upon arrival, seek local insights from hotel staff, tour guides, or trusted locals regarding areas to avoid and recent scam tactics. Learning a few basic phrases in the local language can enhance communication and aid in navigating tricky situations.

Stay informed by regularly checking with your hotel or local contacts for updates on new or ongoing scams in the area.

If someone targets you 

If you suspect you are being targeted or have fallen victim to a holiday scam, it’s crucial to take immediate action to mitigate potential damage and secure your accounts. You can report it to Action Fraud by calling 0300 123 2040 or by using their online reporting tool, and you can report it to the FCA.

You should also contact your bank as soon as possible if a fraudulent transaction has gone thorough, allowing a temporary freeze to be placed on the affected account and preventing further theft.

Informing other relevant parties, such as financial institutions, credit card companies and any other relevant service providers will also enable you to take additional steps to secure your accounts, as well as helping you to monitor any suspicious activity in the first instance.

If you’ve been a victim, you can also get free specialist help from Victim Support.

More information on holiday scams

Some of the organisations and websites we’ve listed above provide a treasure trove of information, guidance and resources. If you think you are on a fraudulent travel website, you check the sites registration history using a domain checker site, such as who.is.

You can also report any suspicious sites to the National Cyber Security Centre.

As well as checking the FCA’s Register and Warning List, you can also find other information for consumers and firms on the FCA website.

Action Fraud, the UK’s cybercrime reporting centre, also has plenty of useful resources – as does Victim Support.

Finally, we’re always more than happy to help our customers. If you’ve got any concerns or questions about the security of your Currencies Direct funds, or need guidance in relation to a transfer, please do get in touch.

You might also want to read our article on bank imitation websites, as the two types of scams share some similarities regarding fraudulent online websites and transactions.