Expert Tips for Avoiding Scams

Tips for Avoiding Scams

 A Dubai-based legal and financial expert shares insights on recovering funds from online scams and offers tips to prevent becoming a victim.

In a recent incident, Barney Almazar, director at Gulf Law in the UAE, found himself a victim of a fraudulent transaction. However, he was able to swiftly recover the funds, totaling Dh8,400, and now helps clients recover even larger amounts, up to Dh100,000. Almazar emphasizes the shared responsibility between cardholders and card issuers in preventing fraudulent transactions.

Almazar's case serves as an example of the importance of timely communication with banks regarding suspicious activities. Upon noticing the unauthorized transaction on his credit card, he immediately reported it to the bank, leading to a prompt reversal of the fraudulent purchase. However, he notes that for many victims, the process of reversing fraudulent transactions can be daunting, especially when banks attribute liability to the cardholder.

To address this issue, Almazar advocates for banks to implement advanced fraud detection systems and multi-factor authentication for online transactions. He emphasizes the importance of timely notification to banks in reversing fraudulent transactions and highlights the case of one of his clients, Marie (name changed), who successfully disputed fraudulent transactions amounting to Dh94,570.

Almazar and Marie based their dispute on several grounds, including timely notification, absence of consent, secured usage, inconsistencies in transaction details, and willingness to cooperate with the bank's investigation. Despite the initial offer of a partial refund from the bank, Almazar advises clients not to accept it if they are not entirely liable for the fraudulent transactions.

In addition to assisting clients in recovering funds, Almazar provides tips to protect bank customers from online scams. These include limiting exposure by using cards with low limits for online transactions, promptly notifying banks of suspicious activities, preserving transaction notifications, and documenting transaction disputes. He also advises withholding payments until fraudulent transactions are investigated and encourages obtaining a police report to support claims of fraudulent activity.

Overall, Almazar stresses the importance of proactive measures to prevent falling victim to online scams and emphasizes the role of banks in safeguarding their customers' financial security. He encourages individuals to escalate unresolved issues to the central bank if necessary, ensuring a satisfactory resolution to fraudulent transactions.