The Daily Observer London Desk: Reporter- Kathryn Williams
Drivers are being warned to watch out for a new ‘clip for cash’ scam which is said to be ‘spreading across the county’ and seen fraudsters targeting pensioners and young motorists.
The new con is a twist on the ‘crash for cash’ scam which sees fraudsters deliberately causing a collision and then make false personal injury claims.
Now scam artists are accusing drivers of clipping their wing mirror before becoming threatening and demanding cash up front, with some victims handing over amounts of up to £200.
The con often takes place on a residential road, according to the police. As the victim drives by slowly, the fraudster is parked in their car and hurls an object like a rock at the side of the victim’s car to make an impact sound (stock image)
The scam often takes place on a residential road, according to police.
As the victim drives by slowly, the fraudster is parked in their car and hurls a small object – like a rock – at the side of the victim’s vehicle to make an impact sound.
The fraudster will use their car’s headlights to flash down their victim demanding they stop, before accusing them of clipping a wing mirror – which had already been damaged.
The new clip for cash con is a twist on the ‘crash for cash’ scam, which has seen fraudsters deliberately cause collisions in a bid to make false injury claims
The scammer then demands the driver hands over cash or pressures them into driving to a cashpoint to cover the cost to repair their wing mirror.
Over 40 cases are currently under investigation with some victims losing out on hundreds of pounds.
But the fear is that hundreds more could be taking place without being reported.
In some instances where the victim has refused to hand over money, the offender has become physically intimidating, investigators have said.
The warning of the scam was issued by the Insurance Fraud Bureau (IFB) and City of London Police’s Insurance Fraud Enforcement Department (IFED), alongside several insurers.
Ursula Jallow, director at the IFB, warned the scam tactic is on the rise across the country and is urging people to be aware of the con
Ursula Jallow, director at IFB, said: ‘Clip for cash is an increasing threat to drivers.
‘These fraudsters trick innocent motorists into thinking they’ve caused genuine damage and then apply pressure tactics to get victims to hand over cash.
‘As there is little awareness of this new fraud type, it means drivers are more susceptible to falling victim. We’re urging everyone to look out for the warning signs of these wing mirror stings and report it to Cheatline and Action Fraud.’
The con was first detected in London in 2021, but the IFB and IFED said they have since seen the clip for cash scam spread rapidly to other parts of the UK, including in the South West and Wales.
Detective Inspector Philip Corcoran at IFED said: ‘Crash for cash scams pose a real safety risk to the public, so it is concerning to see these fraudsters evolve their tactics to target more unsuspecting drivers.
‘Nobody should pressure you into handing over money at the scene of a collision.’
Ben Neyland, head of claims counter fraud at Admiral, says the insurer has evidence of the clip for cash scam becoming more commonplace.
He says fraudsters’ methods are ‘intimidating’ and the aim is to frighten those being targeted into handing over large sums of money.
Ben Fletcher, director of financial crime at LV= General Insurance, added: ‘Fraudsters are constantly evolving their tactics, and this is another example of how they pray on the vulnerable.
‘We’re seeing younger and elderly drivers targeted, as they’re more likely to fall for this awful scam.’
In some of the instances being investigated where the victim has refused to hand over money, the offender has become physically intimidating, fraud experts warn
How the ‘clip for cash’ scam works
Most cases known to fraud experts and insurers take place on residential streets – often those with cars parked on both sides leaving limited space to drive between them.
The con artist will throw a large stone or rock as the victim drives by to replicate the sound of them hitting their car’s wing mirror.
They will then pull out behind the startled driver, flash their headlights to get them to stop, before being accused of clipping their mirror (which has already been damaged).
The fraudster demands they hand over cash instantly – which could be as much as £200 – or pressures them into visiting a cashpoint to take out funds to cover the cost of repairs.
The fraudster is reluctant to pursue any claim through the insurer and will become aggressive if money is not exchanged.
What should you do if you’re targeted by a ‘clip for cash’ scam artist?
In any case of a traffic collision – no matter how minor – money should never be handed over at the scene.
If accused of damaging a wing mirror, insurance details should be swapped as legally required.
And if you feel you are in imminent risk of danger due to aggressive behaviour, call the police immediately.
If someone thinks they have been targeted, they should tell their insurer and local police force.
They should also report their concerns to IFB’s Cheatline and Action Fraud, the national fraud and cybercrime reporting service.
