💸 Behind the Headlines: Understanding How One Couple Lost $800,000 to a Scam
/Imagine you're closing on a dream home or finalising a big project for your business.
You receive an invoice, make the payment, and think all is settled.
But then, you get a call about an unpaid bill.
Suddenly, you realise that payment went not to your real estate agent or supplier but straight into a scammer’s pocket.
That's exactly what's happening more frequently across Australia, as fake invoice scams gain traction.
Last year, Australians reported a staggering $16.2 million lost to these cunning payment redirection scams. The scale of the losses is eye-opening, with one couple alone losing over $800,000 during a property settlement.
📑 What's the Deal with Invoice Scams?
Here's how it works: scammers impersonate real businesses by sending fake invoices to customers they've recently dealt with.
These invoices might look legit at first glance, but they've got one crucial difference—the payment details have been changed to redirect the money straight into the scammers' pockets.
Sometimes, they use compromised email accounts from the business, or they set up email addresses that look eerily similar to the real thing.
The worst part? Victims often don't realise they've been scammed until the actual business contacts them to say, "Hey, where's our money?"
🎯 Who's at Risk?
The ACCC (Australian Competition and Consumer Commission) reports that these scams typically target customers of businesses that send out big invoices regularly—think real estate, legal firms, and construction companies.
But scammers are branching out. Even customers of travel companies and car dealerships are getting hit.
There's a case where a couple lost over $800,000 while finalising a property settlement because they trusted a fraudulent email from their solicitor's email address.
Another Australian man lost more than $35,000 after scammers compromised the email account of the car dealership he was buying from. He paid the deposit through the dealership's official website, but the follow-up invoice he received was fake.
🛡️ Safeguarding Your Business
To dodge this trap, a simple rule is golden: verify then pay.
Before making substantial payments, take a moment to confirm the invoice details directly with the business. And always use contact information you've sourced independently, not what’s on the suspicious invoice.
If the worst does happen and you suspect a scam, acting swiftly is crucial. Contact your bank and Scamwatch immediately to report the incident and seek help.
🔒 Reflection for Your Business
This surge in invoice scams is a jolting reminder of the vulnerabilities in digital transactions.
How secure are your current practices?
When did you last review your transaction security protocols?
Discussing these questions with a tech partner can not only reinforce your defences but also transform your approach from reactive to proactive, ensuring your business remains secure and trusted.
It's not just about safeguarding assets—it's about fostering trust and credibility in every transaction you make.
Let's take this as a call to action to review, refine, and reinforce our business practices against such deceptive threats.
