As seasoned shoppers and online users, we've likely all become savvier to the risks and challenges of scammers trying to swindle us out of our money. But sometimes, these crafty criminals can still sneak past our radar and wreak havoc on our finances.

Well, worry no more (or, at least, worry less) – the banking industry is working on a solution to curb this problem!

Introducing the Fraud Reporting Exchange (FRX), a groundbreaking digital platform currently being adopted by several major banks to combat fraudulent transactions.

This nifty new system enables participating banks to report any suspicious transactions in near real-time, either blocking the in-progress process or promptly transferring funds to their rightful owners.

Australian banks have joined forces to create a new digital platform to help stop payments from going to scammers. Credit: acfx.com.au.

Australian Banking CEO Anna Bligh understands that time is of the essence in thwarting these mischievous scammers. 'Given every minute can be crucial in disrupting scams, the launch of the FRX is a major development,' she says.

'It means more and more scammers are going to hit a brick wall, and it adds to the arsenal of anti-scam initiatives underway. This new technology allows banks in almost real-time to track money.'

So far, 17 banks have hopped on the FRX bandwagon, with a few more in the process of joining this fantastic effort. This unified approach will undoubtedly help deter scammers from fleecing thousands of dollars from unsuspecting customers while offering better protection for our hard-earned cash.

Also, the FRX system will help streamline communication between financial institutions, potentially reducing the stress on scam victims who should no longer have to deal with numerous phone calls and emails regarding their scam-related issues.

Stephanie Tonkin from the Consumer Action Law Centre sheds light on the core concept, saying, 'Can't we throw some friction through the system so payments aren't moving at that rapid speed and there's time to pause and check everything is valid?'

However, it's essential to remember that we also have a role to play in stopping these scams. Anna Bligh stresses the importance of remaining vigilant ourselves and reporting any fraudulent activity to our banks as soon as we detect it.

'The sooner that banks know about a fraud, the sooner they can take swift action to try to halt the payment before it gets to the scammers,' she advises.



The creation of FRX, owned and operated by the Australian Financial Crimes Exchange, comes as a response to the staggering losses suffered by Australians at the hands of scammers – a whopping $3.1 billion last year, up 80% from the previous year! On average, victims were scammed out of around $20,000 each.

​

Thankfully, the government is taking notice and stepping up its game as well. They're launching a $58 million package to fund a National Anti-Scam Centre, which will be dedicated to offensive attacks on criminal activity.

Assistant Treasurer Stephen Jones expands on their approach, explaining that 'fusion cells' will be formed, comprising experts from different sectors – regulators, law enforcement, finance, telecommunications, and social media platforms – to work together in 'hit squads' to tackle specific types of scams.

Key Takeaways

• The Fraud Reporting Exchange (FRX) is a cutting-edge digital platform that empowers participating banks to swiftly report suspicious transactions in near real-time.
• The primary goal of this platform is to detect and prevent fraudulent transactions as they happen, or freeze funds promptly, ensuring they're returned to customers without delay.
• Currently, 17 banks have already joined the FRX platform, and a few more are in the process of coming on board.

Even though there’s a long way to go, it’s encouraging that efforts are underway to ensure the safety and security of our hard-earned money.

It's important to acknowledge that while the FRX system represents a significant advancement in reducing the risk of scams, it is not a foolproof solution that can eradicate all forms of fraud. Nevertheless, it serves as a crucial step towards mitigating such risks.

To effectively defend ourselves against fraud, we must remain vigilant and well-informed. Staying updated on the latest tactics employed by scammers and taking proactive measures to safeguard our personal and financial information are essential. For additional information and articles, you can explore the Scam Watch forum on our website.

What are your thoughts on these recent developments? Are you optimistic about the future? We would love to hear your suggestions on enhancing the safety of online banking. Please share your insights in the comments section!

