COLLEGES and universities across Hampshire were put on alert today after two students lost thousands of pounds through an international banking scam.

Together the pair are believed to have lost around £16,000 after falling victim to a smooth-talking conman who befriended one of them in a nightclub.

Police said the convincing stranger was only too glad to help when the first student mentioned cash-flow problems.

Claiming he had friends who needed to transfer money into the country, the fraudster promised a £1,000 reward if the student allowed his bank account to be used for the transaction.

The scam involved a trip to London, where large amounts of US currency was withdrawn at various foreign exchange bureaux, before the victim duly received his £1,000.

But days later, cheques paid into his account bounced - leaving him more than £10,000 overdrawn.

Unfortunately, the fraud was not discovered until the student had recommended the money-making scheme to a friend, who also had thousands emptied from his account.

The scam has already reared its ugly head in the Portsmouth area - and police believe the fraudsters could quickly move to target the rest of the south.

Now detectives are warning hard-up students not to be tempted by any offers of get rich quick schemes.

* Any information to Hampshire police on 0845 045 4545 or the free and anonymous Southern Crimestoppers line on 0800 555 111.