Advice on banking scams

Banking officials are predicting scam related complaints will increase this year prompting a banking ombudsman to put out a guide to help customers avoid getting caught up.

Photo: file.

Banking Ombudsman Deborah Battell says scams are not only increasing, but they are becoming more sophisticated and audacious.

It is also becoming harder to get your money back because, with improved technology and payments systems, money moves in and out of accounts more quickly, limiting the opportunity to stop or reverse payments.

"Many people think banks can stop or reverse payments but the ability to do this is limited, especially if the customer has authorised the payment. They also expect banks to monitor customers' account activity.

'Although banks do put considerable resources into identifying and preventing scams, they are not generally obliged to closely monitor each customer's transactions."

She says customers must always be on guard, and be especially wary if they are being asked to send money overseas.

To avoid getting caught out, it is suggested people ensure they know who they're dealing with by undertaking an internet search and look for reviews; check Consumer Affairs' scam alert website; ask for a physical address able to be checked; and look the company up on the Companies register.

Other tips include checking with someone independent and trustworthy before you commit to anything, and don't give out account details or authorise payment unless the business is established and trusted.

Deborah advises to never accept money into your account for subsequent transfer to others, never give out account passwords, and check your accounts regularly to ensure money is only going to the right places.

Any likely scams are to be reported to your bank and Consumer Affairs via its website.

She says contact your bank immediately if you suspect you have been scammed. It may be able to contact the scammer's bank and have the charges reversed.

'At the least, if it knows about the scam, it may be able to protect others from being similarly scammed.”

The Banking Ombudsman is an investigation and dispute resolution service for bank customers. It is funded by banks but designed to be independent.

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3 comments

I

Posted on 12-01-2015 08:52 | By Capt_Kaveman

Think banks need to move with the times, if someone like these scams put withdraw-able money into someones account then it should be even harder to reverse it


JoeBlogs

Posted on 12-01-2015 13:04 | By murrayvsmith

I tried for 45 minutes to contact a bank. The tried the option for sales which responded immediately but wouldn't do anything about a scam, just put me in the queue to wait another 45 minutes, so I gave up.


Scam

Posted on 13-01-2015 08:25 | By Ladradog

I had one tried on me last week. A call on my mobile about share purchases. The number the call came from was 0060100208857. This is a number from Malaysia. I never got the full gist of what they wanted, because as soon as the purchase of shares were mentioned, I terminated the call and they did not ring back. Be aware of this.


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