After one loveMONEY reader lost £500 Instagram investment scammer, we reveal how these scams work and how to spot a fake investment offer.

 

Instagram users are losing hundreds of thousands of pounds each month to investment scammers, new figures show.

According to Action Fraud, 164 Instagram users lost £358,809 to investment scams as fraudsters in June 2020 alone. That’s an average loss to victims of around £2,200

These fraudsters often contact people about opportunities to make eye-watering returns in a few days for a small initial investment.

Usually, this investment is a few hundred pounds (and the fraudster claims to take a small commission), making it attractive for those new to investing as the upfront cost is small.

Once the money is sent (by bank…

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