Australians lost $260,000 to PayID-specific impersonation scams last year, according to Scamwatch, while total scam reports to NAB increased 38 per cent year-on-year.
NAB has seen an increasing number of scams related to fake PayID communication in recent weeks, as thousands of Aussies look to ramp up side hustles or become more engaged with their finances to deal with rising cost-of-living pressures.
NAB Economics research showed 53 per cent of Aussies are holding on to around $1,500 worth of unwanted goods but many are deterred from selling items because of social media hassles.
NAB executive group investigations & fraud, Chris Sheehan, said PayID deception was the latest impersonation scam and the true number of scams impacting the community was expected to be higher given many aren’t reported.
“No one wants to try to sell their old couch, fridge, phone or pram and it inadvertently end up costing them. Unfortunately, that’s what’s happening more and more when people try to sell items online,” Mr Sheehan said.
“Just as online marketplaces have replaced garage sales as the go-to option to sell second-hand items, the way we make and receive payments is also changing.
“PayID is a relatively new payment method and is quick, safe and simple. It is also free — and the biggest red flag of any PayID-related scam is often if someone asks you for money to upgrade an account or to access PayID. There are never any charges related to using PayID.
“It is also important to remember PayID will never send you an email, text or message directly. If you receive one of these, it is a scam.
“Cyber criminals are sophisticated and we’re unfortunately now seeing them try to exploit PayID given, on the whole, it isn’t as familiar to the community as other ways to send and receive money.”
Mr Sheehan encouraged Australians to learn about PayID so they could see through scams.
“Educating yourself about PayID and remaining vigilant means you’ll be more likely to spot red flags,” he said.
Mr Sheehan said scams were a society-wide issue and underlined the need for greater collaboration across government, business sectors, and the community to stop the crime.
