Attention, fashion lovers! NAB warns your favourite brands might be targeted by scammers
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One of the great pleasures in life for many of us is shopping for new clothes. In particular, we enjoy finding fashionable pieces at fantastic prices!
But, as with any good thing, there's always the possibility that some people are looking to take advantage of our love for bargains.
With mid-year sales season fast approaching, National Australia Bank (NAB) has issued a warning for Australian consumers to be extra vigilant about fashion scams, as they are on the rise.
Goods and services scams, which include popular fashion scams, are now the second most reported scam to NAB. The bank has reported a 66 per cent increase in these types of scams since February.
Chris Sheehan, NAB's Investigations and Fraud Manager, said that scammers are becoming more sophisticated in their methods, creating fake websites and ads that use real brand logos and photos to fool unsuspecting shoppers.
'People pay for things, and the goods never arrive, or they turn out to be counterfeit goods and are not what they are purporting to be; that is definitely on the rise,' explained Mr Sheehan.
'I suspect the reason for that is because it’s relatively easy for criminal groups to essentially spoof websites or spoof legitimate products' web presence and to get people to send funds through.'
According to Scamwatch, Australian consumers lost more than $9 million to scams in the last year. Moreover, Australians spent an average of $2,063 on clothes and shoes last year. From January to April, these fashion scams have already stolen over $2.5 million from victims.
You may think that older adults would be more likely to fall victim to these scams, but surprisingly, younger people aged 25-45 are more prone to being lured in by these fraudsters.
Mr Sheehan attributes this to their likelihood to spend more time online shopping and having a false sense of security in their ability to detect scams.
Unfortunately, counterfeit goods or poor-quality items that barely resemble their photos and descriptions are often sent to scam victims, leaving them disappointed and short on cash. One example is Renee Tayler, who paid $30 for a Country Road keychain and received a 'rubbish' product instead.
Here are some tips to help you see through an online shopping scam:
Pay attention to the payment method: Be cautious if you're asked to pay using a money order, electronic funds transfer, electronic currency like Bitcoin, or a pre-loaded money card. These methods are often associated with scams.
Stay updated through social media: Join social media groups related to your favourite brands or keep an eye on our very own Scam Watch Forum here. Users often share information about fake websites and social media accounts as they come across them.
Check reviews, contact details, and return policies: Before making a purchase, examine the website's reviews, contact information, and return policies. This is particularly important if you're shopping with the brand online for the first time.
Be sceptical of too-good-to-be-true deals: If the price of an item or its benefits sounds unbelievably good, it's likely a scam. Remember, if something seems too good to be true, it probably is.
Verify legitimacy using a reputable search engine: If you're unsure about the authenticity of a website or social media channel, close the browser and manually type the brand's name into a well-known search engine. This can help you find a legitimate website.
Know the business's location: It's easier to dispute a purchase with Australian-based companies than with ones located overseas. Consider the location of the business before making a purchase.
It's crucial to remember that if an offer seems too good to be true, it probably is. Mr Sheehan advises Australians to be cautious when browsing online shopping websites and providing their credit card details, especially during the upcoming sale season.
In order to protect yourself from fashion scams, we recommend keeping an eye out for suspicious websites, confirming contact information and email addresses, and only shopping from reputable online retailers.
It's better to be safe than sorry, so don't let scammers ruin your love for fashion!
But, as with any good thing, there's always the possibility that some people are looking to take advantage of our love for bargains.
With mid-year sales season fast approaching, National Australia Bank (NAB) has issued a warning for Australian consumers to be extra vigilant about fashion scams, as they are on the rise.
Goods and services scams, which include popular fashion scams, are now the second most reported scam to NAB. The bank has reported a 66 per cent increase in these types of scams since February.
NAB is warning shoppers taking advantage of mid-year fashion sales to remain vigilant as scammers target popular brands. Credit: Unsplash/hannahmorgan7.
Chris Sheehan, NAB's Investigations and Fraud Manager, said that scammers are becoming more sophisticated in their methods, creating fake websites and ads that use real brand logos and photos to fool unsuspecting shoppers.
'People pay for things, and the goods never arrive, or they turn out to be counterfeit goods and are not what they are purporting to be; that is definitely on the rise,' explained Mr Sheehan.
'I suspect the reason for that is because it’s relatively easy for criminal groups to essentially spoof websites or spoof legitimate products' web presence and to get people to send funds through.'
According to Scamwatch, Australian consumers lost more than $9 million to scams in the last year. Moreover, Australians spent an average of $2,063 on clothes and shoes last year. From January to April, these fashion scams have already stolen over $2.5 million from victims.
You may think that older adults would be more likely to fall victim to these scams, but surprisingly, younger people aged 25-45 are more prone to being lured in by these fraudsters.
Mr Sheehan attributes this to their likelihood to spend more time online shopping and having a false sense of security in their ability to detect scams.
Unfortunately, counterfeit goods or poor-quality items that barely resemble their photos and descriptions are often sent to scam victims, leaving them disappointed and short on cash. One example is Renee Tayler, who paid $30 for a Country Road keychain and received a 'rubbish' product instead.
Australians have had more than $2.5 million stolen from them in these types of scams in the first four months of 2023. Credit: Pexels/Karolina Grabowska.
Here are some tips to help you see through an online shopping scam:
Pay attention to the payment method: Be cautious if you're asked to pay using a money order, electronic funds transfer, electronic currency like Bitcoin, or a pre-loaded money card. These methods are often associated with scams.
Stay updated through social media: Join social media groups related to your favourite brands or keep an eye on our very own Scam Watch Forum here. Users often share information about fake websites and social media accounts as they come across them.
Check reviews, contact details, and return policies: Before making a purchase, examine the website's reviews, contact information, and return policies. This is particularly important if you're shopping with the brand online for the first time.
Be sceptical of too-good-to-be-true deals: If the price of an item or its benefits sounds unbelievably good, it's likely a scam. Remember, if something seems too good to be true, it probably is.
Verify legitimacy using a reputable search engine: If you're unsure about the authenticity of a website or social media channel, close the browser and manually type the brand's name into a well-known search engine. This can help you find a legitimate website.
Know the business's location: It's easier to dispute a purchase with Australian-based companies than with ones located overseas. Consider the location of the business before making a purchase.
It's crucial to remember that if an offer seems too good to be true, it probably is. Mr Sheehan advises Australians to be cautious when browsing online shopping websites and providing their credit card details, especially during the upcoming sale season.
In order to protect yourself from fashion scams, we recommend keeping an eye out for suspicious websites, confirming contact information and email addresses, and only shopping from reputable online retailers.
It's better to be safe than sorry, so don't let scammers ruin your love for fashion!
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