Cifas have issued a warning to people who may be money muling that they could face having their bank accounts closed down and even face time in prison! Learn how to protect yourself from money muling here!

What you’ll read in this article from Payday Loans Net:

  • The meaning of the term ‘money mule’
  • The Advice and statistics from Cifas
  • The efforts of a joint international police investigation
  • Ways that criminals trick people into participating
  • How to protect yourself
  • What to do if you are a victim
  • Conclusions

What is a ‘money mule’?

Criminals or a criminal organisation use people’s bank accounts to launder money through them. These funds are illegal and need passing around between bank accounts and countries through money transfers. These unlawful funds are often responsible for funding human trafficking, drug cartels, terrorism and all kinds of online fraud. Being a money mule can be with or without a person’s consent. Payday Loans Net shares top tips on how to protect yourself and avoid needing bad credit loans as a result of a closed bank account.

What has Cifas had to say about this business?

The fraud prevention organisation, Cifas, has recently released a warning. Apparently people are unaware that their bank accounts are being used for this kind of fraud. They need to be vigilant because banks can close their accounts, and this could affect their chances of getting a mortgage or other lines of credit. Being unwittingly involved could lead to people serving a prison sentence. Cifas has found that this type of crime is on the increase according to their statistics on this matter. This year, they have seen a rise of 59% in money muling. They also revealed a 73% increase in money mules targeting over 50s.

Law enforcement agencies around the world are joining forces to tackle money muling

Police forces in Europe and the US are joining forces to stop the increasing cases of this kind of crime. Money mules are essential to criminal organisations who need to launder their illicit gains through a network of bank accounts. In the crackdown, the joined police forces made 178 arrests. They were able to identify £19.65M worth of stolen money. The purpose of this operation was to prevent and crack down on online payment and card fraud across the world. There were 380 money mule suspects interviewed during the investigation, and 580 money mules were identified.

So what have we learned so far?

  • The number of people being used as money mules in the UK is rising
  • People can willingly take part and get paid for it or can be done without their knowledge
  • Criminal organisations transfer illegal funds through numerous bank accounts to launder it
  • Money mules can have their bank accounts closed down and can face a prison sentence
  • Cifas have publicised warnings of the dangers involved
  • Police in Europe and the US joined forces to tackle this problem
  • They tracked £19.65 million in illegal funds and arrested 178 people
  • They use the laundered money to fund terrorism, drug and human trafficking

How do criminals trick people into becoming money mules?

Cifas have listed the 3 most common methods that criminals use to get people to participate in this crime. Many people can be unsuspecting as the criminals disguise this crime in the form of a legitimate job. All it involves is people moving money around from their bank account. Here is what Cifas report about being the most common ways of getting innocent people involved:

  • Criminals entice people who are looking for jobs with the promise of well-paid employment. They require only very little work through social media posts or in newspapers.
  • Another way that you could get mixed up is by taking a job with a company without adequately researching them. This can be particularly difficult when an employer is based overseas. It seems very unsuspecting to hand over your bank account details for salary purposes.
  • People can sometimes allow their boss or another person that they do not know very well to use their bank account to transfer money.

How to protect yourselves from criminals looking for money mules

To protect one’s self from being used by these criminals, Cifas has some advice. They point out that a legitimate company would never ask a new employee to transfer money on their behalf by using their own personal bank account. People looking for work should never accept a job where this is part of the deal. They also warn people to be wary of overseas job offers.This is because it can sometimes be near impossible to research a company abroad. Lastly, never share bank account details with people that you do not know or trust.

What should do if you have become a money mule without your consent?

If you suspect that you are being used as a money mule, then it is very important to inform your bank and the police immediately. This is a crime that has a 14-year prison sentence attached to it so you must let the authorities know that this was being done without your consent and cooperate with them during their investigation.

Money mule scamming – Conclusion

Cyber fraud is on the rise all over the world. To combat money muling, police from different countries need to work together as money is often transferred to several different countries. As this money is used for unsavoury activities, it is very important to put a stop to it. Being vigilant and applying the warnings from Cifas should make people aware and prevent them being used in this way. Many criminals willingly participate in this crime and are paid for their services, but there are some people whose bank accounts are being used without their permission. If people do not protect themselves, they could end up in prison and using illegal no credit check loans from direct lenders.

Tracy Walter
As a busy mother of 3, Tracy knows all about household finances. After completing her BA English Language and Literature at the University of Hertfordshire, she found an entry level job as an insurance agent and worked her way up. After the birth of her second child she left the insurance sector to work from home as a freelance writer. Tracy’s varied background in personal finance, writing and homemaking provide the perfect foundation for writing for the Payday Loan Net blog. Tracy loves nature, and weekends often find her with her kids at one of the many parks in the Barking area.

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