New research from Westpac has revealed Gen Z (14- to 29-year-olds) will need to be extra careful when shopping this festive season as they may be most vulnerable to being scammed.
With Gen Z among the most likely to be shopping online1 for Christmas, they're also the most likely to be exposed to buying or selling scams online2. And with one in two Gen Zs (51%) reporting to have already been a scam victim, Westpac's Head of Fraud Prevention Ben Young is urging young Australians to be vigilant when shopping for presents.
"We see a spike in buying and selling scams ahead of the festive season, with these scams already up 50 per cent this year. Scammers are looking to take advantage of people looking for a discount or deal when purchasing Christmas presents.
"Younger Australians are bargain hunting online and may be more open to shopping on sites that are new to them, or purchase second-hand items from online marketplaces, to get a good deal, which can put them at risk of being scammed."
Gen Z also reported the highest average number of occasions they have lost money to a scam - close to two times (1.9; cf. Millennials 1.7, Gen X 1.8, Baby Boomers 1.3) per person scammed.
"When you're looking to save on your spending because money is tight, sometimes it can be hard to tell the difference between a great deal and a fake deal. And unfortunately, just because you may have been scammed once doesn't make you immune from being scammed again. People need to be constantly vigilant," said Ben.
Australians have seen the most buying or selling scams when looking to buy technology (37%) and clothes (31%). Australians have also been targeted by buying or selling scams when looking into holidays (25%), luxury goods (24%), beauty products and services (21%) and appliances (18%).
"Taking time to stop and check before you buy can prevent you from losing money at a time when money can be tight. Don't hand over large amounts of money to a site or a person you don't know, for an item you are yet to receive.
"For example, you may spot the perfect second-hand designer wallet for your sister on Marketplace. If you can, pay on delivery of the item.
"And when shopping online, check out using your Westpac Digital Card, available in the Westpac app. It has a security code which changes daily to ensure that if a scammer gets hold of your card details, they can't continue to use them," said Young.
Ben Young's top tips for staying safe from Scammer Claus this Christmas season are:
- Practice caution when purchasing: Think critically when buying from a site or someone you are not familiar with. For example, research the usual price for the item you are looking to buy. It is usually too good to be true if it is well below the average sale price. And if buying an item from a marketplace, arrange to meet in a public, well-lit area.
- Stop and check: Before you buy, do your research on the seller to ensure they are reputable. For example, check any reviews of the site or seller.
- Use secure ways to pay: If you have a Westpac credit or debit card, use your Digital Card found within the Westpac app with its three-digit security code (CVC) that changes every 24 hours. Avoid payment methods like gift cards or cryptocurrency, as scammers may use them.
- Don't click the link: When eagerly awaiting your purchase, don't succumb to the anticipation of your package arriving. Don't click on any link in text messages purporting to be from delivery companies, as links could be fake. Track your parcel where possible via a publicly sourced trusted site, such as Australia Post.
Westpac has a range of scam prevention initiatives and technology features to save customers from losing money to scammers. These include:
- Dynamic CVC: A temporary Card Verification Code that changes every 24 hours for security purposes.
- Westpac SaferPay: An Australian-first innovation, Westpac SaferPay alerts customers to potential scams through a series of questions served to a customer making a new payment that is detected to have high scam risk.
- Westpac Verify: An up-front risk indicator to alert customers when there is a potential account name mismatch when they're adding a new payee using a BSB and account number.
Want to find out your scam safety score? Put your skills to the test at the Westpac website.
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