Presently, people’s interest in the stock market is conspicuous. This has accelerated the rise of newbie investors in the market. As every coin has two sides therefore one should always keep in mind that stock markets also sustain this phenomenon. It suggests that the stock market also lures scammers on platforms like WhatsApp and Telegram. Their ultimate intent is to exploit inexperienced investors. It is more important than ever for investors to identify their vulnerability and take measures to guard themselves. As a result, make sure to read this blog by YPay carefully to comprehend how WhatsApp and Telegram scams in the stock market operate, and how to bypass them.
How Does Such Scam Prevail?
In January this year, a 32-year-old woman found herself tempted by a Telegram channel promising profit-making investment prospects. She was quite intrigued by the content shared within the group, which bragged about ‘daily returns’ and stock tips from a purported ‘guru’ that prompted her to start investing her money. What initially appeared like a profitable venture soon turned into a nightmare as her investments sank rapidly, leaving her in a hopeless situation. Eventually, she had to pursue the intrusion of law enforcement in March after being scammed.
How Do You Protect Yourself from Telegram and WhatsApp Scams in the Stock Market?
To avoid succumbing to Telegram and WhatsApp scams in India related to the stock market, make sure to follow the preventive measures mentioned below:
Stay Cautious of Unrealistic High Returns
Wield caution when somebody promises to double or triple your money in a short duration. It is not advised to have eyes bigger than one’s stomach. Some research pieces suggest that the stock market typically delivers 12% to 15% returns over three to five years, and therefore, the promise of guaranteed higher returns is a major red flag.
Verify SEBI/RBI Licenses for Investment Tips
Be prudent of unsought investment guidance. Make sure to ascertain the credentials of anyone offering financial hacks.
If you have recently joined a finance-related WhatsApp group, remember to request the admin’s registration number and verify it with SEBI or other pertinent authorities. Adhere to verified accounts on WhatsApp or Truecaller.
Stay Cautious of WhatsApp or Telegram Groups
Scammers often use stock market WhatsApp groups to pose as stock market experts, sharing fake success stories with the help of accomplices.
Links shared in these groups generally yield phishing scams that rob money from bank accounts. As a result, stay miles away from clicking on suspicious links or opening attachments shared through WhatsApp messages, even if they come from someone you know.
Authenticate New Apps or Websites
These days, it is quite common for people to invest through different apps. If you plan to do the same, spare some time to ensure the app’s legitimacy by checking for a SEBI license for stock investing apps or an RBI license for NBFCs.
Steer clear from downloading APK apps that are not documented on the Google Play Store or Apple Store. Avoid unsolicited messages claiming to render prizes, lottery, loans, or exceptionally high-return investments.
Guard Your Passwords and OTPs
Do not lean on one password. Ensure to regularly change your passwords and permit two-factor authentication. It is not recommended to share your financial information, passwords, or login credentials, even if the request seems honest.
Using identical usernames and passwords for diversified investment platforms and accounts may imply possible fraudulent activity or a scam. It is crucial to employ distinctive credentials for every investment to lessen the risk of unauthorized access and safeguard your financial acquisitions. Always make it a top priority to employ strong and distinct login information for every investment you make.
Final Thoughts
Do not forget to always double-check information and remain watchful for offers that seem too good to be true. In case you suspect a scam, inform the authorities through the appropriate channels immediately. By taking the steps mentioned in this blog by YPay, you can protect your investments and avoid falling prey to frauds associated with the stock market.
