Sophisticated scam costs Aussie couple $100,000 in two hours - here’s what you need to know!
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We all know the importance of being smart and savvy online, but sometimes it’s not enough when facing a highly-sophisticated scam.
It’s a reality check that we all need to be reminded of - fraudsters constantly evolve their techniques to dupe unsuspecting Australians out of their money.
Unfortunately, that happened to one Sydney couple, who were fleeced out of more than $100,000 in less than two hours.
Ben and Jessica began receiving an email from someone claiming to be from PayPal requesting payment.
They did the right thing and followed the standard protocol - Ben called the number provided in the email to confirm whether it was a legitimate request.
However, unbeknownst to Ben and Jessica, the call was from a scammer, and they were now vulnerable.
'The people were telling me on the phone there were multiple fraudulent transactions, and I had to go through a series of steps to get rid of those transactions,' Ben recalled.
The couple was asked to give personal details, debit card numbers, and a series of one-time passcodes, which they thought were due to cancel any fraudulent transactions.
Little did they know that every time they entered a passcode, it authorised the scammer to take away their funds.
Additionally, it was reported that the fraudster, based in Perth, spent over $100,000 in India and Kuwait, using the debit card details of Ben and Jessica's offset account, all within two hours.
Jessica added: ‘Every time they made a purchase, Ben authorised it with that one-time password.’
‘The purchases ranged from about $500 to $1100, so it's extremely unusual activity.’
The couple was also informed that while it is unclear how the cybercriminal gained access to their account, the scammer transferred $55,000 from their home loan account to their offset account, which has no spending limit. This allowed the scammer to increase the amount they could steal from them.
Macquarie Bank was unsuccessful in contacting the couple regarding their account’s suspicious activity, as Ben was on the phone with the scammer he believed to be PayPal.
While the bank managed to block the couple’s account, it was too late as $100,000 had already been transferred out of the account.
Australian Banking Association’s Anna Bligh said: ‘It's always a balance between protection and customer convenience, sometimes putting a block on a payment is something customers don't like.’
The police also informed Ben and Jessica that the money could not be tracked since the purchases were made with overseas companies.
Additionally, Macquarie Bank notified the couple that their money could not be recovered as they had provided the scammer with the one-time passcodes.
In a statement, the bank emphasised the importance of not sharing passwords or authentication passcodes with any third party.
Meanwhile, Ben said he had learned a valuable lesson from the incident.
‘There's an element of shame that comes with it: you were tricked, you fell for it,’ he remarked.
‘I consider myself savvy. I’ve fended off so many scams in the past.’
This story is an important reminder of the financial security measures out there that can be easily breached by scammers, as well as how important it is to be mindful of where our money is going and who we’re giving our personal details.
Here are a few tips to keep your money safe:
If you ever encounter a similar incident, please don’t hesitate to immediately call your bank and the police to alert them of the case. It is also recommended to report the incident to Scam Watch Australia.
Stay safe out there, folks! Feel free to share this with your friends and loved ones so they can also get informed about this scheme.
It’s a reality check that we all need to be reminded of - fraudsters constantly evolve their techniques to dupe unsuspecting Australians out of their money.
Unfortunately, that happened to one Sydney couple, who were fleeced out of more than $100,000 in less than two hours.
Ben and Jessica began receiving an email from someone claiming to be from PayPal requesting payment.
They did the right thing and followed the standard protocol - Ben called the number provided in the email to confirm whether it was a legitimate request.
However, unbeknownst to Ben and Jessica, the call was from a scammer, and they were now vulnerable.
The couple recalled how they lost $100,000 in life savings to scammers. Credit: Pexels/Tara Winstead.
'The people were telling me on the phone there were multiple fraudulent transactions, and I had to go through a series of steps to get rid of those transactions,' Ben recalled.
The couple was asked to give personal details, debit card numbers, and a series of one-time passcodes, which they thought were due to cancel any fraudulent transactions.
Little did they know that every time they entered a passcode, it authorised the scammer to take away their funds.
Additionally, it was reported that the fraudster, based in Perth, spent over $100,000 in India and Kuwait, using the debit card details of Ben and Jessica's offset account, all within two hours.
Jessica added: ‘Every time they made a purchase, Ben authorised it with that one-time password.’
‘The purchases ranged from about $500 to $1100, so it's extremely unusual activity.’
The couple was also informed that while it is unclear how the cybercriminal gained access to their account, the scammer transferred $55,000 from their home loan account to their offset account, which has no spending limit. This allowed the scammer to increase the amount they could steal from them.
Macquarie Bank was unsuccessful in contacting the couple regarding their account’s suspicious activity, as Ben was on the phone with the scammer he believed to be PayPal.
While the bank managed to block the couple’s account, it was too late as $100,000 had already been transferred out of the account.
Australian Banking Association’s Anna Bligh said: ‘It's always a balance between protection and customer convenience, sometimes putting a block on a payment is something customers don't like.’
Macquarie Bank warned customers against giving one-time passcodes to a third party. Credit: Shutterstock.
The police also informed Ben and Jessica that the money could not be tracked since the purchases were made with overseas companies.
Additionally, Macquarie Bank notified the couple that their money could not be recovered as they had provided the scammer with the one-time passcodes.
In a statement, the bank emphasised the importance of not sharing passwords or authentication passcodes with any third party.
Meanwhile, Ben said he had learned a valuable lesson from the incident.
‘There's an element of shame that comes with it: you were tricked, you fell for it,’ he remarked.
‘I consider myself savvy. I’ve fended off so many scams in the past.’
This story is an important reminder of the financial security measures out there that can be easily breached by scammers, as well as how important it is to be mindful of where our money is going and who we’re giving our personal details.
Here are a few tips to keep your money safe:
- Be aware that your bank will never call you and ask you to transfer funds. If someone claiming to be from your bank requests a transfer, it is likely a scam.
- Never provide account or personal details in an unsolicited text or email. If you receive an unexpected request for information, do not respond and contact your bank directly to verify its legitimacy.
- Financial institutions will never demand your online banking passcodes or passwords. If someone claiming to be from your bank demands this information, it is a scam.
- If the person on the phone is rushing you or creating a sense of urgency, it's likely a red flag. Take your time and verify the legitimacy of the request before providing any information or taking any action.
If you ever encounter a similar incident, please don’t hesitate to immediately call your bank and the police to alert them of the case. It is also recommended to report the incident to Scam Watch Australia.
Stay safe out there, folks! Feel free to share this with your friends and loved ones so they can also get informed about this scheme.
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