Advance Payment Fraud | Scam Fraud

Based on continuously compiled crime statistics, it is easy to see that there are no limits to creativity when it comes to new forms of fraud: alongside all the well-known types of fraud, which consistently make up a large portion of annual statistics—most recently in 2014 just under one million cases (968,886) in Germany—new fraud schemes are constantly emerging, often driven by the internet, to unlawfully obtain money or goods from unsuspecting or poorly informed individuals or to withhold such items from them. One such scheme that Aaden Economic Detective Agency Berlin has encountered with alarming regularity in recent months is advance payment fraud, particularly in used car purchases. Buyers are lured with an apparently unbeatable online offer—often justified by alleged personal reasons (death in the family, separation, etc.)—for a low-mileage, well-maintained, and surprisingly inexpensive vehicle, which quickly turns out to be a fraudulent trap.

The buyer is sometimes, but not always, invited to view the vehicle and take a test drive, after which they are asked to make a deposit—rarely less than €500 and sometimes even five-figure amounts—in cash or by check to reserve the vehicle and provide security for the seller. So far, this appears normal and legal—although a bank transfer would offer more security for the buyer; however, in cases of advance payment fraud, the transaction ends before it is actually completed: after the deposit is made, contact with the seller suddenly ceases, all inquiries go unanswered, and the deposit is irretrievably lost. The private and economic detectives of Aaden Detective Agency Berlin also encounter advance payment fraud cases on a smaller scale involving less valuable goods such as electronic items—the result, namely the loss of the deposit without any consideration, can of course be equally painful for the individual in these transactions.

Seller Disappeared, Money Gone – Economic Detectives Know What to Do

Once the money has been paid, the options available to private individuals are unfortunately quite limited. Criminal complaints often come to nothing when false names and addresses are used by sellers, and the police can do little beyond filing a report against unknown persons, which usually offers little prospect of success. Detective agencies such as Aaden Economic Detective Agency Berlin, on the other hand, can intervene where the police are constrained by the sheer number of cases. From surveillance of the alleged residential or sales addresses, to vehicle license plate checks and owner identification, to research into possible bank accounts (in the case of a transferred deposit), our economic and private detectives from Berlin have numerous methods at their disposal to identify the fraudster and bring them to justice: info@aaden-detektive-berlin.de.

Even before a purchase, the detectives of Aaden Economic Detective Agency Berlin are often engaged to support skeptical buyers in dealing with suspicious, unreliable, or untrustworthy listings or sellers: the individuals in question can be observed and investigated, whether regarding their true identity, possible prior convictions, suspiciously high numbers of simultaneously posted listings with unusually attractive offers, or entries in commercial and trade registers.

Advance Payment Fraud Involving Fake Financial Institutions Exposed by Economic Detectives

A (still) relatively uncommon but highly damaging method used by advance payment fraudsters relates to the credit sector, which continues to be affected by the global financial crisis. Highly indebted individuals who are denied loans by reputable banks are particularly susceptible to these fraudulent pseudo-credit institutions: such entities lure victims with low interest rates and a “mere” 30 percent deposit of the loan amount as a form of security and amortization payment, as also described by the Austrian magazine “Mein Bezirk.” Once the hard-earned money—often painstakingly gathered in cases of debt—has been paid, the “customer” waits in vain for the promised loan. The security deposit is likewise irretrievably lost to the fraudsters.

A similar approach is found in widely reported prize notification scams, where individuals receive letters claiming they have won a cruise, a luxury vehicle, large sums of money, or similarly valuable prizes—without ever having entered a competition. To receive the prize, a partial payment is often required as “security,” or a prize tax must be paid in the country of origin (often Turkey, Balkan states, or the Near East). Hopeful individuals are enticed by the prospect of an extraordinary prize and persuaded—sometimes repeatedly—to transfer money abroad, with no chance of recovering the deposit or receiving the “prize.” The Aaden Detectives Berlin intervene where individuals have suffered unjust losses. We investigate the organizers of such schemes and do everything possible to identify them and recover the deposited funds.

I Have Become a Victim of Fraud – What Can I Do Now?

Our economic detectives from Berlin consistently advise clients to approach apparent bargains and unearned “winnings” with healthy skepticism, as it should be clear that hardly anyone gives something away without benefiting from it—especially not in the business world. However, if fraud has already occurred and money has been paid to a car seller, a financial institution, a prize organization, or other fraudsters, Aaden Detective Agency Berlin steps in to help victims recover their money, hold the perpetrators accountable, and bring them to justice. Contact the staff of Aaden Economic Detective Agency Berlin regarding your case to receive advice on further steps and possible investigative measures: +49 30 2016 9221-0.