The most common online scams to watch out for this year

There are plenty of scams out there aiming to access your personal information and older Australians – with retirement funds, life savings, and legacies for family and charities – are often targeted. But it’s not all doom and gloom and there are ways you can avoid being scammed. We’ve done some research via the Australian Government’s ScamWatch and asked our Feros Care tech experts about the top online scams that are currently doing the rounds.

It’s important to stay vigilant as government’s Report of the National Anti-Scam Centre on scams activity 2023 released in April reveals that Australians lost a staggering $2.74 billion last year, with over 601,000 scam reports.

Here are some tips to help protect yourself and your loved ones.

1/  Investment scams

According to ScamWatch, Australians lose more money to investment scams than any other type – $1.3 billion in the last year to be exact.

Scammers leverage marketing and cutting-edge technology to make their investments seem irresistible. They promise substantial returns with minimal or no risk and frequently use high-pressure tactics to urge quick decisions, aiming to take your money swiftly – fast.

Top tips to avoid investment scams:

• Fake news articles or advertisements suggesting that a celebrity or trusted source endorses this scheme to earn significant money
• An online acquaintance (friend or romantic interest) whom you’ve never met in person starts discussing investment opportunities with you
• Emails, websites, or ads featuring testimonials and extravagant promises of high returns
• Aggressive tactics intended to rush you into action so you ‘don’t miss out’
• The ‘advisor’ assisting you claims they don’t require an Australian financial services (AFS) license
• You are encouraged to promote the scheme to friends and family in exchange for commission

2/  Product and service or impersonation scams

This is when you receive a text message, email or phone call from someone claiming to be a business or a government organisation. Usually, they request personal information and or money.

At the moment, some very common product and service scams involve the scammer pretending to be Australia Post, Amazon, MyGov, toll companies, a bank, or the ATO. It’s important to triple-check anything before clicking on links and attachments or offering any information.

 

Top tips to avoid product and service or impersonation scams:

• Don’t answer the phone to an unknown number. If an organisation really needs to get in touch, they can leave a voicemail. Even then, be vigilent
• Verify the identity of the sender by calling the relevant organisation by finding their phone number independently through the phone book or online search. This is a good way to check, for example, if your bank really needs to speak with you
• If in doubt, search for the organisation or scam on Google. Google can often correctly identify many scams
• Never send money, credit card details, or copies of personal documents to anyone you don’t know or trust
• Verify that you’re purchasing from a legitimate store rather than a counterfeit website. Look for the ABN and verify it on the government’s ABN Lookup website
• Be cautious of new social media stores offering products or services at unusually low prices.
• Ensure that any website you intend to buy from provides information on privacy policies, terms and conditions of use, dispute resolution, and contact details, along with a secure payment method such as PayPal or credit card

3/  Unexpected money scams

We’d all love to wake up to a surprise million dollars or unexpected entitlement, but text messages aren’t generally the way people are told that they’re being awarded/have access to money or a prize.

If you receive a notification claiming that you’ve won any kind of money – or any other kind of prize, such as a home, tropical holiday or a laptop – it’s likely a scam.

The scammers try to trick you into giving money or your personal information upfront. They’ll also often include some urgency to inspire you to act immediately.

 

Top tips to avoid unexpected money scams:

• If you didn’t enter a competition – you haven’t won!
• If you are asked to buy a ticket or pay a fee to claim any kind of prize, it’s probably a scam
• Keep your bank or credit card information and personal identity documents private, especially from unfamiliar or untrusted sources. Reputable organisations and government agencies will never request upfront payments to release grants or rebates
• Verify the legitimacy of an offer by consulting with your bank, a legal advisor, or a trusted friend or family member
• If you receive a message about a prize from a friend or family member on social media, confirm with them directly, outside of social media, to ensure it’s genuine
• Conduct an online search using the names or contact details provided to check for any indications of a scam

4/  Online romance scams

This is most heartbreaking scam of all. Scammers might find kind-hearted and/or lonely people via dating apps and social media platforms.

They’ll often develop a strong relationship before asking for money to help with costs associated with illness, injury, travel, or another kind of crisis. And they can play the long game – sometimes taking months to ask for cash.

Top tips to avoid online romance scams:

• Think twice before accepting a friend request from someone you don’t know
• If you begin speaking with someone online, watch out for inconsistencies in their story. For example, people who aren’t willing to video chat, claim they are overseas, serving in the army, or are mostly unavailable
• If in doubt, you can do a reverse Google search on their images to see if they have stolen them from others online

Quick general tips for avoiding scams

According to Feros Care tech guru Sunny Patel, there are some general tips you can implement to avoid scams. These include:

• Avoiding writing your usernames and passwords down anywhere where someone might see them – such as a post-it note on the computer/tablet/iPhone itself
• Change your passwords every three to six months and avoid anything that might be easily guessed
• Double-check web addresses by looking at the URL. If it has a little lock next to it, and a secure address – for example, if it starts with https:// – it’s most likely the real deal
• Be alert to scams which claim to to recover stolen funds for an upfront fee. According to information released this month from the Australian Competition and Consumer Commission (ACCC), these scams are on the rise

What happens if you have given away your information?

It might seem harmless if someone can guess your username and password but as Sunny mentions, they can use this to log into your email account and email your loved ones.

Because it’s coming from a trusted source, your loved ones may fall prey to a scam that they might not have otherwise ignored.

If you think any of your information has gone astray, try the below:

• Tell your family and friends
• Contact your bank or financial institution immediately – they can stop a transaction or close your account
• Change your online passwords
• Report it to the ACCC

How can Feros Care help?

We offer a Let’s Get Technical service which provides individual technology training specifically for seniors. Our Technical Support Officers can help you use and trust technology and learn how to stay scam-aware, in a way that makes sense to you.

To find out more about our Let’s Get Technical service, click here.