What is the difference between fraud and a scam?

Although the terms are often used interchangeably, fraud and scams are slightly different.

Fraud

Fraud usually involves unauthorised activity, where a criminal acts without the victim’s knowledge or consent. Examples include:

  • Someone accessing your account without permission

  • Stolen card details being used for payments

In these cases, the victim has not knowingly approved the transaction.


Scam

A scam involves deception, where the victim is manipulated into authorising a payment or sharing sensitive information themselves. Examples include:

  • Being persuaded to transfer money to a “safe” account

  • Paying a fake supplier invoice

  • Sharing one-time passcodes with someone pretending to be from your bank

Because the payment or action was authorised, scams can be harder to resolve.


Why the distinction matters

The difference affects:

  • How incidents are investigated

  • Whether funds can be recovered

  • What protections may apply

 

Regardless of the type, suspicious activity should always be reported as soon as possible.

If you feel you are at risk of fraud/scam or have been a victim, please contact us on 0800 917 9206 or by email at support@myzeller.com

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