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General News

1 November, 2024

Local scammed out of thousands of dollars following suspected computer hack

A Carisbrook resident has been left feeling devastated and “sick for many many days” after falling victim to a malicious scheme that has seen scammers rob them of nearly $70,000.

By Jonathan Peck

Local scammed out of thousands of dollars following suspected computer hack - feature photo

The resident, who wishes to remain anonymous, was browsing on their computer at around 8 am on September 17 when a pop-up emerged stating they had been hacked and needed to contact Microsoft urgently.

“The whole computer froze up, warnings were going off everywhere and that hadn’t happened to me before,” the resident said.

“I called the number thinking I was doing the right thing and I got my granddaughter to give me a hand.

“We were probably on the phone for about an hour and I was starting to get a little bit suspicious and I kept saying to her ‘I think this is a scam’.

“The next minute I got a call from Bendigo Bank saying ‘are you doing transactions on your computer’.

“I said ‘no as a matter of fact I’m talking to Microsoft’, [then] they said ‘hang up straight away, it’s a scam’.”

During the phone call, scammers were able to gain remote access to the resident’s computer, obtain their banking password through their internet browser password manager and complete three consecutive withdrawals of just under $10,000 each.

A further $40,000 was transferred out of the account through a POLi pay service, a third-party system that links directly into an account and works as a credit card payment with no dispute process.

Scammers also attempted to take out a further $18,500 from the account before Bendigo Bank was able to intervene and freeze the account before the transaction was approved.

The victim completed a recovery application to Bendigo Bank, however, the bank was unsuccessful in recovering any of the stolen funds.

The victim has since filed a complaint to the Australian Financial Complaints Authority (AFCA), believing the bank could have done more to protect their account.

“My question to the bank is how come the flags didn’t go up at Bendigo Bank much earlier than what they did,” they said.

“What I’m disappointed about is that four transactions went through without being picked up — these transactions should be held up for a day.

“I’m disappointed with Bendigo Bank that they haven’t gone to the trouble of following it up, I feel it’s a cop-out to say we can’t give your money back.”

Supporting the resident’s application is Computer Coaching’s Jeremy Thomas who believes the bank should be held “a little bit liable” for what occurred.

“In my opinion, scams are way more rife than they used to be. People need the expertise of the bank and their software to implement [security] systems or make it impossible for customers to set up an account without security measures like two-step authentication,” he said.

“Even though [the scammers] got in legitimately with their password, there was no two-factor authentication set up or no protection for new payees.

“What these scammers know better than I do is how these rules work with the bank — for me I’ve never been able to pay a new payee more than $100, you have to wait 24 hours before it goes through.

“A point we have brought up with AFCA is why have they allowed this POLi payment method, knowing the risk, on an account that has no prior history of using anything like that.

“It’s since been banned in Australia but they still operate out in New Zealand and a number of banks still allow integration.”

Mr Thomas, who has 28 years of experience in IT, said it’s “alarming” to see multiple residents fall victim to scams.

“Scams are getting much more sophisticated to the point where you have to be so vigilant,” he said.

“It’s alarming for me even as an IT guy and I think somebody can pull the wool over my eyes easily given a vulnerable moment.

“Some people have no idea how vulnerable they are — I’ve had people ask me to set up their phone without a passcode and I refuse because it leaves them too open.

“If you get a phone call you’re not comfortable with, hang up and that will give you time to stop and search the number or contact your branch to see if it’s real.”

A spokesperson from Bendigo Bank told The Advertiser that it urges people to “protect themselves” from the constant threat of scammers.

“Bendigo Bank attempts to recover funds lost to scams wherever possible and it goes without saying when the bank is at fault, we will reimburse customers for the loss of funds,” the spokesperson said.

“It is important customers take steps to protect themselves and do not share their passwords or allow someone they don’t know or trust to log in to their computer remotely, as it is extremely difficult to recover money that has been transferred to scammers.

“Each instance of fraud and financial crime is unique, and every scam loss is treated with equal care and consideration.

“Bendigo Bank would like to take the opportunity to remind customers of the importance of scam awareness and vigilance.

“Bendigo Bank will never ask for customer details, or request customers transfer money, download software or login via a link sent through email or SMS.

“If speaking to someone claiming to be from Bendigo Bank and unsure if the caller is legitimate, customers are urged to hang up and contact us directly on 1300 236 344.”­­

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