How to Tell If a Phone Call Is a Scam — Warning Signs and What to Do
Phone scams cost billions every year. Learn the definitive warning signs that a call is fraudulent, common scammer tactics, and exactly what to do when you receive a suspicious call.
Phone scams have become one of the most financially devastating forms of fraud worldwide. Unlike email phishing, a live voice call creates immediate psychological pressure that makes victims far more likely to comply before they have time to think. In 2024, phone scams accounted for billions in losses globally — and the tactics are becoming more sophisticated every year.
This guide gives you the definitive warning signs and the exact steps to take when you receive a suspicious call.
The most common types of phone scams
Understanding what scammers are trying to achieve helps you recognise their tactics faster.
Government impersonation — The caller claims to be from the tax authority (HMRC, IRS, ATO, IRAS), immigration, or police. They say you owe money, have an outstanding warrant, or your identity has been compromised, and demand immediate payment or personal information.
Bank fraud calls — The caller claims to be from your bank's fraud department, says suspicious activity has been detected on your account, and asks you to confirm your details or transfer funds to a "safe account." Your real bank will never ask you to transfer money to protect it.
Tech support scams — You receive a call claiming to be from Microsoft, Apple, or your internet provider saying your computer has been compromised. They ask for remote access to your device or payment to fix the (non-existent) problem.
Lottery and prize scams — You've won a prize, but you need to pay taxes or a fee to release it. No legitimate lottery contacts winners by cold call and asks for upfront payment.
Utility cutoff threats — Your electricity, water, or phone will be disconnected in one hour unless you pay immediately via gift card or wire transfer.
Warning signs a call is fraudulent
Recognising these signals in real time is what prevents you from falling victim.
Urgency and pressure — Legitimate organisations give you time to think, verify, and seek advice. Scammers deliberately create artificial urgency: "You must pay now or you'll be arrested." "Your account will be closed in one hour." Real deadlines from real organisations come in writing, not via phone calls demanding immediate action.
Caller ID spoofing — Never trust the number displayed on your screen. Scammers use freely available software to make calls appear to come from your bank, the police, or even a number you already have saved. A call appearing to come from your bank's official number can be completely fake.
Requests for gift cards — No government agency, utility company, or legitimate business accepts gift cards as payment. If someone asks you to pay using iTunes, Google Play, Amazon, or Steam gift cards, you are being scammed. This is the single most reliable indicator of fraud.
Requests to transfer money to a "safe account" — Your real bank will never ask you to move money to protect it. This is the hallmark of an "authorised push payment" scam, where victims are manipulated into willingly transferring funds.
FAQ
Be cautious. Scammers use one-ring tricks to get you to call back premium-rate numbers. Search the number online before calling back.
Yes. This is called caller ID spoofing. A call appearing to come from your bank, a government agency, or even a family member's number can be completely fake.
Call your bank immediately using the number on the back of your card. Ask them to freeze your account and reverse any unauthorised transactions. Act within minutes if possible.
Avoid saying yes to unknown callers. Scammers record the word 'yes' and use it to authorise fraudulent charges or contracts in your name.