The most common travel scams – and how to avoid them

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The first time I ever travelled solo, I thought I was pretty switched on. At the bright young age of 21, I headed off to do the classic Europe trip, taking pains to be meticulous about where I kept my passport, how I locked my bags and the location of my debit card (and my backup debit card, of course).

Nevertheless, it took me a good five minutes of talking to the apparently well-meaning petitioners near Berlin’s Brandenburg Gate before I realised I was in the middle of getting scammed.

Beware: Fraud in popular tourist destinations spikes during peak seasons.Credit: Michael Howard

This was reinforced by their insistence on needing €20 to “affirm” my signature, which finally set off alarm bells in my brain (which, to be fair, was slightly addled by one too many Radlers the night before).

What’s the problem?

But whether you’re slumming it in hostels or living lavishly, travel fraud can befall any of us. And according to a recent report from payments giant Mastercard, it’s something that’s becoming increasingly common, with fraud in popular tourist destinations spiking by up to 28 per cent during peak seasons.

These aren’t necessarily large-scale operations scamming thousands of dollars from tourists – you’re more likely to be stung for an additional $50-100 rather than having your bank account drained. But even a lost €20 is enough to put a dampener on your experience.

What you can do about it

If you’ve got an overseas sojourn coming up, here’s how you can prepare and stop yourself from being scammed:

• Know the risks: The easiest way not to get scammed is to know the scams to look out for and avoid them. This is overly simplistic, and a bit unrealistic given how quickly scammers adapt and evolve, but having at least a general idea of what to spot can help. Mallika Sathi, VP of Australasian security solutions at Mastercard, says some of the most common scams are inflated charges in restaurants and taxis, fake tour companies and fraudulent property listings. These can be avoided by using local ride-share companies and booking your travel and accommodation through reputable online sites that, preferably, you’ve used before. But beware – sometimes scammers will set up sites that appear to be legitimate but aren’t, so be sure to double-check. “Scams are always evolving – often appearing in the form of legitimate offers or services, making them harder to spot,” Sathi says. You can check out SmartTraveller’s list of common scams here.

• Lay off the free Wi-Fi: Airport and coffee-shop Wi-Fi can be a lifesaver for cost-cutting travellers, but it can also be a convenient way for hackers to steal your information. Known as man-in-the-middle attacks, cybercriminals can create fake free Wi-Fi networks or hack into existing ones, stealing your information such as passwords and bank login details. To prevent this, Angus Kidman, travel expert at Finder, says travellers should use secure Wi-Fi connections when accessing sensitive information and even consider using a virtual private network (VPN). You’re also likely to be handing out your email pretty often on holiday, which can lead to a rise in phishing attacks, Kidman warns. “Unsolicited emails or messages offering exclusive travel deals can be phishing attempts. Avoid clicking on suspicious links and never provide personal or financial information in response to an email,” he says.

• Act quickly: If you do find yourself a victim of fraud while travelling, Sathi’s advice is to follow the “three Cs” approach, and do so as soon as possible. “Cancel or lock your card using your banking app. Call your bank to report the issue so they can investigate and monitor for suspicious activity,” she says. “Carry an emergency card as a backup so you still have access to funds while your other card is out of action.” Sathi also recommends using digital wallets rather than physical cards where possible, as they are often protected by your own face or fingerprint ID, and are therefore more secure.
• Check your insurance: Finally, the last line of defence if you do get scammed is probably your travel insurance, which can save you a lot of heartbreak if you get the right policy, Kidman says. “Some policies exclude lost or stolen cards and associated fraud, so it’s essential to read the fine print,” he says. “Travel insurance won’t protect you from being scammed, but it can help you get compensated if things go badly wrong, and you’re injured or property is stolen.”

Advice given in this article is general in nature and is not intended to influence readers’ decisions about investing or financial products. They should always seek their own professional advice that takes into account their own personal circumstances before making any financial decisions.