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Online scams to be aware of

Updated 16 Aug 2017 – By Loanstreet


Falling prey to online scams can be a very painful experience. To make things worse, Malaysia is also gradually becoming a global hub for internet scams. It makes sense as the ease of obtaining visas, opening bank accounts and arranging money transfers are all very appealing. Today we share some form of online scams out there and how to not fall prey to them.

1. Online Shopping Scam

As the popularity of the e-commerce in Malaysia grows, the number of online shopping scams increase in tandem. Some examples of online shopping scams are:

  • Failing to deliver goods after payment was made
  • Counterfeit products delivered instead of the original product purchased

So what precautions can you take to avoid falling prey to this scam?

Check item's description carefully and ask the seller questions if you have any uncertainties about the product. Also, feedbacks and reviews will show you past transactions of other buyers. Make sure to read through the feedback on the seller’s page before making any purchase. Stay away from websites that do not provide user ratings too.

2. Online Job Scams

The online job scam is a common one. Exorbitant salaries, never having to leave home, and a host of other lucrative baits are all used to rope you into their nets.

Some of them will use you as a pawn to transfer money around and play a role in their money laundering affairs. Which by the way, could land you in jail.

Some fake employers also mask themselves as recruiters from reputable and established companies and  require you to deposit a certain amount of money as a refundable processing fee for a guaranteed job. And of course, they will run away with your money without leaving a trace.

So really, the steps here are simple :

  • You aren’t required to pay any money for interviews.
  • You shouldn't be helping third parties transfer money around.

And if the job sounds too good to be true, it probably is.

3. Forex Scams

Forex, a place for the trade of currencies is a popular choice of investment. It can be very profitable in the long run and like all other forms of investment, it requires hard work and experience.

However, certain miracle softwares in the market today are claiming to help you achieve the impossible. The promise of investing a small sum to earn an unlimited amount of money should already send people running. But people still get duped by these fancy promises.

Also, take precaution on forex brokers who claim they come from regulated companies. You might never be able to see your money again should you credit your funds into the wrong hands. Only trust reputable companies and do a little research before making decisions.

4. Email Scam or Phishing

Phishing is not a typo of fishing. It is a fraudulent attempt to steal personal information like your username and password of bank account. The scammers usually come up with a very legitimate looking email, commonly informing recipients to update their information to enhance their user experience.


After clicking the link, you will be redirected to a fake website with the same interface and outlook of the original online banking website.

Here's an example of a phishing email:


Online Scams To Be Aware Of

*Source: Maybank

Should you receive this kind of email, just give a call to your bank and verify the authenticity of it. Remember to call the number from the bank's verified website and not the number provided in the email.

To conclude

Scams often prey on the greed and carelessness of consumers. Should you receive anything fishy or scammy, remember to practice wisdom and always research when in doubt. Stay safe and don’t become another statistic to these scams.

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