SIM splitting is the latest financial scam fraudsters are exploiting to steal cash from the bank accounts of their victims.
This sophisticated and complicated scam is perpetrated by a chain of crooks.
Fraudsters steal a victim’s personal information when a rogue computer file hiding Trojan malware is downloaded from the internet, according to the UK’s The National Fraud Intelligence Bureau (NFIB).
Lists of stolen data are sold to middlemen who are specialists in extracting bank and mobile phone details from the details.
This package is then sold to another crook who opens a business bank account in the victim’s name at their own bank.
Keep personal data secret
Business bank accounts are easier to open as banks carry out less rigorous checks if the account owner is already a customer. The stolen data is then linked to a mobile phone account by information on the hacked computer.
The SIM splitter scours the stolen data and internet for likely security answers to the victim’s mobile phone account.
The splitter then sets up a new mobile phone account in the victim’s name, cancelling the victim’s account.
When the new SIM is activated, the crooks transfer any money in the victim’s personal bank account to the bogus business account and then immediately withdraw the funds.
“Avoid posting personal information on social media sites that may help fraudsters work out the answers to security questions or that may reveal passwords,” said a NFIB spokesman.
Warnings about bogus advisers
The FCA has also issued these warnings about bogus firms posing as regulated financial advisers:
- Geo Finance Limited
- Loan to Loans
- City Loans
- City Financial Limited
- Best UK Loans
- BNY Mellon Wealth Management (clone)
- QuickCash (clone)
- TBR Assured Limited t/a Personal Touch Insurance
- Krono Partners plc
- Skylade Insurance Services
- Profit Hunters
- Euro Solution Ltd
- State Street Global Markets International Limited (clone)
Dealing with an unregulated firm
If you buy shares, save money or invest with an unregulated firm, you lose any protection offered by the Financial Ombudsman and the Financial Services Compensation Scheme. Broadly, you have no independent place to complain if the deal goes wrong and are unlikely to win any compensation.
Checking if a firm is regulated
Go to the Financial Services Register to check if a firm is regulated in the UK.
Reporting a suspected bogus adviser
Find out how to report unauthorised advisers on the FCA web site