 

[Bill MacL]

Finally someone has a great idea. { Stephanie Tonkin from the Consumer Action Law Centre sheds light on the core concept, saying, 'Can't we throw some friction through the system so payments aren't moving at that rapid speed and there's time to pause and check everything is valid?'} Wouldn't it be cheaper for the banks to employ someone (not a robot) to verify by phone any suspect transaction. A couple of million paid from executive bonus's seems better than losing billions of customers money.

 

[Penny4]

Australian Banking CEO Anna Bligh says 'The sooner that banks know about a fraud, the sooner they can take swift action to try to halt the payment before it gets to the scammers."
This is a feeble statement, because the majority of people don't realise it's a scam in the first place.
I realise it can look legit for those people.
They pay the scammers, the money transfers to their account, so it's too late to notify the bank to halt it.
The public still needs to get more educated/knowledgeable, and be proactive with preventing scammers getting their hard earned money.

 

[Pat T]

Clever banks. Now that people have lost $ millions they are going to spend millions to try to stop it.If we transfer money from one account to another, within 4 minutes we have a notification saying there was a transaction. What’s wrong with the banks putting a 6 hour hold on all transactions? That’s right, they won’t get any money out of it.

 

[Ian Crane-Luff]

As seasoned shoppers and online users, we've likely all become savvier to the risks and challenges of scammers trying to swindle us out of our money. But sometimes, these crafty criminals can still sneak past our radar and wreak havoc on our finances.

Well, worry no more (or, at least, worry less) – the banking industry is working on a solution to curb this problem!

Introducing the Fraud Reporting Exchange (FRX), a groundbreaking digital platform currently being adopted by several major banks to combat fraudulent transactions.

This nifty new system enables participating banks to report any suspicious transactions in near real-time, either blocking the in-progress process or promptly transferring funds to their rightful owners.

View attachment 20004

Australian banks have joined forces to create a new digital platform to help stop payments from going to scammers. Credit: acfx.com.au.

Australian Banking CEO Anna Bligh understands that time is of the essence in thwarting these mischievous scammers. 'Given every minute can be crucial in disrupting scams, the launch of the FRX is a major development,' she says.

'It means more and more scammers are going to hit a brick wall, and it adds to the arsenal of anti-scam initiatives underway. This new technology allows banks in almost real-time to track money.'

So far, 17 banks have hopped on the FRX bandwagon, with a few more in the process of joining this fantastic effort. This unified approach will undoubtedly help deter scammers from fleecing thousands of dollars from unsuspecting customers while offering better protection for our hard-earned cash.

Also, the FRX system will help streamline communication between financial institutions, potentially reducing the stress on scam victims who should no longer have to deal with numerous phone calls and emails regarding their scam-related issues.

Stephanie Tonkin from the Consumer Action Law Centre sheds light on the core concept, saying, 'Can't we throw some friction through the system so payments aren't moving at that rapid speed and there's time to pause and check everything is valid?'

However, it's essential to remember that we also have a role to play in stopping these scams. Anna Bligh stresses the importance of remaining vigilant ourselves and reporting any fraudulent activity to our banks as soon as we detect it.

'The sooner that banks know about a fraud, the sooner they can take swift action to try to halt the payment before it gets to the scammers,' she advises.



The creation of FRX, owned and operated by the Australian Financial Crimes Exchange, comes as a response to the staggering losses suffered by Australians at the hands of scammers – a whopping $3.1 billion last year, up 80% from the previous year! On average, victims were scammed out of around $20,000 each.

​

Thankfully, the government is taking notice and stepping up its game as well. They're launching a $58 million package to fund a National Anti-Scam Centre, which will be dedicated to offensive attacks on criminal activity.

Assistant Treasurer Stephen Jones expands on their approach, explaining that 'fusion cells' will be formed, comprising experts from different sectors – regulators, law enforcement, finance, telecommunications, and social media platforms – to work together in 'hit squads' to tackle specific types of scams.

