What are the chances that you or someone in your family will fall victim to fraud? If you ask a cybersecurity expert, they’ll likely give you a grim reply: It’s not if, but when.
Today’s fraudsters use ever-more-sophisticated tools and tactics, including highly convincing AI-powered fakes, to rob victims of their savings. Canadians lost more than $700 million to fraud in 2025, according to the Canadian Anti-Fraud Centre (CAFC). Only a small percentage of fraud incidents are ever reported – as few as 5% to 10% – so the actual losses are likely much higher.
To protect your family’s wealth from fraud and scams, it pays to be proactive. Here are a few fraud prevention tips from the cybersecurity experts in BMO’s Financial Crimes Unit.
- Check your credit report regularly. Your credit report shows your credit-related activity, such as payment history and credit checks from lenders. You can view your credit report at no charge through Canada’s credit bureaus, Equifax and TransUnion. It’s a good idea to check at least once a year. If you see unfamiliar activity such as credit inquiries or loan applications, immediately request a fraud alert on your profile and report the incident to the police, your financial institutions and the CAFC.
- Use multi-factor authentication (MFA). This verification method adds a layer of security for online accounts. In addition to asking you for a password or personal identification number (PIN), MFA confirms it’s really you logging in by sending you a text message or an email with a code or a link. Some MFA systems may also use a biometric characteristic such as your face or fingerprint. MFA is also called two-step authentication (2FA) or two-step verification.
- Understand tactics like spoofing. To trick you into answering a call or responding to a text, scammers can easily imitate the names and phone numbers of people in your contacts. If you’re unsure about the person’s identity, don’t respond. Contact the person directly using information in your contacts.
- Use a code word. Is that really your grandson or boss on the phone? Fraudsters use AI tools to create highly convincing videos and audio and pressure their targets into sending money or revealing confidential information. To protect your family and your business, choose a secret code word or phrase you can ask for when faced with a suspicious situation.
- Educate your family. Scammers often target the young and the old because they are the most vulnerable. Talk to everyone in your family about scams and fraud, and encourage ongoing discussion and transparency. If someone has already fallen victim to a scam, they may feel embarrassment or shame – try to listen without judgment. Then work together to come up with a family code word and practice prevention tips.
- Google yourself and your family. You might be surprised to see your phone number, home address or birthday in the search results. Contact website administrators to request removal. Consider making your social media accounts private, and avoid posting more personal information. Google also has a data-erasing tool, “Results about you,” to remove details you’d rather keep private.
- Avoid public Wi-Fi. Using an unsecured Wi-Fi network is free and convenient, but it also makes you vulnerable to hackers and malware that target your personal information and account login credentials. Watch out for “evil twin” networks that imitate legitimate Wi-Fi hotspots (such as hotel or airport Wi-Fi). Whenever possible, use your own data plan.
- Use biometrics to improve security. Some devices use your face, retina or fingerprint to verify your identity. Biometric systems aren’t fool-proof – fraudsters could steal your likeness from a photo on social media, for example – but they can improve security when used as part of multi-factor authentication, along with a password or other type of verification.
- Know whom to call if you’ve been hacked/scammed. Make a list of contact information for your bank and other financial institutions, the police, Canada’s two credit bureaus, and the Canadian Anti-Fraud Centre.
- When shopping online, use your credit card. If you buy something online and then realize you’ve been scammed, you can call the number on the back of the card right away. Credit cards have a 24-hour delay, but other payment methods, such as debit cards and e-transfers, are instant and can’t be stopped. Your credit card provider may also have a zero liability policy for unauthorized transactions, meaning that you won’t be held responsible if a fraudster goes on a spending spree. Review your bills carefully – if you see an unfamiliar charge, report it to the card issuer right away.
- Cover your device cameras. Many people, including kids, have been victimized by hackers accessing the cameras in their laptops, tablets, TVs, etc., and making unauthorized videos. To protect your privacy, cover device cameras when you’re not using them.
- Don’t share your home Wi-Fi. When you invite people to your home, one of the first things they might do is ask for your Wi-Fi password. For safety, create a separate guest network on your home Wi-Fi. If you haven’t changed the factory-set password on your Wi-Fi router, do it now, and stay on top of software updates.
For more tips, articles and resources for preventing fraud and cyber threats, visit bmo.com/security.
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