FOUR Lanes Neighbourhood Watch is warning people, particularly pensioners, to beware of a scam involving overseas lotteries.

The scam works by people receiving unsolicited mail or a phone call telling them they are being entered into a prize draw. If they respond their names are put onto a "sucker" list made available to direct marketing or telemarketing operators.

The victims then receive a call saying they have won a big prize in a lottery in Canada, Australia or Spain and then are asked to send money to pay for processing fees and taxes so that they can claim their prize. This "prize" does not exist.

Gill Gillvray, of Four Lanes Neighbourhood Watch, is warning people to be cautious if they receive such phone calls and not to be afraid to hang up.

She said: "Never send money in order to receive a prize and don't give out private financial or personal information.

"There are a number of key behaviours that people can look for to spot a scam. If it sounds too good to be true, it probably is. You are often asked for money up front to release your "win" and you are asked for your bank account, credit card details or other confidential information. The caller is more excited than you."

Gill warns that the "prize" doesn't exist and people never receive any winnings for their cash.