Key Takeaways

• The Fraud Reporting Exchange (FRX) is a cutting-edge digital platform that empowers participating banks to swiftly report suspicious transactions in near real-time.
• The primary goal of this platform is to detect and prevent fraudulent transactions as they happen, or freeze funds promptly, ensuring they're returned to customers without delay.
• Currently, 17 banks have already joined the FRX platform, and a few more are in the process of coming on board.

Even though there’s a long way to go, it’s encouraging that efforts are underway to ensure the safety and security of our hard-earned money.

It's important to acknowledge that while the FRX system represents a significant advancement in reducing the risk of scams, it is not a foolproof solution that can eradicate all forms of fraud. Nevertheless, it serves as a crucial step towards mitigating such risks.

To effectively defend ourselves against fraud, we must remain vigilant and well-informed. Staying updated on the latest tactics employed by scammers and taking proactive measures to safeguard our personal and financial information are essential. For additional information and articles, you can explore the Scam Watch forum on our website.

What are your thoughts on these recent developments? Are you optimistic about the future? We would love to hear your suggestions on enhancing the safety of online banking. Please share your insights in the comments section!

Pity we didn't have something similar to block incompetent Premiers a few years ago

 

[Ricci]

Back in the day when cheques were king everybody complained about a three day clearance of funds. These days electronic transfers have sped up those clearance rates and now we're all complaining it's too fast. There has to be some happy medium for large transactions, say one day for transactions over $1000 and 36 hours for transactions over $5000 with customer confirmation needed.
The scammers would soon realise that Australia was not easy pickings like it has been and would cease or drastically reduce their nefarious activities.

 

[Mr Chips]

Anna Bligh is a very motivated person, I had a few dealings indirectly with her a few years back when she was at St George Bank. She will get things happening pretty smartly. In the meantime perhaps our top secret (except for everyone in the population) armies should infiltrate Mumbai and blow up all the old office blocks there. That would end about 90% of spam activity around the world.

 

[Malkosh1]

Do you know that the government protects the banks, not the consumer, regarding fraudulent transactions? In one case, I took this matter up to the ministerial level, but to no avail. Please read my article: Every Care Taken But No Responsibility.

Every Care Taken But No Responsibility

The world around does not help us clear our perceptions. It can confuse us further. In this article, I am trying to show how the world manipulates the individual. Please become aware of the surrounding traps and avoid them if you can. If you become a victim, do not hesitate to expose the traps...

ezinearticles.com

 

[Penny4]

Do you know that the government protects the banks, not the consumer, regarding fraudulent transactions? In one case, I took this matter up to the ministerial level, but to no avail. Please read my article: Every Care Taken But No Responsibility.

Every Care Taken But No Responsibility

The world around does not help us clear our perceptions. It can confuse us further. In this article, I am trying to show how the world manipulates the individual. Please become aware of the surrounding traps and avoid them if you can. If you become a victim, do not hesitate to expose the traps...

ezinearticles.com

Thanks for that. Interesting reading. I might query about the comparison to Medical Doctors. Patients have to always sign a consent form before any surgery, explaining the risk factors. They can be accountable to the Medical Board, but not to patients and extremely difficult to sue for medical negligence. The majority of the public couldn't afford the court/Legal fees if they lose.

 

[Malkosh1]

Thanks for that. Interesting reading. I might query about the comparison to Medical Doctors. Patients have to always sign a consent form before any surgery, explaining the risk factors. They can be accountable to the Medical Board, but not to patients and extremely difficult to sue for medical negligence. The majority of the public couldn't afford the court/Legal fees if they lose.

Thanks for your comment. I thought the medical profession had become the milking cow for the consumer under the present laws. AHPRA investigates all genuine or spurious complaints against the doctors and treats them as guilty merely based on the patient's words. The patient does not incur any expenses. It is unjust and unfair to the profession, where most doctors work hard to provide the best possible treatment. One way or another, we are all accountable. The law does not protect us and is in favour of the consumer.