Bankwest scam study reveals WA loses $34m as scams skyrocket, doubling over last year

The number of Aussies hit by financial scams over the last year has doubled — and one particular age group has been conned the most, new data reveals. Exclusive figures provided to The Sunday Times by Bankwest shows a shocking 129 per cent increase in phishing scams targeting Australian customers over the past financial year. Overall scams are up 47 per cent, and people over 55 made up three-quarters of reported victims, compared to people aged 18 to 24 who accounted for just one per cent of cases. The bank said phishing scams — which criminals use to try to con people into disclosing sensitive information through methods including emails impersonating legitimate businesses — accounted for a whopping 69 per cent of all scam reports over the period. And as institutions increase their efforts to stamp out financial crime, tens of millions continue to be wiped from the pockets of Australians. In WA, more than $34 million was reported to Scamwatch as being lost over the past financial year. There were 717 cases of investment scams in the State reported to the body — which saw $24m being wiped away. Bankwest noted investment scams increased over the period by almost 70 per cent. Almost 9600 phishing scams were declared to Scamwatch from within WA — with the average amount lost being $2000. More than $326m was reported to Scamwatch as having been taken from Australians around the country over the financial year. Between January 1 and July 31, losses from Australians around the country are reported as being $159,826,214. Dodgy text messages accounted for 40 per cent of all scams. Bankwest recorded a significant decrease in online thugs using relationship scams — in which victims are often groomed over time before they are duped into sending money under false pretences, such as for health issues or travel expenses. Investment scams are used by fraudsters to dupe Australians into investing their hard-earned cash into fake opportunities. The cyber criminals are known to use high-pressure tactics to rush people into unknowingly throwing away their money. These often come in the form of cold calls, random messages, or ads on social media. Remote access scams decreased by a mere 14 per cent while scams that threaten harm or legal action in order to force money out of people — which include cases of sexual extortion — fell by 59 per cent. More than 5600 cases were reviewed by Bankwest as part of its study for Scam Awareness week, which begins on Monday. Bankwest head of payments, scams and fraud Phillippa Costanzo said most scams targeting Australians came in the form of phone calls, fake investment advertisements, SMS and emails. “Bankwest has committed to significant investment in its digital channels to support customers in banking safely and securely, but the best defence will always be for customers to stay vigilant and informed of the threats,” Ms Costanzo said. People are encouraged to follow the steps of “stop, check and reject” when receiving any contact in the online world — as scammers are known to impersonate reputable organisations. Text messages were the top scam tactic, followed by email and phone calls. More than 164,117 scams have been reported to Scamwatch around the country just this year. Bankwest says its tool NameCheck — which “double checks” account details before a transaction is made — has been used by customers more than 354,000 times since early June. This month, the Australian Banking Association said banks around the country were “working around the clock” to keep up with the scourge of scams. The industry’s Scam-Safe Accord campaign — which applies to the big four banks — includes initiatives such as a $100m investment in a confirmation payee system to ensure people transfer money to the right recipient. Association chief executive Anna Bligh said scammers were known to target people at any time. “Customers will start seeing more payment delays or warnings when transferring money to someone they haven’t paid before,” she said. “This will allow banks to spot red flags and help them check that money isn’t going directly to a scammer.”