Australians lost close to a record $2 billion to scams in 2021, despite government, law enforcement, and the private sector disrupting more scam activity than ever before, the Australian Competition and Consumer Commission’s latest Targeting Scams report revealed1.
The report is compiled from data from Scamwatch, ReportCyber, major banks and money remitters, and other government agencies and is based on an analysis of more than 560,000 reports. Reported losses to all organisations totalled almost $1.8 billion, but as one-third of victims do not report scams, the ACCC estimates actual losses were well over $2 billion.
In response to this report, the Customer Owned Banking Association (COBA) and the Australian Banking Association (ABA) are encouraging individuals and businesses to register for “PayID” to help protect against devious financial scams.
What is PayID?
Your PayID is a unique identifier linked to your transaction account and can be your email address, mobile number or ABN. It doesn’t replace your BSB and account number, which stays the same – think of it as a shortened name for your account. Once you create a PayID, you can provide it instead of your BSB and account number.
Leanne Vale, Director of Financial Crimes and Cyber Resilience at COBA, said an increased take-up of PayID is essential to combat rising financial scams.
“PayID presents the person making the payment with a confirmation screen. As this step includes the intended PayID name, this allows them to check the destination is as intended before confirming the payment,” she said.
For more on the value of setting up PayID.
Leanne Vale continued, “COBA members were some of the first banks in Australia to introduce the New Payments Platform (NPP) and PayID for their customers, and we will continue to promote activities that keep people safe from financial crime.
“Any customer-owned banking customers who are yet to register a PayID should contact their bank to find out more and set this function up for even safer digital transactions – it’s free and very simple to use.”
How do I create a PayID at Defence Bank?
Important note: This information is of a general nature and is not intended to be relied on by you as advice in any particular matter. You should contact us at Defence Bank to discuss how this information may apply to your circumstances.