The Ottawa police say victims lose, on average, $2,000 per scam. So how can locals spot and avoid it from happening to them?
Ottawa police first alerted residents of illegitimate taxis and debit card-swapping scams back in 2022. But despite repeated warnings over the years, the con has persisted.
In the last six months alone, approximately 10 Ottawans fell victim to the scam, says Ottawa police fraud detective Shaun Wahbeh, and that’s just the number of people who reported the crime to police. Their losses, meanwhile, total in the thousands of dollars.
So how can Ottawans be sure their taxi is legitimate, and what should they do if they worry they’ve become another victim? Here’s everything you need to know about the taxi card swap scam:
How does the scam work?
Ottawa’s taxi card swap scam typically plays out in one of two scenarios.
In the first scenario, as Wahbeh describes it, “You’re walking by, and someone flags you down and says that they can’t pay for their taxi because all they have is cash. They ask, ‘Can you pay with your debit and I’ll pay you the cash?’”
This version of the scam can involve as many as four people, including the driver and other individuals flagging down victims.
The second scenario involves just the fraudulent driver. “They drive you to (your destination) and when it comes time to pay, they say they do not take cash and they want you to pay by debit. … Both (scenarios) fundamentally work the same way.”
The next step in the scam is the same: the fake driver puts the victim’s debit card in the card machine and asks them to enter their PIN (personal identification number). The victim’s PIN is then trapped in the driver’s machine.
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Next, the driver hands back a fake, similar-looking card to the one the victim used.
Once the victim leaves, the driver has the debit card and the PIN for a quick spending spree.
Q: Where and when do these scams take place and who is conducting them?
A: The scams often target busy areas like the ByWard Market or outside stores like Home Depot or IKEA, Wahbeh says. These scams are also common during busy weekends like the Panda Game. Crowded shopping areas during the holiday season are also possible hotspots that the scammers may target.
The Ottawa-based scams are conducted by a group originating from Toronto, who have also conducted scams in other areas like Durham, Ont., and Oshawa, Ont., Wahbeh adds. He estimates that 10 to 15 individuals are involved, spread across different Ontario cities.
“It’s the luck of the draw when they’re in town. A lot of the time it’s the weekends,” he says.
Q: What are the consequences of these scams?
A: The scammers will access the victim’s bank account with the stolen debit card and withdraw as much money as possible before the bank locks the card.
“People are losing several thousands of dollars,” Wahbeh says, adding that the Ottawa police see an average loss of $2,000 per scam.
Q: How can a taxi scam be spotted and avoided?
A: “If a driver says to you, ‘I don’t take cash,’ assume they’re a criminal,” says Rita Smith, a communications liaison with the Canadian Taxi Association.
“In the taxi industry, there is no cab driver that will not take cash,” she explains. “They prefer cash over every other credit card or debit card.”
Most illegitimate taxis will have a fake taxi sign, a sign stolen from a legitimate taxi company, or a taxi sign with a phone number without an area code, Wahbeh adds.
“(It’s) just to fool you at first impression. Most people just hail a cab or walk up to a cab. They don’t actually call the number to confirm its legitimacy.”
Illegitimate taxi vehicles are often grey or black four-door Sedans, or other vehicles that are less likely to stand out, Wahbeh adds. He encourages the public to “listen to their gut and watch for red flags,” like a phone number missing an area code.
Q: So then what does a legitimate taxi look like?
Licensed Ottawa taxis will always have a City of Ottawa logo on the right side of the rear bumper. These plates will always be blue with white lettering, or white with green letters.
Legitimate taxis will also have a roof sign with a taxi company and plate number, an identification number on both sides of the vehicle, and a taximeter with the City of Ottawa seal, according to the statement.
Taxi drivers must also carry a driver identification card with a photo and driver number. Only Blue Line Taxi Co. Ltd., Capital Taxi, West-Way Taxi and Executive Cabs are licensed to work in Ottawa.
Q: What are the Ottawa police doing to prevent these scams?
Education through “as many media releases as we can” is the best way to inform the public and prevent these scams, Wahbeh says. “The (fraudulent) taxi company is fake, so it’s very hard to identify these people and we’re getting vague descriptions.”
Ottawa police are “monitoring” the reported scams and “hoping to get a lead,” along with police forces in Toronto and Durham, Ont.
Q: I’ve fallen victim to this taxi scam. What can I do?
The first thing taxi scam victims should do is contact their bank as soon as possible.
“(Taxi scammers) will deplete everything they can,” Wahbeh says. “By the time you realize your card’s been taken, it takes five seconds to also withdraw a thousand dollars from your ATM machine. Even if you’ve done it in five minutes, sometimes the damage is done already.”
“Get on it to minimize the damage, then file a police report … with as much description as you can,” he adds.
Even the smallest detail, like half of a licence plate number, can help the police locate a suspect.
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