As more of our lives shift online—whether it’s shopping, banking, or socialising—the risk of encountering online scams has grown significantly. Scammers are becoming more sophisticated, using a variety of methods to deceive individuals into handing over personal information, money, or access to sensitive data. It’s crucial to be aware of the risks and take proactive steps to protect yourself from falling victim.
Here’s what you need to know about the risks and what to consider when navigating the digital world.
Common types of online scams:
Phishing scams: Phishing involves fraudulent emails or messages that appear to come from legitimate companies or institutions. These emails often prompt you to click a link or download an attachment, which can lead to malware being installed on your device or your personal information being stolen. Scammers may pretend to be your bank, a well-known retailer, or even a government agency.
Fake online stores: Some scammers set up fake online stores to trick you into buying products that don’t exist. These websites may look professional and legitimate but are designed to steal your payment details. Once you’ve made a purchase, the scammer vanishes, leaving you with no product and a compromised credit card.
Investment and cryptocurrency scams: The rise of digital investments, particularly cryptocurrencies, has led to a surge in investment scams. Scammers may promise unrealistic returns on investments or claim to have insider knowledge. Once they have your money, they disappear, and recovering lost funds can be nearly impossible.
Tech support scams: In this type of scam, you may receive a pop-up warning or phone call claiming that your computer has been infected with a virus. The scammer will then offer to “fix” the problem remotely for a fee, when in fact, there is no issue. Often, they’ll try to gain access to your computer and sensitive data during the process.
Romance scams: These scams involve fraudsters creating fake online dating profiles to establish romantic connections with victims. Over time, the scammer builds trust before requesting money for an emergency, a plane ticket, or some other fabricated reason. Once the money is sent, the scammer disappears.
The risks of falling victim
Financial loss: The most obvious risk of online scams is financial. Once you’ve transferred funds or provided your payment details, it can be challenging to recover your money. Scammers often operate anonymously, making it difficult to track them down or pursue legal action.
Identity theft: Scammers frequently seek personal information such as your name, address, Social Security number, and bank details. With this data, they can open new accounts, apply for credit in your name, or even steal your entire identity, leading to long-term financial and legal problems.
Emotional distress: Beyond the financial toll, being scammed can leave you feeling vulnerable, embarrassed, and distressed. Romance scams, in particular, can cause significant emotional harm, as victims often form genuine emotional attachments to the scammer.
Data breaches and hacking: Some scams, particularly phishing attempts or tech support fraud, are designed to gain access to your computer or online accounts. Once a scammer has access to your device or login details, they can steal sensitive information, delete files, or lock you out of your own accounts.
How to protect yourself from online scams:
Be cautious with emails and links: Never click on links or download attachments from unsolicited or suspicious emails. Verify the sender by checking the email address carefully or contacting the company directly through a trusted source. Legitimate businesses will never ask you to provide sensitive information via email.
Research before you buy: Before making a purchase from an unfamiliar online store, do some research. Look for reviews, check the company’s contact information, and verify their legitimacy. If something feels too good to be true, it probably is.
Use strong, unique passwords: Protect your online accounts by using strong, unique passwords for each one. Consider using a password manager to keep track of your login details. Also, enable two-factor authentication (2FA) for added security.
Beware of high-pressure tactics: Scammers often create a sense of urgency, pressuring you to act quickly before you have time to think. Whether it’s a limited-time offer, a “problem” with your account, or an emergency request for help, take a moment to step back, research, and verify before making any decisions.
Monitor your financial accounts: Regularly check your bank and credit card statements for any unauthorised transactions. If you notice anything suspicious, contact your financial institution immediately.
Be skeptical of unsolicited requests for money: Whether it’s an investment opportunity or a personal plea for help, be cautious when someone you don’t know well asks for money online. If you’re unsure, consult with a trusted friend, family member, or financial advisor.
Invest in security software: Make sure your computer, smartphone, and other devices have up-to-date security software installed. This can help protect you from malware, phishing attacks, and other cyber threats.
What to do if you’ve been scammed:
If you believe you’ve fallen victim to an online scam, take immediate action:
- Contact your bank or credit card provider to report any fraudulent charges or unauthorised transactions.
- Report the scam to relevant authorities, such as the Australian Cyber Security Centre (ACSC), Scamwatch, or local law enforcement.
- Change your passwords for all online accounts, especially those linked to sensitive financial or personal information.
- Consider placing a fraud alert on your credit report to prevent further damage if your identity has been stolen.
Remember, if something doesn’t seem right, trust your instincts—it’s always better to be safe than sorry.
