Scam tactics are becoming increasingly sophisticated and New Zealand’s national response needs to evolve accordingly.
Online safety organisation Netsafe said Kiwis reported a combined loss of $10.1 million from online scams and fraud in 2017. The largest single loss reported was $480,000 and the average loss was $10,771.
According to Netsafe, the figures represent only a small percentage of the total losses, as many people feel a sense of embarrassment or hopelessness about reporting scams. However, New Zealanders should not accept scam losses as inevitable and more should be done to stop the losses, Netsafe CEO Martin Cocker said.
“The first step is to stop thinking of scam victims as greedy or foolish,” Cocker said. “We need to correct that misconception, get more creative with prevention education, and improve coordination between the agencies and organisations that can disrupt scam and fraud activity.”
The majority of the scams reported to Netsafe are tech support scams. Scammers make contact about a fake issue with a computer and offer to fix it by requesting remote access to the device.
Netsafe outlined tips that brokers can give their clients to protect themselves from scams. These include:
- Don’t respond to phone calls or contact about your computer asking for remote access to fix it. No-one will contact you out of the blue about a problem with your computer;
- Use good, strong passwords on your online accounts and don’t tell anyone what they are. Legitimate organisations will never ask for your passwords. Use two-factor authentication on accounts where you can;
- Think carefully before entering your details online, or giving them to someone;
- If someone offers you money or makes another offer, but you have to make a payment upfront, ignore it;
- Use a good antivirus and keep your software up to date;
- Be wary of unusual payment requests. Scammers try to use payments that can’t be traced such as pre-loaded debit cards, gift cards that can be used online, iTunes cards or money transfer systems;
- If you’re using a trusted trading or booking website or app, always complete the deal using the payment system in the platform.
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