Property Scam

Property Scam

Any tenants or home owners are vulnerable to a property scam, no matter where they are. You need to be very careful and verify every bit of information from your property manager, otherwise you might fall for it.

Description of the Property Scam

The modus operandi of this scam is that you will receive a communication in the format of an email, fax or even conventional mail envelope containing a letter on the company where you hire of purchased your property from. The letterhead informs you that the bank account number for your tenant rental/levy payments has changed and that in future the account number detailed in the letter should be used for payments.

This letter might be accompanied by a letter from a bank (on a bank letterhead with a bank stamp), an image of a canceled check and in some instance even a legitimate invoice depicting the amount the client owes (the invoices are usually intercepted in the postal services).

Action to Take

It is recommended that all tenants implement a process/procedure which should be followed before banking details are changed. This process should include telephonic contact with preferably the relevant property manager.

Verification should not be made using the document/letter which has been received requesting the change, which may contain false contact information.

Please note that you can contact the bank of the property management group in order to verify their accounts or to check if the account number you received is legitimate. You could also contact the relevant property manager for verification as well.