Australian losses to online marketplace fraud increase as scams become increasingly sophisticated

Wayne Draper and his wife wanted a puppy. When they came across pictures of a new bulldog on Facebook, they instantly fell in love.

The Facebook page it was advertised on had been operating since January 2021, and had seemed to cycle for several litters of puppies. They promised their pups were ANKC (Australian National Kennel Council)-registered, wormed and had a full veterinary health check.

He was asked to fill out a questionnaire, to check if the couple were suitable. Once they were approved, they sent $1,000 to the business to secure the puppy.

When the business asked for an extra $500 to be transferred through Bitcoin, Draper realised it was a scam. He kept communicating, hoping to get some of the money back.

Meta would not answer how many scams are reported or taken down but said it had increased enforcement against spam.

Last year, Australians lost $8,465,443 to classified scams, but many go unreported.

A cyber security expert at Avast, Stephen Kho, said this was because the scams were becoming more sophisticated.

He put up a classified ad, asking $10,000 for the car, and was offered $13,000 from someone who offered to pay that week and have it picked up by a courier.

The incoming chief executive of the Consumer Action Law Centre, Stephanie Tonkin, said buy-and-sell companies needed to do more to keep customers safe.