RCMP are warning about a new phone scam they say has already cost some Prince Edward Islanders thousands of dollars.

RCMP Const. Troy MacLean says once confidential information is obtained, it can be sold to anywhere in the world. (CBC)

In this latest scheme, when you answer the phone, an automated voice claims to be calling from your bank or credit card company. An offer is made to reduce bank fees or consolidate debts, or the recording might claim to be an alert over a problem with your card.

Then it asks you to punch in your bank or credit card number on the phone.

The call is made from a computer connected to the internet using voice-over-internet protocol (VoIP), which can allow mass calling and the recording of the few responses made.

"You may be punching your bank number, PIN number, date of birth, other information," RCMP Const. Troy MacLean told CBC News Thursday.

"Fraudsters will be using that to advance identify theft issues, false credit card fees, things like that … It can be sold over internet to any buyers that want to use the information illegally."

Caller ID unreliable

Caller ID on your phone will not help you identify the origin of the caller, said MacLean.

"In some cases, these fraudsters will actually use spoof legitimate-looking numbers," he said.

"On your caller ID it may appear that there is a legitimate number on there, but it could actually be a totally different number from a totally different place."

Once the information is stolen, charges can start appearing on your credit card overnight, and you may not find out until you get your next statement. MacLean said several Islanders have already been cheated out of thousands of dollars.

Your best defence against these calls is to hang up, said police, noting banks don't ask for this personal information over the phone.

And if you do get taken in you should call police and your bank right away.