Connect with us

China Digital

Top 8 Scams in China to Watch Out for (2018)

From oldskool scams to WeChat scams – people are still falling for this every single day.

Gabi Verberg

Published

on

As times change, so do scams. In an age of smartphones and social media, Chinese scammers are more prone to abandon old tricks and use new technology for their swindling business. But in a time of more digital scams, there are also still scammers who use people’s inexperience and desperation to earn money by simply fooling them on the streets. Here’s a top 8 of 2018 [check out top 10 China scams in 2015 here].

With the rapidly increasing number of online transactions in China, the persisting problem of counterfeit money scams in China may now be less of a problem than it was before. But other scams are on the rise.

Although people are now less vulnerable to scams involving cash money, services as WeChat wallet and Alipay are also not without peril. Over the years, scammers have developed numerous ways to cheat people and steal money from WeChat or Alipay wallets.

From infecting smartphones with viruses, to letting people “voluntarily” hand over their personal information, scammers have found ways to trick people from all ages and all layers of society.

As a follow-up to an earlier top 10 we did on scams in China, What’s on Weibo has compiled a list of 8 scams that are recently trending on social media or in the Chinese newspapers.

 

#1 WeChat Scams: Hacking Accounts

 

With over 800 million users of WeChat Pay in China, WeChat users are a lucrative target for scammers. In recent years, there have been various cases of WeChat scams, in which hackers of private accounts pretend to be a friend or family member, and convince others to send them money.

Last summer, the news went viral of Chinese parents becoming a victim of scammers pretending to be their children.

Image via http://www.sohu.com/a/201988031_689129

These hackers, using the children’s accounts, told ‘their parents’ that they had to attend a special course or lecture, often held by professors from renowned universities such as Tsinghua or Beijing University. Once the scammer convinced the parent to pay for the extra curriculum activity, the scammers send the contact information of the “teachers” in charge of the event.

Once the parents added the “teachers'” to WeChat and transferred the money, the scammers continued to get parents to pay for all sorts of things such as service fees, registration fees, supply fees, etc.

In other more extreme examples, parents were asked to follow a link to complete the payment. The link installed a virus onto the parent’s phone, allowing the scammer to have full access to the victim’s WeChat wallet.

 

#2 Voice Scams: Imitation Champions

 

Another rising problem that China and many other countries are currently facing is the issue of so-called ‘voice scams.’ Often done through WeChat, scammers collect a person’s voice messages and then pretend to be this person by imitating his or her voice.

The scammers will then make a fake WeChat account that is an exact copy of the one they are imitating. They will contact family members and friends of the person they are imitating, and ask to borrow money. Because the voices sound so much alike, they often win the trust of people and get them to send the money.

Image via http://www.sohu.com/a/201988031_689129

In one extreme case, a young man’s voice was imitated so well that scammers were able to convince the man’s mother that her son was abducted. In a complete panic, the mother transferred the demanded ransom.

In all cases, the police advise people to always confirm face-to-face with the other person before sending money. Additionally, they also warn people should be on their guard sharing voice messages or any other form of personal information with strangers.

 

#3 Delivery Scams: Too Many Packages

 

As easy and convenient online shopping might seem, it is not without danger. Just as with WeChat scams, there are many ways in which scammers will try to find weak points within the system.

One of the issues that makes people more vulnerable to scams within the world of online shopping is that many people order so many products online, that they are more likely to believe that a package is theirs – even if they have never actually ordered it.

The most common online shopping scam involves “cash on delivery,” where the courier asks people to pay upon delivery. Once opening the packaging, people discover their package is actually empty.

In another version, scammers will first call the victim pretending to be their neighbor. They will ask them to do them a favor and accept a package, since they are not able to be home on time to accept it themselves. This way, people are even more likely to accept the package.

In yet another scam, often referred to as the “compensation scam,” scammers call customers and pretend to be employees of a delivery company. On the phone, they will tell that one of their carriers accidentally lost or damaged the ordered product and that they want to compensate for the loss. The only thing the victim has to do is to fill out an online “compensation form” for which personal information and bank information is required. With this information, the scammers can easily break into their victim’s bank account.

In some cases, scammers ask customers to add a WeChat account so they can be compensated for their ‘loss’. In the final step, they will require them to scan a QR-code, or click a link, and to transfer a small ‘service’ fee. Once they have transferred the fee, a virus will be installed on their phone, allowing the scammers to access their WeChat wallet.

Delivery companies advise their customers not to accept any package if they are not sure they have actually ordered it. With cash delivery packages, customers are advised to always check the package before sending the courier away.

