Unfortunately, when you’re being targeted by a scam, it doesn’t come with a huge warning sign that’s impossible to miss, and it could mean you unwittingly fall for a fraudster’s tactics.
Indeed, according to a Nationwide (25 September 2026) survey, the average Brit is targeted by scammers multiple times a week. About 15% of people targeted have shared personal information that could allow fraudsters to access their assets.
However, there are signs that should act as a red flag.
Over the last couple of months, we’ve explained why it can be easier than you expect to fall victim to a scam and common types of scams you should be aware of. Now, discover the red flags that should set alarm bells ringing.
Being aware of red flags could help you spot them
A red flag is an indicator that you face potential risk or danger.
In some instances, you’ll spot them right away and feel confident enough to shut down the scam. But there are times when you overlook them. You might be targeted when you’re busy, so you may be distracted, or your emotions may prevent you from assessing a situation objectively.
So, even if you’re confident in your ability to spot a scam, keeping potential red flags in mind could help.
If you think you’re being targeted by a scam, don’t be afraid to step back and seek more information. Doing so could protect your wealth and wellbeing. A genuine professional will understand why you’re being cautious.
Here are some red flags that could indicate you’re being targeted by a financial scam.
1. You’re contacted out of the blue
If you receive unsolicited contact, whether it’s a phone call, text message, or email, it could be a sign of a scam. Yet, it’s a red flag many people overlook.
According to the Nationwide survey, 19% of people would trust an unexpected caller claiming to be from their bank if they knew the details of recent account activity. In addition, the same proportion of people said they would be likely to call back an unknown number.
Be cautious of unsolicited contact, even if it appears to be from an organisation you recognise. Some scammers use caller ID spoofing to make it appear that they’re contacting you from a genuine business. If in doubt, hang up or halt communications, and use the Financial Conduct Authority’s Financial Services Register to confirm the details and verify the identity of the person you were speaking to.
2. You’re offered guaranteed high investment returns
Most people would welcome the prospect of investing and receiving guaranteed high returns. But if someone suggests this is a possibility, it should be an instant red flag.
It’s impossible to guarantee legitimate investment returns, as numerous factors influence performance. In addition, high returns typically mean taking more investment risk, which may not be appropriate for your circumstances or goals.
A tempting offer like this can be exciting and mean you’re less likely to scrutinise the details. Implementing a break before you go ahead with any opportunity could highlight warning signs you initially overlooked.
3. The person you’re speaking to creates a sense of urgency
Pressuring their victims to act quickly is a tactic scammers use, and it means their victims are less likely to spot holes in their proposition.
So, if the person you’re speaking to claims there’s a limited-time offer or similar, it could be a red flag. There have even been instances of fraudsters sending fake couriers to a victim’s house to obtain the information they need while creating a sense of urgency.
4. The contact uses a lot of jargon
Financial services is filled with confusing acronyms and jargon. However, a professional will take the time to explain opportunities in clear language and answer your questions.
In contrast, a scammer may use complex terminology to confuse you and give the appearance that they understand difficult topics.
5. The opportunity involves unusual assets
Similar to using complicated language, scammers might also propose financial opportunities that are unusual and that you may not be familiar with. Again, this can leave you reliant on their perceived expertise and more likely to take them at their word.
Get in touch if you’re unsure about an opportunity
If you’re unsure whether a financial opportunity is genuine or if you’re talking to a professional, we may be able to help. Sometimes a second opinion could highlight red flags you’ve overlooked.
Please note: This article is for general information only and does not constitute advice. The information is aimed at individuals only.
All information is correct at the time of writing and is subject to change in the future.
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