Understanding Australia’s Major Banks’ Anti-Scam Platform
Since 2023, twenty banks – including the big four, have signed up to a “near real-time reporting” system that is designed to reduce scam activity.
The Fraud Reporting Exchange (FRX) gives the participating banks a way to quickly communicate with each other as fraudulent payments are transferred from one institution to another.
This increases the likelihood of fraudulent payments being frozen and the funds being returned.
“Given every minute can be crucial in disrupting scams, the launch of the FRX is a major development,” Australian Banking Association Chief Executive Anna Bligh said.
“It means more and more scammers are going to hit a brick wall and adds to the arsenal of anti-scam initiatives under way.”
How to protect yourself from scams
Despite the introduction of the FRX, Ms Bligh said consumers still had a role to play in preventing scams – including by reporting fraudulent payments to their bank as soon as possible.
“The sooner that banks know about a fraud, the sooner they can take swift action to try to halt the payment before it gets to the scammers,” she said.
In 2022, Australians lost a record $3.1 billion to scams, an 80% increase from the previous year, according to Scamwatch. In 2023, losses decreased by 11.61% to $2.74 billion. Despite this drop, scam reports rose by 18.5%, underscoring the persistent need for vigilance and effective measures to combat financial fraud.
Scamwatch’s top three tips for protecting yourself are:
- Stop – take your time before giving money or personal information to anyone who phones, emails or texts you.
- Think – ask yourself if the message or call could be fake?
- Protect – act quickly if something feels wrong. Contact your bank and report scams to Scamwatch.
Contact us today to discuss how we can help you navigate and safeguard your financial decisions. Reach out now to ensure you’re well-informed and prepared!
Licensing statement: Rayne Finance ABN [70 605 100 838] is authorised under LMG Broker Services Pty Ltd Australian Credit Licence 517192. Disclaimer: (1) As with any financial scenario there are risks involved. This information provides an overview or summary only and it should not be considered a comprehensive analysis. You should, before acting in reliance upon this information, seek independent professional lending or taxation advice as appropriate and specific to your objectives, financial circumstances or needs. This publication is provided on the terms and understanding that: (2) LMG Broker Services Pty Ltd, Rayne Finance (Seed Lending Pty Ltd) and the authors, consultants and editors are not responsible for the results of any actions taken on the basis of information in this publication, nor for any error in or omission from this publication. (3) LMG Broker Services Pty Ltd, Rayne Finance (Seed Lending Pty Ltd) and the authors, consultants and editors, expressly disclaim all and any liability and responsibility to the maximum extent permitted by the law to any person, whether a purchaser or reader of this publication or not, in respect of anything, and of the consequences of anything, done or omitted to be done by any such person in reliance, whether wholly or partially, upon the whole or any part of the contents of this publication.
Explore other FAQs and Facts
How the property market looks as we head into 2025
Australia’s property market is shifting, with a clear divide between strong and weak performers. While Brisbane, Perth, and Adelaide see robust growth, Sydney, Melbourne, Canberra, and Hobart face slower gains. As interest rate cuts loom in 2025, understanding regional trends will be essential for buyers and investors alike.
December cash rate on hold: 6 reasons to be optimistic about 2025
The Reserve Bank of Australia has kept the cash rate on hold once again, maintaining its cautious stance. While hopes for a rate cut remain unfulfilled, there are six reasons to stay optimistic, even as inflationary pressures and low productivity continue to shape the RBA’s approach to economic stability.
Australian properties see record profits in 2024
The 2023-24 financial year marked a milestone for Australian property sellers, with 96% of houses sold nationwide yielding a median profit of $326,000. This trend reflects the long-term value growth of homes, with capital cities and regional areas both benefiting from a robust market and rising property prices.
The pros and cons of rentvesting
With housing prices up 37.8% since 2020, many Australians face tough choices between renting in desirable suburbs or buying further from city centres. Rentvesting offers a middle ground—renting where you want to live while investing in an affordable property. This approach can build wealth but requires careful financial planning.
5 reasons why this might be a great time to buy
With Australia’s property market cooling, some may see now as an opportune time to buy. While timing the market is tricky, reduced competition, rising rental prices, and potential long-term gains could make this a strategic moment for both first-home buyers and investors to consider entering the market.
How to consolidate tax debt
Struggling with ATO tax debt? If you miss payments, the ATO may charge 11.36% interest on unpaid amounts. One option is to consolidate your tax debt into your home loan, potentially saving on interest, though refinancing costs apply. Speak with a mortgage broker to explore this option and avoid further penalties.
How is interest calculated on my home loan?
Mortgage interest is calculated daily based on the remaining principal, but the reduction of the principal isn’t linear. In the early years, a larger portion of each payment goes toward interest. However, by making additional repayments or using an offset account, you can reduce the principal faster and pay less interest over the life of the loan.
How do green home loans work?
As Australians seek to minimise their carbon footprint, green loans are becoming popular. These loans finance energy-efficient homes, renovations, and eco-friendly products like solar panels, EVs, and insulation. With potentially lower rates and flexible terms, green loans also boost property value, as sustainable homes attract more views and sell faster.
Dream Home Dilemma: Should You Build or Buy your home?
Deciding whether to build a new home or buy an established one is a major step in your homeownership journey. Each choice has its own set of pros and cons, from the opportunity to customise your space to the convenience of moving into an existing home. Understanding these differences can help you make the best decision for your future.
9 things to prepare before buying a home
To ensure a smooth property purchase, start by boosting savings and avoiding job changes three months before applying for pre-approval. Check your credit report for errors, consult a mortgage broker, and choose a conveyancer. Research locations, attend open homes, and arrange inspections. Contact me for expert guidance and loan pre-approval.