FOMCA warns public on surge in fake house rental scams

Fraudsters are pretending to be agents to scam potential tenants, including foreign students

1:14 PM MYT

 

KUALA LUMPUR – The Federation of Malaysian Consumers Associations (FOMCA) today warned the public about a growing trend of scams involving fake house rental agents.

Its secretary-general, Dr. T. Saravanan, said the fraudsters are pretending to be agents to scam potential tenants, including foreign students, by showing rental properties, collecting down payments, and then disappearing.

“Many foreign students have fallen prey to these scams due to their unfamiliarity with local rental practices and lack of access to verified information. The scammers often present themselves as professional agents, using fake business cards, online advertisements, and social media profiles to appear credible.

“They arrange property viewings, often of units they do not have legal access to, creating a sense of urgency by claiming high demand for the property. Victims are then pressured to make immediate down payments to secure the unit, only for the agents to vanish after receiving the funds,” he said in a statement.

As such, he advised consumers to avoid paying into personal bank accounts, ensure all payments go through the agency’s official account, and work only with certified, registered agents.

“Documentation is also crucial – always insist on a properly stamped tenancy agreement and official receipts for all payments. Foreign students are advised to seek guidance from their educational institutions or peers before proceeding with any rental arrangements to avoid being misled,” he said.

Saravanan said victims of scams should file a police report and also report the fraud to the National Scam Response Centre hotline at 997.

“FOMCA strongly urges government authorities and educational institutions to intensify efforts in educating the public and foreign students about these scams. Awareness campaigns and partnerships between universities, housing agencies, and consumer organisations are essential in creating a safer renting environment.

“Consumers seeking advice or wishing to report a scam can contact FOMCA. FOMCA remains dedicated to advocating for consumer rights and protecting the public from fraudulent activities,” he said. – November 18, 2024

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