About lost or damaged packages: delivery companies will never ask you to fill out a compensation form or share any personal or bank information. In case the delivery company loses or damages your order, the company you bought it from will then inform you and transfer the money back to your bank account.

 

#4 Catching Red Envelopes

 

Snatching ‘red envelopes’, qiǎng hóngbāo (抢红包) in Chinese, originated from China’s long-standing tradition of giving red envelopes to children to celebrate the Chinese New Year.

However, as the tradition of giving red envelopes is transforming from offline to online, the new phenomenon of ‘snatching red envelopes’ has also become more ubiquitous.

Through WeChat, people can send red envelopes to a group of friends: the (few) people who are first in opening that envelope will then receive an amount of money. Companies often use this feature as a marketing tool.

Scammers also make use of this red envelope craze. The ‘red envelop scam’ starts with a message via one of one’s WeChat contacts, reading something like: “I just discovered a group and the host of the group is going crazy! He keeps sending red envelopes! Add yourself to the group and snatch some envelopes.” This message will often be followed by a message telling you that you will be rewarded money when you add more people to the group.

Image via http://www.tanmizhi.com/html/4445.html

Within a few minutes, the group chat has added hundreds of people. As members increase, the group owner will encourage people to add more people to the group by keeping on sending red envelopes. In the meantime, the group owner will send out a message saying that the ones who already opened an envelope are registered. In case they do not add ten people to the group within 30 minutes they will be kicked out. As for those who add 20 people to the group within half an hour, they will be rewarded even more money.

This way, people will keep adding contacts to the group. And because it is not allowed to talk in the group, people are also not able to warn each other of its potential dangers, because, at this point, the red envelopes will actually change into QR codes – the group owner will post a message saying that his transactions surpassed the transactions limit of the day and that if people want to continue receiving money, they will have to scan the QR-code and pay the symbolic amount of one yuan ($0.14). If they do so, they are promised to be rewarded with a high amount of money.

Once these people pay the one yuan, they have been scammed: through the QR code, the scammers have installed a virus into their WeChat, allowing them to empty their WeChat wallet. There are many versions to this kind of “red envelope” and “free money” scams. To avoid being scammed, it is best to remember that there is no such thing as getting money for nothing – there’s always a price to be paid.

 

#5 Winning Lottery-Ticket Scam

 

For the “winning lottery ticket scam,” scammers play with people’s minds. And no matter how simple this trick may seem, it is a worldwide phenomenon.

The scam starts with the victim finding a lottery ticket that has intentionally been placed somewhere. Since the owner of the lottery ticket is nowhere to be found, most people finding the ticket then call the number registered on the ticket to find out whether or not the ticket won a price. And, of course, they are told that the found ticket is indeed a ‘prize-winning’ ticket.

Because people, at this point, are so excited about their unexpected ‘luck’, they often no longer keep their mind straight. The scammer on the phone will inform the lucky finder that they only need to pay a handling fee before they can receive their prize money.

In some cases, the scammers even convince the victim to pay an income tax before receiving the prize money. Once the lucky winner paid the handling fee or income tax [via WeChat or Alipay], the connection will be cut off, and of course, the victim will never get the prize.

 

#6 Found Wallet Scam

 

You are walking outside, and suddenly you find a wallet on the streets – the owner is already out of sight. As you stand still with the wallet in your hand, a stranger comes up to you accusing you of stealing money from that found wallet.

It is a scam that frequently occurs in China, and it is easy to imagine that someone who just found a wallet might feel awkward about the situation, especially when accused of trying to steal the money inside of the wallet.

While explaining that they did not intend on trying to steal money, the stranger will intimidate the finder to give him some of the cash inside to settle the matter. Many people will do so in order to avoid a public scene.

But that is not the end of the scam, as the ‘owner’ of the wallet will then suddenly pop up, asking for his wallet, and discovering that some money inside is missing. The ‘finder’ will then compensate for that loss to get themselves out of the humiliating situation.

Obviously, the two men – the ‘bad guy’ demanding the money and the person who lost the wallet – work together in setting people up like this. Police advise people who find a wallet to turn it in at the closest police station.

Netease has reconstructed the scam on a video here.

 

#7 Fake Job Scam

 

One of the most common scams in China nowadays is the so-called “fake job scam.” Scammers will place fake job ads, and meet responders outside a company office for their ‘job interview.’

In most cases, the applicant is ‘hired’ immediately after the job interview. But before they can get to work, they first have to pass a medical test at a designated ‘research center.’ The victim is then told that he has to pay for the transportation and medical fees, and that the money will be reimbursed at the end of the first working month.

