How to Avoid Scam When Sending Money to Nigeria

Introduction

Sending money to Nigeria is a common and often necessary activity for many people worldwide. Whether you’re supporting family, paying for services, or conducting business, Nigeria ranks among the top recipients of remittances in Africa. However, due to the country’s growing digital economy and increasing reliance on online transactions, it’s also become a hotspot for various scams and fraudulent activities.

Scammers use a range of tactics to trick people into sending money under false pretenses. If you’re not careful, you could lose hundreds or even thousands of dollars. This article explores the most common types of scams and offers practical steps to help you avoid falling victim when sending money to Nigeria.

Why Scams Are Common in Money Transfers to Nigeria

Several factors contribute to the high rate of online scams in Nigeria:

• Weak regulatory enforcement on internet fraud

• High unemployment rates, especially among youths

• Rapid increase in mobile and internet use

• Growing cryptocurrency adoption, which is harder to trace

• Desperation due to poverty or economic instability

The anonymity and speed of online transactions make it easier for fraudsters to deceive people, especially those outside Nigeria who may not understand the local context.

Common Types of Scams When Sending Money to Nigeria

1. Romance Scams

This is one of the most widespread fraud types. Scammers build emotional relationships online (via social media or dating sites) and eventually ask for money for emergencies, medical bills, or travel expenses.

Red Flags:

• The person professes love too quickly.

• They avoid video calls or face-to-face meetings.

• They request money for a sudden emergency.

2. Business or Investment Scams

Scammers pose as businesspeople or representatives of fake companies and offer unbelievable deals, investment opportunities, or partnerships.

Red Flags:

• High-return investments with no risk.

• Pressure to act quickly.

• No verifiable business registration or office address.

3. Freelancing or Job Scams

Some people are lured into fake job offers or freelance gigs. After completing work or a job application, they’re asked to pay processing or visa fees, which leads nowhere.

Red Flags:

• You’re asked to pay before being hired.

• The job sounds too good to be true.

• The company doesn’t have an online presence.

4. Fake Charity or Religious Scams

Fraudsters pretend to be running orphanages, religious groups, or NGOs and ask for donations. Often, they use stolen pictures and emotionally manipulative language.

Red Flags:

• Emotional pressure to donate immediately.

• No transparency about where funds go.

• No official registration or website.

5. Fake Buyer or Seller Scams

Scammers target online marketplaces. A “buyer” may pretend to pay more and ask for a refund. A “seller” may ask for payment and then disappear.

Red Flags:

• They refuse to use secure payment methods.

• They push for fast transactions.

• They offer products or services at extremely low prices.

How to Avoid Scams When Sending Money to Nigeria

✅ 1. Use Reputable Money Transfer Services

Always choose well-known and licensed remittance services with fraud protection. Examples include:

• Wise (TransferWise)

• Remitly

• WorldRemit

• Western Union

• MoneyGram

• PayPal (for verified business accounts)

• Bank-to-bank transfers

• Crypto exchanges with escrow protection (e.g., Binance P2P)

These platforms provide tracking, identity verification, and refund support if things go wrong.

✅ 2. Verify the Recipient’s Identity

Before sending any money:

• Ask for a valid government-issued ID.

• Confirm full bank account details and phone numbers.

• Use video calls to confirm their identity.

• If possible, ask someone you trust in Nigeria to verify them in person.

Never rely solely on online photos or social media profiles—they can easily be faked.

✅ 3. Avoid Untraceable Payment Methods

Scammers prefer payment options that can’t be reversed or traced. Avoid sending money through:

• Gift cards (Amazon, iTunes, etc.)

• Unverified crypto wallet addresses

• Cash payments to untrusted individuals

• Wire transfers to unknown names or third parties

Stick to platforms that allow some form of tracking or reversal in case of fraud.

✅ 4. Be Cautious With Cryptocurrency

Crypto is gaining popularity in Nigeria, especially due to bank restrictions on dollar transactions. While convenient, it’s high-risk for beginners.

Best practices for crypto:

• Use platforms like Binance P2P with escrow protection.

• Always verify the counterparty’s ID and history.

• Never send crypto directly to someone you don’t trust.

• Confirm transactions through official mobile apps only—not random links.

✅ 5. Don’t Let Emotion Cloud Judgment

Scammers are masters at emotional manipulation. Whether it’s romance or a sad story about a sick child, always pause and think rationally.

Ask yourself:

• Why is this person asking me?

• Have I done enough verification?

• Would I trust this person with my cash in real life?

When in doubt—don’t send money.

✅ 6. Use Escrow or Third-Party Verification for Business Deals

If you’re paying for goods or services:

• Use a verified escrow service.

• Request proof of product or service before payment.

• Ask for a sample or a small order first.

• Read reviews or get recommendations from trusted sources.

✅ 7. Enable Two-Factor Authentication (2FA)

For all your banking, email, and crypto accounts:

• Turn on 2FA to prevent unauthorized access.

• Use strong passwords and never reuse them across accounts.

This ensures even if your details are leaked, hackers can’t get in easily.

✅ 8. Check Online for Complaints or Reviews

Search the person’s name, phone number, email, or business name along with the word “scam” or “fraud.” Many scammers have already been reported online.

Also, use scam-reporting websites like:

• scamadviser.com

• ripoffreport.com

• nairaland.com (popular Nigerian forum where users warn others)

✅ 9. Keep a Record of All Communications

Always save:

• Emails, chat logs, and call recordings (if possible)

• Transaction receipts

• Screenshots of promises or agreements

These can help you file reports or disputes if needed.

✅ 10. Report Any Suspicious Activity

If you suspect a scam:

• Report it to the money transfer platform.

• In Nigeria, report to the EFCC (Economic and Financial Crimes Commission).

• In the U.S., file a complaint with the FBI Internet Crime Complaint Center (IC3).

• In the UK, use Action Fraud.

Reporting helps authorities track and shut down scam networks.

Real-Life Case Study

Jane, a nurse in Canada, met someone on Facebook who claimed to be a Nigerian businessman. After months of chatting, he said he needed help paying customs fees to release his goods from Lagos. Jane sent $3,000 through a bank transfer. The man vanished a week later.

What went wrong:

• She never verified his identity.

• She trusted the story without proof.

• She used an irreversible method.

Lesson: Even when it feels personal, always verify and protect yourself.

Final Thoughts

Sending money to Nigeria can be safe—as long as you’re careful. Scammers thrive on speed, emotion, and lack of verification. The more time you take to verify details, use trusted platforms, and stay skeptical of “too good to be true” stories, the better your chances of avoiding fraud.