FIC Alert for Accountants: Beware of Holiday Scams!

The Financial Intelligence Centre (FIC) has released a handy guide titled “Crime Does Not Take a Holiday” helping South Africans avoid falling victim to holiday scams. With the festive season approaching, scammers are ramping up efforts to steal money by offering fake travel deals, accommodations, and tickets. Here’s what you and your clients need to know.

Common Holiday Scams

1. Fake Holiday Packages
   Scammers advertise all-inclusive deals at unbelievably low prices. Victims pay upfront but get nothing in return.

2. Bogus Accommodation Listings
   Fake property ads on trusted booking sites or social media lure people into paying deposits for homes or hotels that don’t exist or are already occupied.

3. Phony Travel Agencies
   Fraudsters mimic reputable travel agents, offering "exclusive" packages and then disappearing with your money.

4. Holiday Vouchers
   Scammers sell fake vouchers or demand upfront fees for “free” vouchers that are never honored.

5. Timeshare Fraud
   Victims are tricked into paying upfront fees for fake timeshare resales or rentals.

6. Counterfeit Travel Tickets
   Scammers sell fake plane, bus, or train tickets online, often using professional-looking but fake websites.

How to Spot a Scam

• Deals that seem too good to be true probably are.

• Look for poorly designed websites, missing contact info, or unsecured payment pages (no “https” in the web address).

• Be cautious of last-minute or high-pressure offers.

• Verify companies on trusted platforms like BizPortal.

• Check reviews online. Real companies usually have both positive and negative feedback.

Tips to Stay Safe

1. Use trusted websites, stick to well-known booking platforms. Double-check website URLs for legitimacy.

2. Secure payments should be made via credit cards or PayPal. Avoid bank transfers or cryptocurrency payments.

3. Ask questions - request proof of accreditation (e.g., Association of Southern African Travel Agents membership).

4. Be wary of social media offers that come from fake profiles offering deals via posts, DMs, or ads.

5. Stay alert to phishing - don’t click on links in unsolicited emails or texts claiming you’ve won a prize.

What to Do if You’re Scammed

1. Report the scam to the South African Police Service.

2. Notify your bank immediately.

3. File a complaint with the National Consumer Commission (NCC).

As an accountant, you can play a key role in helping clients avoid scams. Share these tips with them, especially those planning year-end getaways. A little vigilance goes a long way in protecting finances this holiday season!