In many cases, victims also pay for service costs and forward a deposit for cards that allow them into the office, etc. When all these fees are paid, the ‘company’ can no longer be contacted and is suddenly untraceable.

To avoid people from getting tricked into these fake job scams, police advise to only reply to job ads with a registered phone number and official company address.

 

#8 Trap Loans: A Mountain of Loans

 

The problem of ‘trap loans’ has received much media attention in China over recent years. Earlier this year the story of one woman went viral; she borrowed 2,000 yuan ($292) and ended up with a 150,000 yuan ($21.872) debt two months later.

She is just of among many victims of China’s “trap loans.” In various other cases reported by the media, people end up in such huge debts and depression, that they take their own lives.

Scammers specifically target people who are temporarily short of cash. It often starts with an individual lender offering a quick loan, only for a few days, in the name of a small loaning company (小额贷款公司). Once the person tells the loaning company they need credit, a lender will come up with a contract that has blank spaces in them. The contract is often so long and complicated that people don’t read it through carefully enough.

When the contract is signed, the loaning company will insert extra information into the blank spaces of the signed contract. They will, for example, change the time you are allowed to borrow money, the interest rate, or the name of the lender.

In the next phase, the loaning company will purposely make the borrower breach the contract by, for example, temporarily being out of service or unreachable, so that the borrower is not able to pay off his debts as recorded in the agreement. They will then face the sum of accumulated interest on the borrowed money, and fines for overdue payments.

Around this time, the lender will introduce the borrowers to another loaning company where they can take out more loans to pay off the debts of the first contract. This can go on for many years and many contracts. The borrower will not be able to repay the entire sum of borrowed money, so keeps on paying huge interest rates and fines for overdue payments.

There have been reports of trap loans in various forms such as campus loans, where students are tricked into ‘easy money loans’ by on-campus advertisements; or naked loans, where scammers demand people to send a (partly) nude picture of themselves holding their ID as collateral. Often this photo will later be used to blackmail a person.

Want to read more? Also check out our previous ‘Top 10 Scams to Watch Out For in China‘.

By Gabi Verberg

Spotted a mistake or want to add something? Please let us know in comments below or email us.

©2018 Whatsonweibo. All rights reserved. Do not reproduce our content without permission – you can contact us at info@whatsonweibo.com

Gabi Verberg is a Business graduate from the University of Amsterdam who has worked and studied in Shanghai and Beijing. She now lives in Amsterdam and works as a part-time translator, with a particular interest in Chinese modern culture and politics.

Advertisement
1 Comment

1 Comment

  1. Avatar

    David

    June 4, 2019 at 7:21 pm

    Thanks for sharing Gabi! was a very interesting read to see how the scams have been evolving haha. Perhaps to share one shared by the community at https://travelscams.org/asia/china/ a new one that is reported is the QR code scam. In essence it is similar to the “catching red envelopes” scam but done differently.

    For this version, criminals paste their own QR code over the original ones by merchants (shops, bicycle sharing, etc). It is pretty much impossible to detect with the naked eye and in Guangdong alone, an estimated US$13 million was lost this way.

Leave a Reply

Your email address will not be published. Required fields are marked *

China Digital

TikTok’s In-Video Search Function (And How to Activate It)

TikTok shows a glimpse of what in-video search is going to look like in the future.

Manya Koetse

Published

on

What is TikTok’s new in-video search function and how to activate it?

Twitter’s most awesome WeChat guru Matthew Brennan recently posted about an “in-video search function” launched in the Chinese social video app TikTok (抖音). (Click here to read about the difference between the Chinese and overseas version of TikTok).

As shown in a video posted by Brennan, the function allows TikTok users to select the face or clothes of a person appearing in a short video to search for other videos or images containing the same person or clothes.

The ‘vision search’ is a powerful new function within the super popular app.

The idea is that it becomes easier than ever for Tiktok users to find (and buy!) a piece of clothing, that perfect handbag, or even a snack featured in a video.

It also helps users to quickly find other videos in which an online celebrity appears. The function ultimately is an additional feature that keeps users scrolling and shopping within the app – increasing app traffic – as long as possible.

On September 16, Chinese media reported about the function as a “powerful” new tool that greatly strengthens the functionality of the popular short video app.

The function might not immediately seem completely new to Chinese app users; like Google Image Search, Baidu and Taobao also have similar functions (百度识图, 淘宝识图).

On e-commerce platform Taobao, for example, you can take a photo of an item you want (e.g. a certain snack as in example below) and Taobao will try to find the exact same product and list the online stores where you can buy it.

