Australian business
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Email scams remain a real threat to Australian business owners and cost large sums each year. One version, known as The Favour, is circulating via email and targets businesses that have a website. So, how does it work?
How The Favour Scam Starts
The approach varies slightly, yet it usually starts with a message that looks like a genuine, well-informed enquiry asking for a quote. The sender is clear about the service they want and the budget they have in mind.
The scammers then offer to send credit card details for a deposit, plus an extra amount that they ask you to pay to a project consultant. They want that extra sum sent from your bank account to a third-party account. They claim the consultant cannot take card payments and will only accept a direct deposit or cash, which they say they cannot provide themselves. Finally, they also appeal to goodwill by mentioning a hearing difficulty and an upcoming operation.
Why the Business Is Left Out of Pocket
Within about 30 days, the card payment is found to be fraudulent. The Australian business is then left liable for the money already sent to the so-called project consultant.
Features of The Favour Email Scam
- The client will not speak by phone, citing a hearing difficulty.
- The client says they are in Australia, yet the email address is based overseas.
- Payment is offered by credit card only, with a claim that cash is not available for PayPal or direct debit.
- Spelling and grammar are poor.
- The request is for a deposit plus extra funds to be charged to the card, then transferred by your business to a third party.
How Australian Business Owners Can Spot a Scam Email
The Favour is only one example of the email scams in circulation. In 2016, 24,925 business and personal phishing reports were made to the Australian Competition and Consumer Commission through Scamwatch, with reported losses of $373,860.
Australian business owners should treat unusual emails with care. The following signs can help you spot a problem.
- The visible web address and the real link do not match. Hover over the link before you click.
- The domain name looks unusual. A genuine company name usually appears before the ending, such as .com.au.
- Grammar and spelling are poor.
- The sender asks for personal information.
- The offer seems too good to be true.
- The email asks you to send money.
- The message includes threats.
- A government agency is named in a request for personal details. Agencies do not work this way. Call the agency on a number you look up yourself.
- There is no logo or image, although some scammers now use convincing branding.
- Other recipients are hidden or unexpected.
What to Do If an Email Looks Suspicious
If an email feels wrong, search the subject line or a sentence from the message and check for scam alerts. If you are still unsure, send it to your IT support or leave it alone. When you identify an email scam, report it to the ACCC through Scamwatch: https://www.scamwatch.gov.au/report-a-scam
Protecting Port Macquarie Businesses Online
Security and privacy risks are common online, so caution matters with any transaction. Moreover, websites can be exposed to email and online threats. At F1RST, we take our clients’ online security seriously.
