How to avoid tourist scams when you travel

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Fraudsters and con artists often target tourists because they know people are more vulnerable when away from home.

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Tourist scams
From pickpockets to dodgy taxi drivers – not all locals are friendly to tourists.

Tourist scams are tricks and schemes used by criminals to prey on holidaymakers. They can be simple or convoluted, but either way, the best protection against them is knowledge. This guide lets you read up on common tourist scams so you don’t get caught while away from home.

How to avoid being taken in by tourist scams 

Professional scammers work hard to be as convincing as possible, so it’s difficult to avoid being caught out by holiday scams. However, you can dramatically reduce your chances of being taken in by fraudsters while you’re on holiday by adhering to the following rules:

  • Don’t answer personal questions asked by strangers

  • Don’t carry a lot of cash or while you’re out and about – take a prepaid travel card instead

  • Do remember that if something seems to be too good to be true, it probably is

  • Do be wary of unusually friendly strangers – especially when they suggest you go somewhere with them

  • Don’t be afraid to be rude and walk away if someone is hassling you 

  • Do agree prices of any products, services or accommodation before you hand over any money – and always ask for a receipt

  • Do research the best local currency exchange rate and the cost of things such as a taxi ride from the airport to your hotel before you go 

  • Do try to learn a few phrases in the local language if you can – they could help to get you out of a tight spot 

Some of the most common tourist scams explained

While new holiday scams can pop up at any time, there are several old favourites that you should always guard against when travelling overseas. These include:

Taxi scams

We are often at our most vulnerable when first arriving in a new country, especially if we’re coming off a long-haul flight.

While most taxi drivers are honest, some seek to make extra cash by taking new arrivals on a circuitous route that costs twice as much as the direct approach. Others simply charge them a hugely inflated fare.

That’s why the sensible option is to use licensed cabs fitted with meters. And if possible, make sure the meter is running. If a licensed taxi is not available, the next best thing is to agree on a price, in writing if necessary, before setting off or even getting into the car. 

It’s also crucial to have at least some understanding of the local currency. Otherwise, you could quickly end up paying £100 for a £10 journey. 

If you feel unsure at any point, it’s also a good idea to note down the taxi driver’s number and licence plate – just in case.

Friendly stranger scams

It’s good to make friends on holiday, but not everyone who shows an interest in you has your best interests at heart. 

Be wary of anyone approaching you on the street, especially if they ask for help or seem bizarrely interested in you and your plans. 

One of the most common scams that starts with this behaviour involves a friendly local inviting you out for a drink in a bar or nightclub, ordering some very expensive drinks, then disappearing and leaving you to pay the bill.

No change scams

Dodgy street vendors and taxi drivers know tourists often only have high-value notes. By telling you they don’t have change, they can sometimes walk away with more than the value of the item or service they were selling. 

To avoid this issue, it’s a good idea to ask for a range of different bills when you get your travel money

You can also prepare for such situations by buying a small item such as a bottle of water with a large bill at the airport or near your accommodation once you’ve settled in. 

Restaurant/bar scams

We tend to eat out a lot when on holiday. Most of the time, the experience is pleasant and adds to the enjoyment of the trip. 

However, if you stumble into a less-than-honest establishment, it could scam you in several ways.

The first involves menus – for either food or drinks – that do not show prices – leaving you with a shockingly high bill at the end. 

The second involves staff adding extra charges to your bill in the hope you won’t notice. 

In some countries, holidaymakers also report being given spiked food or drink before being robbed.

Where possible, follow recommendations – for example, from hotels or guidebooks – and check out online reviews before choosing where to eat your lunch or spend your evening. 

Street vendor scams

When buying from street vendors, always ask for the exact price before handing over any money. That way, you can avoid being quoted an extortionate price when you’ve shown interest, and it’s harder to argue back. Either way, remember you are not obliged to buy anything, particularly if it seems overpriced. 

Pickpockets

Thieves are skilled at manipulating and distracting travellers, for example, by engaging them in conversation or barging into them in a crowded place.

They often work in teams, with one person distracting you, while the other reaches into your bag or pocket. So, be wary of unsolicited conversations with strangers, and watch out for unwanted physical contact.

Shopping bags, outside pockets and backpacks are all easy targets, so keep your guard up and leave as many valuable items as possible in the hotel safe.

If you’re travelling to a destination with a high crime rate, it may even be worth investing in an anti-theft backpack with a concealed zipper and anti-slash lining.

Car/scooter hire scams

When you hire a car or scooter, whether in the UK or abroad, it’s always sensible to scrutinise it before signing the paperwork and driving away. Otherwise, you could end up paying for damage you did not cause.

Watch out too, for extra charges, including expensive excess insurance that you may be able to find cheaper from a separate insurer. 

Currency scams

It’s not a scam as such, but, if you pay by card, and you’re asked if you want to pay in the local currency or in sterling, you should always choose the local currency. This is because paying in sterling will mean accepting the often poor exchange rate applied by the merchant. You can find out more about avoiding currency conversion when paying by card here.

Watch out too for reputable-looking currency exchange agencies that lure you in with a 0% commission charge but offer abysmal exchange rates. Instead, it’s a good idea to find the best travel money deal before you travel.

What to do if you’re scammed on holiday

If you are scammed while travelling, you need to report the incident immediately to the:

  • Local police – as you’ll need a police report to make a travel insurance claim

  • Your bank – so it can block all your cards if necessary and refund any unauthorised payments

You should also look at your bank statements online and check your credit report to make sure no one has used your identity to open new lines of credit in your name.

As making a travel insurance claim is your best hope of compensation for any losses incurred, you should also inform your travel insurance provider as soon as possible after being caught out by a tourist scam.

Find the right cover for your travels by comparing our best travel insurance deals.

Spending abroad can be costly, so make sure you compare the market for the best exchange rates available on your travel money before jetting off.

About Jessica Bown

Jessica Bown is an award-winning freelance journalist and editor who has been writing about personal finance for almost 20 years.

View Jessica Bown's full biography here or visit the money.co.uk press centre for our latest news.