- [Woman] Limited supply.
- [Narrator] A ticking clock.
- If we don't get out of here in 60 seconds,
the whole place is gonna blow.
- [Narrator] A classic staple of fictional dramas.
- Tick-tock.
- [Narrator] TV offers, the love of game shows
and this very video.
- What's it gonna be?
- [Narrator] Designed to raise stakes
and keep our excitement levels high.
- Oh, I don't know.
- Tick-tock, Amber.
- [Narrator] But there's another common use for this device
you may want to watch out for in the world of the scam.
You've probably witnessed it, an email asking you
to act now, a robocall urging you to respond immediately.
So why do so many scammers use the tactic
of the ticking clock?
And how does it affect our ability to think?
- [Announcer] It's 4:00 p.m. on a Friday,
late in November.
Marjorie is tackling her daily Sudoku when she receives
a phone call.
Expecting her grandson, she is surprised to find a man
from the gas company.
It seems Marjorie has missed her latest payment
and is in danger of having her heating shut off
before the frosty weekend.
Oh dear, urging her not to worry, the man offers
to fast track her payment with a few digital
payments options or she can simply provide
her credit card information and social security number.
Thankful for the assistance, Marjorie gives him her info
before hanging up the phone comforted that she will remain
warm in the days to come.
- [Woman] Ah.
- [Narrator] In 2019, studies found that participants
asked to make quicker responses to fraudulent offers
made more judgment errors
suggesting that the visceral trigger of a ticking clock
may reduce our ability to effectively judge
a message's authenticity.
These types of interactions are designed to cloud
our immediate judgment, pushing our way of thinking
from a more centralized form of information processing
to a peripheral one.
Simply put, the reason why so many scams and fraud incidents
make use of a ticking clock is because it works.
Marketers know this effect well.
With some studies showing that the simple introduction
of a countdown timer can increase sales of our product
by as much as 9%.
While it may seem obvious, the perceived urgency
that these clocks create can push many of us
to make more impulsive decisions.
- [Announcer] Avid gamer Tom is hard at work.
He's been scouring the internet for the highly sought after
new console which is still scarce
despite being on the market for almost a year.
Just as he gives up hope, Tom is stopped by a surprise
personal listing on social media site.
The user got lucky and found two consoles
so he's selling the second without a huge markup.
Nice find.
The price is too appealing to ignore
and the vendor has a high review rating.
Not willing to lose out again,
Tom Springs at the opportunity.
The sale goes through and Tom falls back into his chair,
giddy in anticipation for his new purchase.
- [Narrator] So what exactly is happening in these moments?
A 2016 study stated that decision-makers
must often balance the desire to accumulate information
with the costs of protracted deliberation.
In other words, whenever faced
with a time-sensitive decision, we enter a sort of trade off
between the perceived truth of the information we have
already gathered and the time leftover to make our choices.
- There is a natural bias that we all have called
a loss aversion bias.
We are more inclined to weigh heavily on things
where we lose the opportunity.
We lose something.
So if we win $20, that's wonderful, that's great
but we weigh it less than if we lost $20.
It's called social engineering.
They're really getting at trying to trick us
into making the easy decision they want us to make.
- [Narrator] By limiting the amount of time
with which we have to make a decision,
these interactions don't only cloud our judgment.
They also challenge our desire to avoid a lost opportunity.
Our fear of missing out, so to speak.
- [Announcer] Mike has lost track of the time
he has spent indoors.
His previous holiday plans were canceled.
His surf lessons put on hold but suddenly an opportunity,
an exciting prospect, a once in a lifetime trip
to an exotic locale presents itself.
The images are captivating.
The waves begging him from afar.
The seller has a work conflict and can no longer travel
or return the hotel reservation but there's another buyer
so time is scarce.
Mike's partner is asleep, he dare not wake them.
Perhaps this will be a nice surprise.
He bites and buys the hotel voucher before it disappears.
Mike rests his head on his pillow,
dreaming of the adventures to come.
- [Narrator] So if we are all inherently susceptible
to the ticking clock, what can we do to protect ourselves?
- If you suspect you're being scammed,
the first thing you can do is slow down.
Take a moment to step back and ask,
is there a way you can confirm this information other than
the person you were talking to right at the moment?
If they called you on the phone, then hang up and call back
the company through a known good number.
So slow it down, step it back and think through things,
don't let them pressure you into reacting too fast.
- [Narrator] Slowing down as a great way to avoid
being scammed.
- Time is up, Amber.
What is it gonna be?
- I think I'm gonna take a moment to think about it.
- That's smart, I guess.
- [Narrator] But whether you're making a purchase
or using a platform like Zelle, the best way to avoid a scam
is to only send money to those you know and trust.