But TikTok’s in-video search function is on a whole new level; it does not require users to scan or upload a photo at all. It gives an indication of what visual search will be like in the future.

Whatever video comes by in your TikTok stream, you only need to click the “search” function (识图), select the part of the video you want to search for (you can drag the square from area to area), and TikTok will find the product or face you’re looking for – as long as there are comparable products/faces (it does so very fast).

Very much like Taobao, TikTok will recommend various (in-app) online stores where the product can be purchased.

Want to try out the function? For now, it only works in the Chinese version of the app and is still in the ‘testing phase’ and does not work with all videos.

Make sure you have an updated version of TikTok.

1. Go to “me” (我) page within TikTok
2. Tick the three lines in the top right corner
3. Go to the last option in the sidebar menu titled “lab” (实验室)
4. Activate the function (image below).

So now if you spot a dress you like and would like to buy, press the ‘search’ button on the right of a video, select the dress, and TikTok becomes like your personal shopping assistant looking for similar dresses for you.

Tiktok makes shopping supereasy.

This really makes online shopping more addictive than ever, and also makes it more difficult for people in online videos to hide where they bought their clothing, or what other videos they are in.

Read more about Tiktok here.
Read more about Chinese apps here.

By Manya Koetse

Spotted a mistake or want to add something? Please let us know in comments below or email us.

©2019 Whatsonweibo. All rights reserved. Do not reproduce our content without permission – you can contact us at info@whatsonweibo.com

Continue Reading

China Digital

Didi Riders Can Now Have “Verified Party Members” Drive Them Around

Party-building 3.0? Didi has got it covered.

Manya Koetse

Published

on

First published

This is Party-building in the new era: Didi now allows users of its Premier Car Service to let a verified Party member drive them to their destination.

On September 20, as the People’s Republic of China is nearing its 70th-anniversary celebrations, the country’s most popular taxi-hailing app Didi published an article on Weibo and WeChat explaining its verified Party Member Driver Program.

Recently, riders in Beijing may have noticed something different at Didi’s Premier Car service, which is called “Licheng” 礼橙专车 since June of last year.

Some of Licheng’s drivers now have a red background to their profile photos accompanied by a Communist Party emblem. Upon clicking the profile of these drivers, customers will see that this driver is a Party Member Driver (“党员司机”) – meaning that the Didi driver’s status as a Party member has been verified through Didi’s “Red Flag Steering Wheel” program (红旗方向盘项目) that was set up in November 2018.

Didi’s “Red Flag Steering Wheel” program (红旗方向盘项目) that was set up in November 2018. Image via Guancha.

Didi writes that these drivers can also be identified as Party members through the red sticker on the dashboard at the passenger side, which literally says “Party member driver.”

The article explains that the recent project is an effort to contribute to China’s Party-building in the digital era, and that Didi aims to establish a Party member community within its company.

This car is driven by a Party member (image via Didi/Weibo).

The company is apparently planning to make this community a lively one, as it promises to provide online and offline activities that will help these drivers stay up to date with the latest developments within the Party, and that will increase their “Party awareness.”

Starting this month, Didi will reportedly also offer “patriotic classes” to all of its drivers via its online classroom program.

China has more than 88 million Party members. Party membership does not come overnight; those who want to become a Communist Party member need to attend Party courses, pass written tests, be recommended by other members, and pass a screening (read more here).

As for now, riders cannot manually pick to have a Party member as their driver; a nearby driver will be automatically selected when they order a car – if it is a Party member, they will know straight away from the driver’s profile.

For now, Didi has set up “mobile Party branches” in Beijing, Shanghai, Shenzhen, and a number of other cities.

On Weibo, some see the initiative as a marketing move from Didi’s side. “If you hear the driver is a Party member, you know it’s reliable. It’s a good thing.”

The past year was a tough year for Didi, after the murders of two young women by their Didi driver made national headlines, causing outrage and concerns about customer’s safety when hailing a car through the Didi company.

By Manya Koetse

Spotted a mistake or want to add something? Please let us know in comments below or email us.

©2019 Whatsonweibo. All rights reserved. Do not reproduce our content without permission – you can contact us at info@whatsonweibo.com

Continue Reading
Advertisement
Advertisement

Support What’s on Weibo

If you enjoy What’s on Weibo and support the way we report the latest trends in China, you could consider becoming a What's on Weibo patron:
Donate

Facebook

Instagram

Advertisement

Contribute

Got any tips? Suggestions? Or want to become a contributor? Email us as at info@whatsonweibo.com.

Popular Reads