Fake term deposits scams 'better than ever'

John Kavanagh

Crooks behind fake term deposits scams and dodgy bond investments have upped their game, and consumers need to be even more wary.

ASIC has issued a warning that scammers behind fake term deposits and bond investments are becoming more sophisticated at impersonating legitimate financial services businesses.

ASIC advises consumers that they independently verify claims before investing.

ASIC said scammers are increasingly skilled at mirroring real business addresses, including ABN numbers and licence numbers, and often create fake reviews.

Investment material, disclosure documents and details covering maturity dates, coupons and credit ratings appear professional at many fake websites.

It said consumers should be wary of online ads that lead them to an inquiry form, which is used to collect personal information.

One recent change is that the investment returns on offer sound realistic, rather than older scams that promoted returns that were clearly too good to be true.

It said one giveaway was a request to transfer funds to an account that is not in the name of the financial service business.

ABN and licence numbers presented may not actually exist and should always be checked.

ASIC said: “Treat phone calls, emails, social media messages, text messages and discussion forums from people claiming to be from a financial service business that you haven’t contacted before as suspicious.

“Be extra careful if you have provided your contact details to a comparison website, as you may receive calls from scammers impersonating financial services businesses.”