Westpac SaferPay saves Queensland couple from losing $350,000

Liam Cormican
08:30am July 25 2024

Investment scams are the biggest source of scam loss for Australians. (Getty)

Westpac’s SaferPay feature has saved couple Ricky and Elaine’s hard-earned savings after a sophisticated investment scam nearly cost them $350,000.

The couple had been looking to invest in corporate bonds to help grow their savings. However, it was only after Ricky had transferred the large sum of money that he realised that the investment company he had been talking on the phone and emailing with for weeks was, in fact, fake.

“I am cautious with money and did due diligence when looking into what I thought was a valid investment company, having found it after researching opportunities online. I had been in regular touch with who I thought was a company representative, who was friendly, knowledgeable and ultimately very convincing,” said Ricky.

Fortunately for Ricky, the funds transfer was put on a 24-hour hold after Westpac SaferPay outbound payment detection flagged it as a potential scam. 

Ricky said it was an enormous relief to be told that their money was on hold and could be returned.

“It was like I got the life I wanted back – having thought that I had lost a huge amount of our savings which we had worked so hard to earn and build,” said Ricky. “I was so relieved. I’d have lost my money if it wasn’t for that.” 

An Australian banking first, Westpac SaferPay alerts customers to potential scams by asking a series of questions for new payments detected to have potential scam risk. If customer responses suggest the payment may be a scam, the bank  will not allow the payment to be processed. 

Westpac's Head of Fraud Prevention, Ben Young, says that pausing a funds transfer when flagged as a potential scam payment saved the couple considerable heartache.

“Losing $350,000 can be life-changing. I’m relieved for Ricky and Elaine that we paused the transfer, and I appreciate them being willing to share their experience to help us step up our fight against scammers.

“Their story shows that you can be savvy and have done thorough research but still fall victim to an investment scam that can cost you hundreds of thousands of dollars. A good learning is before you invest a large sum of money, discuss the opportunity with a trusted friend or family member, and consult with an expert before making a decision.”

Westpac has also recently introduced new security features for customers, including Westpac Verify. It features an up-front risk indicator to alert customers when there is a potential account name mismatch when they add a new payee using a BSB and account number, also warning customers when Westpac has not paid to the account before.

“We are finding scammers are incredibly innovative when finding ways to scam money out of unsuspecting Australians. I’m glad we could keep Ricky and Elaine’s savings safe from one such sophisticated scam,” Young said.
 

Liam Cormican

Liam is a reporter for Westpac Wire. He previously served as a financial journalist for Money Management and as a regional journalist in Nowra for Australian Community Media.

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