What are scam text messages?

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min

Text scams occur when someone impersonates an organisation or individual and sends you a message that contains an urgent request, such as paying an overdue toll or claiming a refund, with a link or a phone number to call.
Receiving an unexpected text with a sense of urgency with a link in the message is one of the many red flags that it might be a scam.
The scammer will often impersonate trusted organisations, such as the post office or a bank, through text message spoofing or by mentioning the organisation name in the text message, but they can also pretend to be a family member, such as your child.

Texting is a convenient form of communication, and it’s one of the most popular ways we communicate with each other.

According to the Australian Communications and Media Authority, around 96% of Australians use their phones to text people, be it a family member, friend or colleague.¹ And it’s not just the younger generation who are sending fun emojis and checking in with their loved ones – just over half of older Australians text their family and friends, which is around 2 million people across the country.²

However, scammers often exploit our love for texting to target their next victim. With the right technology, they could send hundreds of texts daily, hoping someone would respond or follow their instructions. In fact, sending a text message (usually with a suspicious link) is one of the top three ways a scammer might contact you.³

That’s why knowing how to spot these text message scams might assist in communicating with your loved ones safely and avoid being scammed.

What is a scam text message?

A scam text is a form of SMS phishing (also known as ‘smishing’) where scammers send you text messages to lure you into clicking a link and following instructions. This link often leads to a fraudulent website designed to steal personal information or install malware on your device.

How do scam texts work?

The scammer typically impersonates trusted organisations, such as your bank, a government agency, or even a loved one, like your child. Using special technology, they can use a tactic called ‘spoofing’. When a scammer ‘spoofs’ their sender ID, they can make texts look as if they are coming from the legitimate phone number or sender ID (the name that pops up when you get a text) of the organisation they are pretending to be. This makes fake texts appear in the same threat as real ones – so you might not notice the difference.

If you fall for a scam text, the scammer can use the information they’ve collected from you to steal your money or engage in other fraudulent activity, such as applying for a loan in your name.

How can you try to spot text scams?

Unexpected text message. You receive a text out of the blue and it might ask you to click a link to share personal information or make a payment.
Urgent call to action. Often the text may give you a false sense of urgency to pressure you to act immediately. For example, you might be threatened with fines, account suspension, or it may claim you’ll miss out on a refund if you don’t respond right away.
Suspicious links. Always check the URL in the message. If the link doesn’t match the official website of the organisation - or doesn’t look right, it could be a phishing link.
Texts from an organisation that you’ve never interacted with. For example, if you don’t use toll roads but receive a text claiming you owe an unpaid toll bill, it’s likely a text scam.

What should you do if you receive a scam text message?

Stop, pause, and think before you reply or do what the message tells you to do. This can help you identify if the message is a scam.
Avoid clicking on links or calling phone numbers in the message. This can lead you straight to a fake website or scam caller who will try to manipulate you into handing over personal information.
Call the organisation or the person back using a number you found independently, such as on the back of a banking card or in your phonebook. Verify that they were the ones who contacted you.
Never share your personal or banking information by text message.
Report the text message to Scamwatch, or to the organisation being impersonated.
Turn on your phone’s spam filter or download a legitimate third-party scam text blocker, such as Robokiller and Truecaller.
Reach out to your telco to report the scam text message or to get advice on how to stop these text messages.

5 common scenarios of scam text messages

As you’ll see, you might receive many types of scam messages. While we’re not more likely to receive one type over another, our behaviours (like the companies we trust or are used to hearing from) might make us more susceptible to some text scams than others.

1. Bank impersonation

A scammer might impersonate a bank and send you a text message claiming there’s unusual activity on your account, you have a notification, or even that you need to pay a credit card fee. However, banks will never send you a text message asking for personal details or payment.

If you click on a link in one of these messages, it can take you to a fake version of your bank’s website, where you might be prompted to log in and share your personal information. If you follow the instructions, the scammer will use that information to impersonate you when they talk to your bank to steal your money for their financial gain.

2. You’re entitled to a refund

A scammer might send you a text message claiming that you’re owed a refund, even though you haven’t requested one or made a purchase. To reclaim your money, you’re instructed to click a link in the message and provide your bank account details. However, when you click on the link, the scammer installs malware on your device and steals essential data and files to use in other scams and criminal activities.

This type of scam text message often lacks information about who is providing the refund, specifies an amount in Australian dollars, and cites an oddly specific figure you’re supposedly entitled to receive.

3. Outstanding toll payment

The scammer pretends to be from a toll road company and sends you a text message claiming your toll or e-tag payment is overdue even if you don’t have an account with that toll company. The message demands that you click on the link immediately to pay the overdue toll and avoid any penalties. When you click on the link, you are redirected to a fake website and prompted to pay. However, you unintentionally pay the scammer directly instead of paying the toll company.

4. Parcel redirection

Whether taking advantage of end-of-financial-year bargains or gearing up for the Boxing Day rush, everyone loves a good sale – and so do scammers. They will capitalise on the fact that we’re shopping online during these sales and send out heaps of text message scams claiming to be from the post office with information about your parcels.

Here’s how these text scams work: you’ll receive a message from the scammer claiming that your delivery has failed. The message will contain a link and instructions for you to click on it to choose a new delivery date or location. If you click the link, you might be prompted to enter your personal information to verify your identity or to make a small payment for parcel redirection. The scammer will steal your personal or banking information to use for themselves, such as impersonating you to carry out other types of scams.

5. ‘Hi Mum, I lost my phone’

Imagine receiving a text message from ‘your child’ out of the blue, stating that they lost their phone and are using a spare. They ask you to text them at the number in the message because they’re stressed about an urgent bill they need to pay and need your help paying it. Your parental instincts kick in, and you text them back. The scammer will play up the distress and worry to try and manipulate you into paying the bill for them. Because you’re worried about your child, you ask the scammer for their bank account details so you can transfer them some money. They’ll send you their banking account information, so when you transfer the money, you’re paying the scammer directly – and you won’t know until you speak to your real child again.

What can you do if you think you’ve been scammed?

If you have shared your banking details, contact your bank immediately to notify them that your account has been compromised. If you’re an ANZ customer, contact us immediately to report the fraud.
If you shared credit card details, ‘block’ or cancel those cards immediately. If your cards are with ANZ, you can report the stolen card through the ANZ app or by calling us.
Block the number, and don’t communicate with the scammer. If your phone has the option to report the number, do so.