Fraud Insights
Insights
Email Modification Fraud is highlighted as a key threat to Client Money
Last year a total of £56.7m was lost through invoice scams - including where criminals targeted consumers whilst posing as their solicitor
Over 80% of all cybercrime reports the SRA received last year involved email
Commentary
While you may disclose client account details, be careful and keep circulation of the details to a minimum... Discourage clients from passing the details on to third parties
Although conveyancing remains a frequent target, due to the large funds involved, criminals are broadening their attacks to other fields as well.
Over 80 percent of all the cybercrime reports we received last year involved email
It may be better to ask when, not if, you will be targeted by online criminals.
Legal practices arguably have a duty to protect their clients – who may have no knowledge of such scams whatsoever.
People trust solicitors to look after their money. Failing to keep their money safe has wider consequences for clients and for the reputation of the profession.
High-value transactions, such as conveyancing, are more likely to be targeted by means such as email modification fraud.
Friday afternoon fraud ... is now the biggest cybercrime afflicting the legal sector.
One common threat is email modification fraud ... If you tell your clients about this and make sure you know each other's real details, then you can help them to protect themselves.
Conveyancing fraud can see people lose their life-savings. We ... want to see firms making sure their clients are aware of the risks.
While you may disclose client account details, be careful and keep circulation of the details to a minimum... Discourage clients from passing the details on to third parties.
With cybercrime and fraud on the increase it is important that practices take all reasonable steps to protect themselves and their clients from possibly devastating consequences.
Advise clients in initial, and ideally all, correspondence that bank details will not be changed, or if they are communication will not be sent by email on this matter.
Cybercrime is now the most prevalent crime in the UK ... law firms are an obvious target. It is the job of firms to take steps to protect themselves and their clients' money. That means training staff and staying vigilant
Most cybercrimes target people rather than systems ... The best defence is to learn, and to train your staff, to ... recognise common scams, such as Friday Afternoon Fraud.
Any firm dealing with client money needs to be aware of email modification fraud, and to have a system to manage this risk.
Invoice fraud could happen to businesses of all sizes. It’s vital that all employees are trained to identify potentially fraudulent transactions...
