Media Release
Monday, December 03 2012, 10:38 AM
This is a joint media release with the ABA and AFP.
With Christmas shopping in full swing and holidays with friends and families being planned, banks aim to work with you so that fraudsters don’t spoil your festive season.
The Australian Bankers’ Association (ABA) says banks will be playing their part to protect customers with their strong security systems but consumers can also take some simple steps to reduce the risk of fraud.
Online shopping
Online shopping is very popular and convenient but it’s important that you determine that you’re using a reliable and trustworthy retail website. At the same time, banks’ security systems will be continuing to monitor your accounts.
Steven Münchenberg, Chief Executive of the ABA, said: “Banks have computer systems which monitor and detect suspicious transactions, even before a customer may notice anything odd on their account. If banks suspect that your card has been stolen or the account has been compromised, then they will take action to protect accounts.”
“We are also encouraging consumers to take some basic safety precautions and to protect their personal information especially when shopping online.”
All consumers should be aware that Internet technology can allow virtual strangers to obtain large amounts of personal information, relating to a wide range of activities. Be careful what you post online as criminals seek information which they can use to defraud.
The Australian Federal Police (AFP) is dedicated to preventing all Australians from becoming victims of online crime by empowering them to use technology safely and responsibly.
AFP National Manager High Tech Crime Operations Neil Gaughan said shopping online is often a convenient and cost effective way to purchase products but consumers need to safeguard their personal information as they would if they were shopping at a physical store.
“Consumers need to ensure they protect their personal and financial information. Following basic security measures will prevent fraud and the disappointment and stress of financial loss when goods thought purchased are not received,” Assistant Commissioner Gaughan said.
When buying online, sometimes businesses request large amounts of information they don’t need, so think about limiting the amount of information before providing it. Never send your credit card number by e-mail. E-mails are not secure.
Common sense applies when it comes to online shopping. Make sure that you are shopping with a trusted retailer before you provide personal information and that they will protect that information.
Businesses – both large and small – need to be vigilant when it comes to security around transactions. Businesses need to consider the physical security of their merchant terminals, potential vulnerabilities in their business information systems; and the security of any online presence including business web pages and online transaction systems.
Holidays
It’s important for banks to have your up-to-date contact numbers – mobile, work and home phone. If banks see suspicious transactions on your account they will block the card to prevent more fraud occurring and then may try to contact you.
Mr Münchenberg said: “Banks may have to act very fast in such cases and if they cannot reach you, they may block your card anyway to protect your account. So it’s important they always have your most current contact details, especially if you are travelling away from home, so they can contact you.”
“Help the banks help you by informing them of your travel plans, especially if you are heading interstate or overseas. That way, transactions in another country or state won’t be surprising to bank staff.”
Scams
Criminals are active in the holiday season – acting to deceive and defraud when you are at your busiest and using ‘emotional blackmail’ to lure unsuspecting people into parting with money.
Some of the most common scams are the following:
- Hoax e-mails/phone calls – fraudulent e-mails or phone calls which appear to be from your bank or other legitimate businesses may trick you into providing personal information such as your mobile number, PIN or online banking logon details. Do not respond to these requests – your bank will never ask for information which should remain confidential such as your PIN or Intemet banking logons/passwords. If you have clicked on a link in an e-mail or provided any account information to the fraudsters, contact your bank immediately so they can take action to protect your account.
- Employment – fraudulent e-mails are sent to random addresses or advertisements are posted online promising quick commissions for receiving money and transferring it elsewhere.
- Romance – vulnerable singles are asked to receive money and send it elsewhere, or pay for travel or medical expenses; all the while being duped by the promise of a relationship.
Assistant Commissioner Gaughan said there are a large variety of online scams designed to steal money from people using the Internet.
“Scammers are skilled at exploiting any opportunity, so the themes and modes of scams vary dramatically and evolve rapidly,” Assistant Commissioner Gaughan said.
The employment and romance scams are ways criminals recruit you as a money mule to transfer funds. Money mules are the middlemen for criminals who have obtained funds by online fraud through hoax e-mails (phishing) or hacking. The criminals need a ‘money mule’ to launder the funds obtained as a result of illegal activities.
Mr Münchenberg said: “After being recruited by the fraudsters, money mules receive funds into their bank accounts and then they are instructed to withdraw the money and send it to a designated account – domestic or offshore, using a wire transfer service, minus a commission payment. This means that the people who participate in these types of scams are effectively laundering the proceeds of crime.”
Although the offer may seem attractive, any commission payments are recovered and you could become involved in a police investigation and prosecuted. Banks and police advise that in some cases these criminals, which have used you as a mule, may have links to organised crime.
If you have received money in your bank account, transferred or attempted to transfer money overseas under these circumstances, please immediately contact your bank or financial institution and the nearest State or Territory police station. Such transactions are unacceptable to banks and will usually result in the withdrawal of your banking facilities.
So remember, if you are offered an opportunity of making easy money and the offer seems too good to be true, then it probably is!
Security Tips
Following the tips below can prevent involvement in criminal activity:
- Don’t provide your PIN or Internet banking login or password to anyone;
- Delete spam and scam e-mail;
- Install and keep your anti-virus and firewall software up-to-date;
- Always logon to Internet banking by typing in your bank’s full web address, i.e. the URL;
- Don’t use public computers for Internet banking, for example, Internet cafes, libraries or hotels;
- Guard your identity information carefully and only provide to trusted people and entities – such as your date of birth, current address, driver’s licence number and passport details;
- Be cautious about unsolicited offers or opportunities offering you the chance of making easy money;
- Be wary of offers from people or companies overseas as it makes it harder to check if they are bona fide;
Take steps to verify any company which makes you a job offer, for example, address, phone number, e-mail address and website. You could check if it is a registered company in Australia; - Never give your confidential banking details to anyone;
- Always guard your personal information and be suspicious if someone asks for a host of personal details soon after contact;
Be wary of a person asking for financial assistance – be aware if you send money by wire transfer these funds cannot be recovered by banks; - Be cautious of someone asking for details of your financial status – do not provide the information.
