While community awareness of fraud and scams is increasing – an encouraging trend – scammers are also exploiting this knowledge, luring individuals into actions that can compromise their security, according to Westpac.
Bank impersonation scams have proven particularly effective, as the scams team at Westpac continues to witness individuals falling victim to these tactics.
In one common scenario, a customer receives a call from someone claiming to be from their bank, warning of a security breach.
The impersonator informs the customer that unauthorised transactions have been made from their account and reassures them that they will be refunded and the compromised account closed – if they simply follow a few straightforward steps.
These steps often involve the customer providing login credentials and security codes, which grants the scammer access to their account.
There have also been instances where callers pretend to be from popular online marketplaces, claiming they have detected suspicious activity on the customer’s account.
To protect their account, the customer is misled into providing remote access to their device and sharing their internet banking details.
These scams exploit genuine security concerns and the desire for individuals to protect themselves.
It’s crucial to be cautious of any unsolicited calls warning you about a scam attempt or security breach, even if the caller claims to represent a familiar organisation.
If the remedy involves disclosing sensitive personal information, that’'s a significant red flag.
Such requests should always be verified by calling the organization directly using a trusted number.
Despite the ongoing challenges, Westpac is observing a positive trend in scam activity, thanks to enhanced security measures and improved education that are helping to reduce losses.
Customer net scam losses in the year ending September 30 decreased by nearly 30%, with the number of scam cases down 26%.
In the past 12 months, Westpac has introduced security features such as Verify and SaferPay in its banking app and online banking platform. Westpac Verify alerts customers to potential account name mismatches when entering new payee details, while SaferPay prompts the customer with a series of questions regarding high-risk payments.
Westpac will soon roll out its SafeCall feature, which will enable registered customers to receive verified branded in-app calls—an additional tool to combat bank impersonation scams.
For more information on how to identify and avoid bank impersonation scams, be sure to check out the Scam Spot video.
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