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NLFS Blog

Please be aware of email & phone scams

7/8/2023

 
In an ideal world this email would be unnecessary but sadly we’re seeing and hearing of an increasing number of email and phone scams.

Emails from Nigerian princes promising untold riches are still around, but scammers have become increasingly sophisticated to the point where it can be very hard to detect what’s genuine and what’s not.  
You may have read in the press in recent weeks about an AFL footballer who lost his life savings to scammers who joined an existing text chain with his bank and also called him from a number that he identified as being from his bank. 
I’d like to highlight a few scams that we’ve seen and to provide some tips for how they can be avoided. 
 

Government and tax related scams 
This time of year, when many are preparing to lodge their tax return, is rife for scams. 
Some scammers target myGov accounts as it’s a single source of a lot of information from unsuspecting targets. 
They also count on people responding to something that seems to come from the government, especially if it suggests that they’re due a refund or if it contains threats of legal action. 
The government has prepared some detailed information about the scams that they’re aware of  - please follow this link for more information - https://www.servicesaustralia.gov.au/active-scams?context=60271#accordion3: 
One of the themes common to many of these scams is that they contain the name of a government agency – myGov, Centrelink, Medicare, ATO etc – so at face value they appear genuine. 
Scammers will also use the names of well-known institutions – especially banks. 
​

Types of scams
Fake invoices:
Scammers send what appears to be an invoice from a company but have changed the bank details to their own account. Victims pay the invoice believing that the money is going to the right place. 
Phishing:
Emails and texts that appear to come from a legitimate source (eg: the above government and tax related scams). The emails or texts contain a link to input personal information or login details.
Remote access:
Scammers gain access to download software onto your computer that enables them to access data. This can also be executed via a phone call where the scammer claims to be a tech expert who can help fix an issue with your computer.
Others:
Threats (eg: legal action), extortion, dating scams, investment scams and fake charities are some other means of scamming.
These are only a selection. The Scam Watch website contains a more complete list of known and possible scams - https://www.scamwatch.gov.au/

How can you identify if something is a scam?
 
This is the hard part because scammers have become very sophisticated.
 
A few tips:
  • If something seems too good to be true, then it probably is.  The chances of you winning money or obtaining an unexpected refund (however small the amount) is low.
  • The ATO won’t send you a text message with a link to click to obtain your refund (or for anything to do with your tax return).
  • Government agencies, banks and other organisations won’t ask you for personal information or login details over the phone and you should automatically be suspicious of anyone who does.
  • The government won’t threaten legal action over the phone, via text or via email.
  • Check the email address of the sender. If it doesn’t correspond with the government, agency or company that the sender purports to represent then delete the email immediately. Government email addresses always end with .gov.au (as do their websites).
  • Don’t click on any links in any emails unless you know them to be genuine.
  • If someone is pressuring you for information or action, then it’s likely a scam.
 
How can you protect yourself against scams?
 
It can be intimidating if you’re contacted by the government, the ATO or by a bank, but if in any doubt it’s best to assume that it’s a scam. It's better to wrongly accuse a scam than to give thieves access to your information.
  1. Government agencies and banks will never pressure you to give information or to act via an email, text or phone call.
  2. Guard your personal information as you would your home. Don’t ever give your personal information to anyone over the phone, via email or via text unless you know it to be genuine. 
  3. Don’t use passwords that are easily identifiable. There are a number of secure sources available for password generation and storage.
  4. Download and maintain virus and email protection software (many are via paid subscriptions, but the investment is worth it).
  5. If you’re contacted by phone and you have any doubts about the legitimacy of the caller, then hang up immediately. You can call them back via numbers published on the website of the alleged caller to be sure that you’re getting through to someone genuine.
  6. Don’t ever transfer funds from your bank account to a new third-party account unless you know that the other account is genuine (ie: the account details have been provided via an invoice from someone you know to be genuine).
  7. Your bank will never call you to instruct that you send funds to another (“safe”) account. In the event that an existing account or credit card is hacked, they’ll set up new accounts/cards for you that you’ll have access to.
  8. If you receive a text or an email with a link enclosed, then assume the link to be dangerous unless you know otherwise.
  9. Assume that anyone calling unannounced at your home is up to no good.
 
What to do if you fear that you’ve been scammed or that your personal information has been accessed:
 
  1. Don’t be embarrassed or hope that it will all go away. Take action.
  2. If you fear that your bank account details have been obtained or that an account or card has been hacked, then call your bank immediately and ask them to put a stop on the account/card. Banks have become quite good at identifying suspicious activity on accounts, but it’s not foolproof.
  3. Contact any other agencies that you think might be impacted – eg: Centrelink or Medicare. They can lock your account and issue you with new cards where necessary.
  4. Contact other agencies (eg: drivers licence, passport) if those details have been accessed. New documents can be issued where necessary.
  5. If your computer has been accessed, then download and run anti-virus software to identify and remove any threats.
  6. Change all online passwords, including social media.
  7. Contact a credit reporting agency to see if anyone has tried to open an account or to access credit using your name and identity - https://www.idcare.org/fact-sheets/engaging-credit-reporting-agencies. Suppression actions can be taken to lock your credit file for a period of time.
  8. Report the scam. https://www.cyber.gov.au/report-and-recover/report is a link to a government agency where you can report scams for investigation.
  9. Contact the police – especially if you’re being threatened or extorted.
 
A note about superannuation, pension and investment accounts:
 
The platforms that we deal with spend a significant amount of time and money ensuring that their online services are secure. 
 
Where you’re entitled to access your superannuation, withdrawals (income streams and lump sums) can only be paid to a bank account in your name or in a joint name. These accounts will always be verified by the platform prior to any payments being made.
 
We sometimes receive emails from clients asking for money to be paid from an investment account to a third party. For first time payments our process is to call you to confirm that the request is genuine, and we will ask for signed withdrawal paperwork as confirmation where required.
 
Platforms are also using two factor identification (eg: codes sent via text) to validate payments.
 
As always, please contact our office for more information or at any time that you’re concerned that you may have fallen victim to a scam if we can be of assistance.


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