Stay scam safe with tips from the experts

Investment and online shopping scams are increasingly sophisticated, making them more challenging for consumers to identify and avoid falling victim to.

"Investment and shopping scams are a serious threat to even the savviest of customers"

Heading into the festive season, there are great opportunities for shoppers to grab a bargain and get their Christmas shopping sorted or to make a quick return on a short-term investment.

Unfortunately, online shopping is a ripe opportunity for scammers. National Anti-Scam Centre (NASC) data shows losses reported for online shopping scams were $3.4 million from January to September 2024. Additionally, the NASC received reports of Australians losing $125 million to investment scams.

One reason for these significant monetary losses is the ease with which fraudsters can create professional-looking websites or listings. These give a false sense of authority and lure unsuspecting shoppers and investors.

Investment and shopping scams are a serious threat to even the savviest of consumers, enticing victims with promises of big returns, swift payouts, irresistible discounts and fake endorsements. ANZ's Customer Protection teams continuously monitor all types of scams

With more than six years’ experience fighting scams, ANZ Scam Assist Senior Officer Chantara Lowe says many victims of investment or shopping scams are lured by promises of quick profits or great deals – only to discover the risks too late.

Chantara recounts an instance where a customer attempted to transfer $50,000 for an investment opportunity recommended by a friend.

“The broker involved demanded high-frequency transactions with lofty returns, a pattern that raised immediate red flags”, she says.

Through diligent investigation, Chantara discovered the broker was not registered to provide financial advice in Australia and was funneling money to a crypto platform.

This revelation prompted the customer to reconsider their decision, ultimately saving them from a significant financial loss. In this case the newly created website and the unregistered broker were key indicators the investment opportunity was a scam.
Chantara emphasises the importance of using technology and conducting thorough research to uncover scam operations. By examining the creation date of websites, checking the URL and investigating the legitimacy of brokers, one can often identify telltale signs of fraudulent activity.

Chantara’s intervention not only protected the customer, but also highlighted the need for continuous vigilance and skepticism in the face of enticing financial offers.

Urgent!

Scammers are skilled at creating a sense of urgency and pressure, compelling their victims to act quickly without due diligence.

ANZ Scam Assist officer Reza Ebrahimi underlines the importance of reporting scams to financial institutions as soon as possible to give the best chance of recovering funds.

For Reza, combating financial scams is more than just a job; it is a passion driven by the desire to help people. The emotional impact of preventing a scam can be profound. Customers have been moved to tears of happiness when saved from financial ruin.

Despite the challenges of dealing with skeptical customers who may not believe they are victims, the fulfillment of making a positive difference keeps Reza motivated. It’s critical customers guard personal information closely, he says.

“Scammers often require victims to provide sensitive details such as driver's licenses, passports and other personal documents. With this information, scammers can apply for loans and conduct transactions in the victim's name,” he says. “By refusing to engage with scammers and keeping personal information secure, individuals can significantly reduce their risk of becoming victims”.

The fight against financial scams is ongoing and requires constant adaptation and vigilance. As scams continue to evolve, it is imperative both individuals and institutions remain informed and proactive.

By fostering a culture of awareness and support, we can create a safer financial environment for everyone.

Ruth Talalla is Scams Portfolio Lead at ANZ