Fraud and Your Investment Accounts During COVID-19 Pandemic
The COVID-19 pandemic is affecting most aspects of our society and daily lives, as well as the U.S. economy and markets. Events with such profound impact routinely create opportunities for financial fraud. FINRA has released a new Notice to broker-dealers advising firms and their associated persons to be aware of and take appropriate measures to address the increased risks and challenges presented during the COVID-19 pandemic. In addition to new scams focusing on COVID-19, previous scams may also find new life as fraudsters adapt to and exploit recent events and related vulnerabilities, especially those related to the remote working environment.
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Many coronavirus-related investment account scams involve third-party fraudsters leveraging — in a bad way — firms' relationships and communications with investors. By staying vigilant, you can play an important role in keeping your assets and personal information safe. This article highlights four common scams to look out for: (1) fraudulent account openings and money transfers; (2) firm imposter scams; (3) IT Help Desk scams; and (4) business email compromise schemes — and how you can take action to mitigate related risks.
Source Fool.com
