Rebate and refund scams online

Estimated reading time
 5 min

Key points

• A rebate scam is when someone impersonates a trusted institution (like the government or a bank) and contacts you to falsely claim you are owed money or a refund.
  
  
• If the message or caller explains you have to pay a fee to claim the money you’re owed, then it’s a big red flag that it’s a refund scam waiting to happen.
  
  
• Be suspicious of anyone who contacts you unexpectedly with a claim that you’re owed money in some capacity.

Receiving money from a government rebate or tax return can brighten your day. It’s extra money for you to put towards whatever you please – a day out with the grandkids, a new rug for the living room, or maybe it can go towards a new appliance.

However, cybercriminals capitalise on this by impersonating trusted institutions, like the government or your telecommunications provider, offering rebates or refunds (that don’t exist). In 2023 alone, Australians lost over $8 million to rebate scams¹.

“With rebate scams, there are quite a few different companies that scammers can impersonate,” says Chantara Lowe, ANZ Scam Assist Senior Officer in Customer Protection. “And these types of scams will catch you off guard, which is why it’s so important to spot the red flags and take action if you think it’s happened to you.”

What is a rebate scam?

A rebate scam (also called a refund scam, unexpected money scam, or tax refund scam) is when someone impersonates a government, bank or other well-known institution to try and steal your hard-earned money. They may contact you via email, a call, text message or even a letter in the mail.

“Someone could claim to be the Australian Tax Office (ATO) or myGov where you might get a text saying you’re entitled to a refund or rebate,” says Chantara. “And they can get your money or personal information by simply asking you to enter your bank account or credit card details to get the refund, or they might ask you to pay a fee to get your money back.”

Cybercriminals can then use this data for a multitude of reasons – transferring your money into their own bank account, taking out new lines of credit in your name, or even stealing your superannuation.

How can you spot a rebate scam?

Here are some signs to look out for if someone contacts you about receiving a rebate or refund:

• Someone contacts you unexpectedly via a phone call, email, phone message, or letter. They claim you have unclaimed money or are owed money, and you’ll have to pay a fee to access the money. Or they might ask for your personal information to verify or process the payment.
  
  
• You receive an unexpected email or letter that looks official, which asks you to pay an upfront fee to receive your tax refund or rebate.
  
  
• There’s a suspicious link in the message that appears to be from the government, bank, or other institution. The link might look real, but there’s some subtle changes, like ‘anz.co.au’ instead of ‘anz.com.au’ for example. Alternatively, the link might not match the company it’s claiming to be from or looks unusual, such as having lots of hyphens or symbols in it.
  
  
• The message sounds urgent and is pressuring you to send your personal information or pay the fee. 

5 common rebate and refund scam scenarios

1. myGov rebate scam

You might receive a text message or email from someone pretending to be from myGov. The message might say you’re eligible to claim money through a cost-of-living payment or another type of rebate, but by clicking on the link and following the prompts, you’ve given the scammer your personal information as part of a myGov rebate scam.

2. Tax refund scam

A scammer might impersonate the ATO and contact you with a claim that you’re owed a tax refund or that there was an error on your tax return. These messages tend to have a link, which encourages you to share your personal information with the scammer. But once you’ve shared that information with them, they can use it to impersonate you and get into your accounts, like your banking account or superannuation.

3. Medicare rebate scam

A scammer might impersonate a Medicare representative and explain that you’ve got an unclaimed rebate or payment. They might send you a link to provide personal information so you can claim your money. If you enter your personal details through the link the scammer sent, they can then use that to try and log into your online banking and take money from your accounts directly.

4. Government or bank impersonation

You might get a message from someone claiming to be from the government or a bank. They explain you’re owed some money, but you need to pay them a fee first. After you’ve paid their fee, the promised money never arrives.

5. Business grant scams

You might receive contact from someone impersonating a government representative. They claim your business has been awarded a grant, but the cybercriminal requests your contact details so they can send you a grant certificate, which includes a fake signature of a department head. Another sign it’s a scam is that you must pay a fee to access the grant. Once you pay the fee and share your business’ information, the cybercriminal can use that information to make a fake version of your business to conduct illegal activity.

How to protect yourself against rebate scams

If you want to help keep yourself and your loved ones safe from rebate or refund scams, here are some tips you can follow:

• “Be suspicious of anyone who contacts you unexpectedly,” Chantara advises. “Scammers can wait a long time between asking you to share your contact details through a link or over the phone and following up.”
  
  
• Don’t share your personal information or banking details with anyone, especially people that you don’t trust or know that well. The Australian Government will never ask for your personal information through email, text message, or social media.
  
  
• “Don’t go through a third party, such as by searching online and checking the first result, to verify the organisation is who they say they are,” Chantara explains. “Scammers can pay for online advertising to promote the fake number to trick you into calling them instead of the actual business. Instead, call the number on the back of your banking or government-issued card, or a business card that you have.”
  
  
• Don’t click on any links that look suspicious or can grant remote access, as this can give cybercriminals the opportunity to access your devices.
  
  
• Don’t pay any fees to access money. If there is a rebate or refund for you to claim, then you shouldn’t have to pay anything to access it.

What can you do if you think you’ve been targeted by a rebate scam?

• If you’ve shared financial information or transferred money, contact your bank immediately. If you’re an ANZ customer, contact us immediately to report the fraud.
  
  
• If you’ve shared credit card details, ‘block’ or cancel those cards immediately. If your cards are with ANZ, you can report the stolen card through the ANZ app or by calling us.
  
  
• Report the scam to the organisation being impersonated, so you can inform them of what’s happened.

Who can you contact if you’ve been scammed?

• Help others by reporting to Scamwatch or to the Australian Signals Directorate’s Australian Cyber Security Centre’s ReportCyber.
  
  
• For phishing or identity theft associated with government accounts such as Centrelink, Medicare, or Child Support, contact the Services Australia scams and identity helpdesk on 1800 941 126 or visit their website.
  
  
• You can also contact IDCare, a not-for-profit organisation providing support to those experiencing identity and cyber security concerns.
  
  
• If you’re an ANZ customer, you can report fraud or suspicious activity in multiple ways, such as through the ANZ app or by calling us