Travel fraud cases rise 20% to 5,800

Abta, the City of London Police and Get Safe Online have once again joined forces to warn the public about the dangers of holiday booking fraud.

Findings from a new report, compiled by the City of London Police’s National Fraud Intelligence Bureau, reveal the scale of reported crime, and expose common tactics used by fraudsters.

The number of reported cases has risen almost 20% year-on-year from 4,910 to 5,826.

The three campaign partners believe that these figures are only the “tip of the iceberg” with many victims not reporting it when they have been defrauded.

The average amount lost per person was £1,200, but losses are not just financial they can also have an impact on health.

More than a quarter (26%) of victims said that the fraud had also had a significant impact on their health or financial well being.

More than 250 people said the impact on them had been severe, meaning that they had to receive medical treatment or were at risk of bankruptcy.

In common with previous years, the numbers of people reporting travel fraud to the police jumped in the summer and in December.

Travellers may be particularly vulnerable in 2017 as the overseas travel industry is reporting good early booking levels with accommodation and flights at a premium.

Fraudsters could take advantage of this by offering “good deals” over the summer.

The two age groups most commonly targeted are those aged 20-29 and 30-39, with older generations less likely to fall victim, particularly those over-50 who are perhaps more wary of “too good to be true” offers.

The majority of those who are defrauded pay by methods such as bank transfer or cash with no means of getting their money back.

The two age groups most commonly targeted are those aged 20-29 and 30-39, with older generations less likely to fall victim, particularly those over-50 who are perhaps more wary of “too good to be true” offers.

Some fraudsters now actively encourage these payment methods by claiming that only these payment methods are protected by their own bogus insurance schemes,” Abta said.

Mark Tanzer Abta chief executive, said: “Abta is regularly contacted by members of the public who have been caught out by increasingly sophisticated travel related frauds.

“We know at first-hand that the loss and shock of finding that your flight or holiday accommodation has not been booked can be very significant.

Deputy head of Action Fraud, Steve Proffitt, said: “Action Fraud has seen a consistent rise in the number of holiday fraud reports made over the past five years.

“We recommend that people are thorough when researching their travel arrangements and book directly with an airline or hotel, or through a reputable agent.”

Types of holiday booking fraud

In 2016 5,826 cases of holiday booking fraud were reported to Action Fraud. The most common types of fraud related to:

· Holiday accommodation - Fraudsters are making full use of the internet to con holidaymakers by setting up fake websites, hacking into legitimate accounts and posting fake adverts on websites and social media.

· Airline tickets – where a customer believes they are booking a flight and receives a fake ticket or pays for a ticket that never turns up. In 2016, flights to Africa and the Indian sub-continent were particularly targeted, suggesting that fraudsters are targeting the visiting friends and family market and may well be making use of lack of knowledge of the strict regulations in place for the legitimate UK based travel industry.

· Sports and religious trips – a popular target for fraud due to limited availability of tickets and consequently higher prices.

· Timeshares and holiday clubs – The sums involved with this form of fraud are particularly high with victims often losing tens of thousands of pounds each.

Top tips to avoid becoming a travel fraud victim

The City of London Police, Abta and Get Safe Online have published advice on how to avoid becoming a victim of holiday booking fraud – and on how victims should go about reporting it. This advice includes the top tips below:

· Stay safe online: Check the web address is legitimate and has not been altered by slight changes to a domain name – such as going from .co.uk to .org

· Do your research: Don’t just rely on one review - do a thorough online search to check the company’s credentials. If a company is defrauding people there is a good chance that consumers will post details of their experiences, and warnings about the company.

· Look for the logo: Check whether the company is a member of a recognised trade body such as ABTA. If you have any doubts, you can verify membership of Abta online, at abta.com

· Pay safe: Never pay directly into a private individual’s bank account. Paying by direct bank transfer is like paying by cash – the money is very difficult to trace and is not refundable. Wherever possible, pay by credit card or a debit card.

· Check paperwork: You should study receipts, invoices as well as terms and conditions. Be very wary of any companies that don’t provide any at all. When booking through a Holiday Club or Timeshare, get the contract thoroughly vetted by a solicitor before signing up.

· Use your instincts: If something sounds too good to be true, it probably is.

· Report it: Victims should contact Action Fraud via actionfraud.police.uk

· Get free expert advice: For further advice on how to stay safe when booking or researching travel online, click here.