Parents Paying Private School Fees Fall Victim to Clever Scam: Protect Your Payments Now!

International students enrolled in private UK schools have become prime targets for scammers aiming to hijack their tuition fee payments, recent findings suggest.

Numerous families have been deceived into transferring as much as £10,000 to a fraudster’s bank account after receiving counterfeit emails purportedly from the school’s bursar.

A study involving 100 fee-paying private schools revealed that each had experienced either an attempted or successful cyber-attack at least once annually.

These attacks are primarily focused on redirecting tuition fee payments into the accounts of the scammers. The typical loss due to such frauds averaged £3,200, though in some instances, losses surged to more than triple this amount, according to research conducted by Iris Education, a software firm.

Simon Freeman, Managing Director of Iris Education, noted that parents of international students are particularly vulnerable, as English is often not their first language, which may lead them to overlook suspicious signs in scam emails.

Fraudsters frequently entice parents by offering a discount for early fee payment, subsequently directing them to transfer money to their fraudulent accounts.

Freeman explained, “For parents who are not native English speakers, it becomes easier for fraudsters to forge documents and convince them of the authenticity of fake communications.”

All 100 school bursars surveyed in the study reported being targeted, with each experiencing an average of five attacks over five years.

According to Freeman, “Criminals closely monitor school communications, time their attacks around when fees are due, and mimic official payment instructions with alarming accuracy.”

He added, “Many schools adhere strictly to traditional processes, but unfortunately, these very processes are what criminals have learned to exploit.”

How the Scams Unfold

The scams generally begin with a breach where criminals gain access to the email addresses of parents, possibly through hacking a third-party service provider. In one instance, a company handling visas for international students was compromised, resulting in data theft.

Following this, parents receive fraudulent emails, seemingly from the bursar, requesting payments be made to an alternate bank account. These requests are usually timed to coincide with the due dates for term fees—typically in March, September, and December.

Parents might be tempted with discounts, sometimes up to 25%, a common tactic among various scam operations.

International students are often specific targets due to their higher tuition and boarding fees, making them more profitable for scammers.

Freeman mentioned that schools maintain multiple communication channels with parents, such as emails, WhatsApp groups, and phone calls, which hackers attempt to exploit. Additionally, the variety of payment methods offered by schools—like wire transfers, checks, cash, and cards—also provide opportunities for fraud.

Recommended Actions

Parents should remain vigilant for any communications that seem unusual or that push for urgent payment. This might include invoices issued at unexpected times outside the regular billing cycle.

If suspicions are raised, it is crucial to verify the legitimacy of the request by contacting the school through official channels, rather than through details provided in the suspicious email.

Victims of such fraud should immediately inform their bank and subsequently report the incident to Report Fraud, the official center for logging fraud and online crime.