Consumers using older iPhone or Android devices who are considering an upgrade are being warned about a scam that could leave them with a hefty bill. Thieves are exploiting the desire for new phones with a trick that begins with an unexpected call claiming to be from a mobile network.
The caller offers a free phone upgrade, saying it can be secured by agreeing to a new contract. Once accepted, a genuine device arrives at the doorstep, making the scheme appear legitimate. Shortly after delivery, a follow-up call claims there was a shipping error and the phone must be returned.
How the Scam Works
A courier then collects the device. The address given for the return is actually controlled by the scammers, who arranged the original delivery by ordering the phone from the mobile network themselves. After the device is collected, the victim continues to be charged by their provider while the criminals gain a new phone they can sell.
Security experts at Malwarebytes explained: "The scam usually starts with a call from a spoofed number. Next, a genuine device arrives through a legitimate delivery service. That delivery makes the next part of the story easier to believe. The caller gets back in touch and claims something went wrong. The shipping label is the real trick. Rather than directing the package to the provider's returns facility, it sends the device to an address chosen by the criminals."
Scale of the Problem
This phone scam is widespread worldwide, and UK users are also being targeted. Nearly 30,000 cases were reported last year alone.
To avoid becoming a victim, consumers should be wary of any unexpected calls offering a free phone upgrade. Networks do offer upgrades to iPhone and Android customers, but it is best to call the firm directly or visit an official retail store. If a follow-up call asks for a returned device to be sent back, recipients should be on red alert and not act until they have done checks.
"If you've already sent a phone, contact your mobile provider immediately using verified contact details," Malwarebytes explained. "Explain that you believe you were targeted by a phone return scam, identify the affected orders, and ask for a fraud investigation."
