The federal government announced in November 2022 that it aimed to bring half-a-million immigrants year-on-year, with a goal of nearly 1.5 million by 2025. While there is praise and constructive criticism alike about the scope and implementation, one thing becomes abundantly clear: there is a stable, thriving marketplace for scams targeting newcomers to Canada. As an immigrant myself, I understand that it is a great feat to adjust to the new ways of life and work, but it’s also vital that we inform ourselves so that we don’t lose our hard-earned money. Here are some examples of scams:
- Phishing scams: You click a false link in an email, website, or text message, get redirected to a fraudulent website where you type your credentials in, resulting in identity and financial fraud. These are sent from scammers pretending to represent the Canada Revenue Agency, Service Ontario, Service Canada, Netflix, Amazon, or any other organization. The bait often involves a refund, or a backlogged deposit.
- Immigration scams: Scammers try to scare people by calling or sending text messages stating that they will be arrested, charged with a crime, or that their immigration status is in danger unless they pay a fee—usually by untraceable methods like VISA gift cards or cryptocurrency transfers available at local brick-and-mortar exchanges. Remember, government agencies will never make such accusations or extortions and in the case of any issues, will usually email you and will give you plenty of time to respond. These scams operate by making people panic and by rushing them before they can rationally think.
- Employment scams: Scammers build a fake website similar to the real deal. Or pretend to be representing HR/talent partners and try to get your social insurance number, bank account, and other details. There is one elaborate cheque scam, where they falsely “hire” you, and then ask you to buy office hardware through their “trusted” partner. You get compensated by a cheque from them later, but it bounces when you cash it. They disappear with your money. Be wary of job postings even on reputed job-posting websites: due diligence goes a long way in keeping you safe.
- Ponzi scam, pyramid schemes, and multi-level marketing (MLMs): Whatever the scheme is called, the mode of operation is the same: you are sold a “business opportunity” to make extra income that will help you become independent and your own manager. You will sell a product and earn commissions based on volume and from people that you, in turn, recruit (your “downline”). MLMs use unethical high-pressure sales tactics, false and unrealistic promises of wealth and become predatory in nature: trapping you in debt as you desperately try to offload the cost of the items you purchased. An important point to note is that several MLMs target unemployed people on LinkedIn via direct messages as a means of adding them to their downline. Spending time researching these on the internet can save you a lot of time, money, and grief.
- Real estate scams: Fake listings advertising units for rent that the listers don’t own, or units that may not even exist. Here are some signs that may indicate a rental scam:
- The rental price is significantly lower than other similar properties in the same area.
- The landlord asks for a large sum of money upfront before showing you the property.
- They are unable or unwilling to meet with you in person or show you the property.
- Request or demand personal information such as your Social Insurance Number (SIN) or passport before signing a lease agreement.
- Instruct you to wire money or pay through an untraceable method.
- Claim to be out of the country or unreachable by phone or email.
- The property listing includes poor quality photos or is advertised on websites that are not commonly used for real estate.