In an age where online banking has become as commonplace as a morning cuppa, the risks of cybercrime loom large, especially for those of us who may not be as tech-savvy as the younger generation. It’s a sad reality that scammers often target the most vulnerable in our society, and the story of Janet Moore, an 86-year-old pensioner from the Gold Coast, serves as a stark reminder of this threat.
Janet, a regular online banking user, found herself locked out of her Bendigo Bank account one Sunday, a red flag that something was amiss. Her suspicions were confirmed when she contacted the bank and was casually informed that her account had been compromised. The shock set in when she discovered that scammers had siphoned off a staggering $10,000 from her account through two unauthorised transactions.
The distressing situation was compounded by the bank’s response. Instead of receiving the support and understanding one would expect, Janet was met with a series of actions that added insult to injury. The bank’s investigation concluded that Janet was at fault for allowing third-party access to her account, and they even went so far as to imply that her daughter, Julie-Ann, might have been the culprit.
The bank’s offer of a ‘goodwill gesture’ of $2,000 came with the condition that Janet accept fault, an offer she refused. To add to the indignity, the bank managed to recover a mere 40 cents of the stolen funds and later retracted their compensation offer, stating that their conduct had been appropriate throughout the ordeal.
Bendigo Bank thereafter closed the case but was compelled to reopen it after the Moores filed a report with the Australian Financial Complaints Authority (AFCA).
Ms Moore, determined and resolute, likened herself to a terrier, saying, “I’m not letting go. If I was guilty, I wouldn’t be doing this.” She emphasised that $10,000 is a significant amount of money, and Julie-Ann added that they are still awaiting an explanation from the bank about why they weren’t notified about the unusual transactions. While Ms Moore has come to terms with the financial loss, her main concern now is obtaining clear answers from the bank regarding how the incident occurred.
In light of her experience, Ms Moore is backing news.com.au’s People Before Profit campaign, urging the federal government to make it mandatory for banks to compensate scam victims, following the lead of the UK. Last October, the UK introduced groundbreaking legislation requiring compensation for scam victims within five business days, unless gross negligence is involved.
Meanwhile, a Bendigo Bank spokesperson commented that while they do not address individual customer matters, they take cybersecurity seriously and are committed to protecting both their customers and systems with a range of cybercrime prevention measures.
Online banking is convenient, but it comes with risks. What actions do you believe banks or the government should take to prevent such incidents? Share your story in the comments below and help raise awareness for better consumer protection.
Also read: Scammed and blamed: One man’s $70k loss and the bank’s response
A common bank practice occurs when someone is added as a new payee and that is generally for the bank to send a 4 or 6 digital pin which you then have to use to authorise the addition of the payee to your account. This text says to not share the code with anyone. I think the text needs to go a little further and in large letters say “IF YOU ARE BEING ASKED FOR THIS CODE OVER THE PHONE THEN YOU ARE POSSIBLY BEING SCAMMED. HANG UP NOW IF UNSURE AND CALL YOUR BANK OR A FAMILY MEMBER ABOUT YOUR CONCERNS”. I believe a SCAM warning needs to be in the text.
ING have cancelled our cards when they noticed something odd. Suncorp had rung to advise of strange requests. It may be that some banks’ security oversight is not as good as it should be.
Well I would certainly advise all Bendigo Bank customers to close their accounts and bank elsewhere in complete support of the poor Lady!!!!
If the bank allowed $10k to be taken from an account without authority, they are guilty. The bad publicity alone would now have cost the bank more than $10k. Bad management.