According to Scamwatch data, over 3,200 romance scams were reported in Australia in 2024, resulting in over $23.5 million in losses. This makes romance scams the second most financially damaging type of scam in Australia.
Victims not only suffer from the financial loss, but the emotional impact of being scammed can be devastating with feelings of betrayal, shame and heartbreak.
Here are some expert tips on how to spot and avoid romance scams.
How romance scams work.
Cybercriminals often create fake profiles on dating sites and apps by using stolen photos and fabricated identities. They initiate contact, quickly building a rapport and showering their targets with affection.
Scammers quickly move conversations off dating platforms and onto private channels like email or text. This helps them avoid detection and gives them more control over the interaction.
While some scammers may ask for money immediately, others take a more patient approach. They invest weeks, even months, cultivating a seemingly genuine relationship to gain their victim's complete trust. This makes it even harder to recognise the scam, as the victim truly believes they are in a committed relationship.
Scammers will often use elaborate stories to gain their victim’s trust. Once they have gained their trust they will start asking for money, often for emergencies or to help them travel to meet the victim.
However, romance scams are becoming increasingly complex. Scammers aren't just after your money; they might try to turn you into a ‘money mule’. This means they manipulate you into moving large sums of money illegally, often under the pretence of helping your online love interest. This can have devastating consequences, leaving you heartbroken and facing potential legal action.
Be very wary if your online ‘sweetheart’ asks you to transfer funds, release money, or handle any kind of suspicious financial transaction. Protect yourself by refusing to get involved and reporting any concerns to the authorities.
Friendship scams.
Romance scams aren't limited to just romantic relationships. Scammers also target individuals seeking friendship, and may pose as a sympathetic friend, sharing similar interests and mirroring their victim's behaviour to build trust. Once that trust is established, they use guilt, flattery, or coercion to manipulate their victim into sending money or providing personal information.
Like romance scams, these scams also use elaborate stories about personal hardship or urgent emergencies. The scammer may claim to need money for medical expenses, legal troubles or a family crisis. They play on the victims emotions and create a sense of urgency by asking for money to be sent quickly, This urgency for a ‘friend’ often impacts the victims rationality to stop and question if the situation is authentic.
How to spot a scam and protect yourself.
There are some common indicators that can help you identify a potential romance scam.
Be wary of profiles that seem too good to be true, especially if the person's online presence is limited. Scammers also often avoid phone calls or video chats, making excuses about technical difficulties or other issues. They are quick with seemingly reasonable excuses for why they can’t meet in person or access their own money.
They may also discourage you from discussing the relationship with friends and family, isolating you from those who could offer support and potentially identify the scam.
What to do if you spot a relationship scam.
If you encounter a suspected romance scam, immediately report it to your bank especially if you have provided any payment or identification information.
Even if you’ve managed to avoid losing money, reporting is still crucial to help prevent further fraud and assist other potential victims – report the scam to National Anti-Scam Centre (NASC) – Scamwatch.
Important note: This information is of a general nature and is not intended to be relied on by you as advice in any particular matter. You should contact us at Defence Bank to discuss how this information may apply to your circumstances.
