$211 million in scam losses this year

Australians have reported a record $211 million in losses to scams this year, an increase of nearly 90% for the same period last year.

The ACCC’s Scamwatch service is urging people to be extra vigilant.

“It’s very concerning to see these scams evolving and becoming more sophisticated to steal even more money from unsuspecting people,” ACCC Deputy Chair Delia Rickard said. 

“While the proportion of reports involving a financial loss has dropped this year, the people who do lose money are losing bigger amounts. The average loss so far this year is about $11,000, compared to $7000 for the same period in 2020.”

Many of the losses are from phone-based scams, which accounted for over $63.6 million. Of the 213,000 reports that Scamwatch received this year, 113,000 related to phone scams.

Scammers call or text people, claiming to be from well-known businesses or government departments, in an attempt to steal personal information.

“Scammers are pretending to be from companies such as Amazon or eBay and claiming large purchases have been made on the victim’s credit card. When they pretend to help you process a refund, they actually gain remote access to your computer and steal your personal and banking details,” Rickard said.

“In August, the new Flubot malware scams masquerading as fake voicemail and parcel delivery scams exploded, which have resulted in more than 13,000 reports in just eight weeks.”

Rickard said these scams are particularly concerning in the current climate, as many people have turned to online shopping during COVID-19 lockdowns.

Scamwatch has noticed a significant increase in losses to phishing scams (261%), remote access scams (144%) and identity theft (234%). Losses to investment scams have also risen dramatically (172%) in 2021.

“The rise in identity-theft-related scams is particularly concerning as scammers can use the personal information they obtain for use in other crimes,” Rickard said.

People are encouraged to report scams to Scamwatch even if they have not lost money. The reports provide key information about emerging scams and trends. This information allows Scamwatch to work with a number of private and public organisations, including government agencies and law enforcement, to help disrupt scams and provide the best possible advice about how people can protect themselves.

For example, the ACCC has been sharing alleged scammer phone numbers with telecommunications providers for investigation and potential blocking, and has been working with the banks to raise awareness with their customers who may have been compromised by Flubot.

Rickard says it is important not to click on links in messages that arrive out of the blue and to never provide personal or banking details to someone you don’t personally know or trust.

“If you think something might be legitimate, call the organisation or government agency back using details you find in an independent search, rather than the details provided,” she said.

Anyone who has provided their banking details to a scammer should contact their bank or financial institution as soon as possible.

People who suspect they may be a victim of identity theft should contact IDCARE on 1800 595 160 or via www.idcare.org.

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