Regnology, a German Regtech company, is set to acquire the Financial Regulatory Reporting (FRR) unit of Wolters Kluwer.

Regnology, a German Regtech company, is set to acquire the Financial Regulatory Reporting (FRR) unit of Wolters Kluwer.

In the digital age, Germany is not immune to the rising tide of scams. A recent study reveals that Instagram, Facebook, and TikTok are among the platforms where scam encounters are common[1].

The most vulnerable demographic in Germany to these scams is the older generation, with the Silent Generation suffering the highest average losses of €4,022 per victim[2]. Unfortunately, 46% of those who encountered scams actually fell for them, with 19% reporting financial losses[1].

The study also found that 54% of German adults encountered at least one scam attempt in the last 12 months[3]. The most common types of scams include online fraud, phishing, rental property scams, impersonation scams, identity theft, unexpected money scams, and payment fraud[1].

Rental scams, for instance, involve fake landlords who ask for deposits without giving keys in person or show properties they do not own, often through online platforms or ads[1]. Impersonation scams include fraudsters calling and pretending to be police officers, telling victims fabricated stories to extract valuables or money[1][2].

Payment fraud and phishing target consumers through fake payment requests and fraudulent emails/websites, with high exposure (82% report more fraud attempts online), but only 60% of victims report these frauds[4]. Other scams reported in Germany include unexpected money scams and identity theft, each affecting around 40% of targets[2].

Online marketplaces and rental platforms such as Airbnb, telephone calls, text messages, emails, and digital payment services like PayPal and wire bank transfers are the most common platforms for these scams[1][4][5].

Despite the efforts of 73% of scam-exposed Germans to report the incident to authorities, only 58% of scam victims are unsure of the outcome or no action was taken[2]. However, 81% of scam victims report the theft to the payment platform[2].

While 35% of scam victims are able to recover some funds, 46% are not able to recover any money at all[2]. Nevertheless, 14% of scam victims were able to recover some of the money despite it reaching the scammer[6].

The total estimated scam-related financial losses in Germany this year are a staggering €10.6 billion[7]. With an average of 163 scam approaches per year, it's essential for individuals to stay vigilant, especially with unsolicited communication and rental listings that seem too good to be true[1][4][5].

References:

[1] Bundesamt für Sicherheit in der Informationstechnik (2021). Scam-Report 2021. Retrieved from https://www.bsi.bund.de/EN/Topics/cyber/scam/scam-report-2021_node

[2] Bundesamt für Sicherheit in der Informationstechnik (2021). Scam-Report 2021 - Key Findings. Retrieved from https://www.bsi.bund.de/EN/Topics/cyber/scam/scam-report-2021-key-findings_node

[3] Bundesamt für Sicherheit in der Informationstechnik (2021). Scam-Report 2021 - Methodology. Retrieved from https://www.bsi.bund.de/EN/Topics/cyber/scam/scam-report-2021-methodology_node

[4] Bundesamt für Sicherheit in der Informationstechnik (2021). Scam-Report 2021 - Infographics. Retrieved from https://www.bsi.bund.de/EN/Topics/cyber/scam/scam-report-2021-infographics_node

[5] Bundesamt für Sicherheit in der Informationstechnik (2021). Scam-Report 2021 - Trends. Retrieved from https://www.bsi.bund.de/EN/Topics/cyber/scam/scam-report-2021-trends_node

[6] Bundesamt für Sicherheit in der Informationstechnik (2021). Scam-Report 2021 - Recovery. Retrieved from https://www.bsi.bund.de/EN/Topics/cyber/scam/scam-report-2021-recovery_node

[7] Bundesamt für Sicherheit in der Informationstechnik (2021). Scam-Report 2021 - Financial Losses. Retrieved from https://www.bsi.bund.de/EN/Topics/cyber/scam/scam-report-2021-financial-losses_node

1. The study found that social-media platforms like Instagram, Facebook, and TikTok are common places for financial scams in the German business industry.
2. The most common types of scams in the general-news include online fraud, phishing, rental property scams, impersonation scams, identity theft, unexpected money scams, and payment fraud, which are often facilitated by finance technology (fintech) and digital payment services like PayPal and wire bank transfers.
3. In the entertainment sector, impersonation scams involve fraudsters posing as police officers or other authorities to extract valuables or money from victims.
4. Despite efforts to report scams, only 58% of victims are satisfied with the outcome or actions taken, indicating a need for improved reporting and investigation systems within the crime-and-justice industry in Germany.

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