Scamwatch: new banking fraud

Stay one step ahead of the fraudsters with our series of articles on the scams they use to trick you out of your hard-earned cash.

This week, we investigate the latest banking scam doing the rounds, and explain how to avoid being taken in.

How does it work?
Bank customers are being targeted in an elaborate new scam designed to trick them into handing over their account details, including their log ins and passwords.

Customers of banks including HSBC and NatWest have been sent emails telling them that their accounts have been locked or "deactivated" due to security reasons, and inviting them to sign in to their accounts using an embedded link and change their security information.

However, the site the link takes people too is a fake one set up by the fraudsters to look like the bank's official website.

And when people enter their log in details and change their security data, the fraudsters can use the information to steal money from their accounts.

How can I avoid being caught out?
Security experts say that "phishing" scams of this kind often pop up in the week after Christmas.

Tony Neate at online security organisation Get Safe Online said: "Most consumers' credit and debit cards will have been used more than usual over Christmas, so an email from your bank saying your account has been suspended doesn't seem that odd."

But if you receive an email telling you your bank account has been frozen, a sensible first step is to check whether or not this is the case - by opening a new page and typing in the online banking web address, NOT by clicking on a link in the message.

Even if your account does appear to have been blocked, it then makes sense to call your bank to find out what it going on - again, using a number you find independently rather than one from the email - before taking any steps.

I've been defrauded. What should I do?
First things first: contact your bank so that it can secure your accounts as quickly as possible.

A quick response is the best way to increase your chances of having any money stolen returned or refunded, while speedy reporting can also help the bank to ensure other customers are not caught out.

Then report the crime to Action Fraud (0300 123 2040) so action can be taken to catch the fraudsters behind it.