By Elsa Markula, CEO of Arca and spokesperson for CreditSmart.
As data breaches continue to make headlines, many Australians – particularly older ones – are understandably worried about their personal information falling into the wrong hands. For retired seniors living on fixed incomes, this can be particularly distressing, as the possibility of losing money or having your identity stolen can have significant repercussions on one’s financial stability and overall wellbeing.
While data breaches have become more commonplace, the good news is that there are still ways to protect yourself from credit fraud and identity theft. With October being Cybersecurity Awareness Month, there is no better time to learn simple, practical steps that can help safeguard your credit and financial wellbeing.
Why are seniors at greater risk?
Older Australians are often targeted by scammers for two key reasons: first, because they tend to have established credit histories and stable finances that make them attractive targets for cybercriminals; and second, because they may have less experience using technology, making them more vulnerable to sophisticated scamming tactics.
While you can take steps to protect yourself from credit fraud, it’s not just up to individuals. Governments and banks are taking action too. Banks have introduced steps such as confirming who money is being sent to, helping stop scams before they happen. Banks also share guides and tips to help you recognise and avoid fraud.
Here’s how you can protect yourself and your finances from cyber threats.
Spotting the warning signs
The earlier you notice suspicious activity, the easier it is to limit the damage. Learning how these scams operate and how to protect yourself is important, so make sure you check the CreditSmart website for easy-to-follow advice and tips on how to keep your financial data secure.
In general, warning signs of identity theft and credit fraud include:
- Receiving bills or statements for accounts you didn’t open
- Changes to your credit score that you can’t explain
- Being contacted by debt collectors for unfamiliar debts
- Unexpected messages about credit applications in your name
If you notice any of these warning signs, contact your bank or credit provider immediately and ask them to investigate.
What to do after a data breach
As online crime grows, more companies are experiencing incidents where customers’ personal details are accessed by hackers, also known as data breaches. When your data has been compromised, you will usually receive a notification from the company informing you that your data has been exposed.
If this happens to you, there are several steps you can take straight away:
- Change your passwords and add two-factor authentication where possible.
- Check your credit report from all major credit reporting bodies to ensure nothing suspicious has appeared. This helps you spot any unauthorised activity early.
- Consider placing a credit ban, which temporarily stops new credit from being opened in your name while you review and secure your accounts. You can do this by contacting each credit reporting body.
- Stay vigilant for scam messages or phone calls using your personal details.
Building a safer system
Protecting consumers should never depend on luck. While individuals can and should take steps to stay informed and alert, true security must be built into the systems we rely on every day. We will never stop all data breaches, but organisations that hold personal data have a duty to prevent them as much as possible and to support people quickly and fairly when they occur.
Cybersecurity Awareness Month is a good reminder for all of us to review our protections and call for stronger safeguards across the board. With awareness, vigilance and systemic accountability, older Australians can feel confident that their credit and identity are protected.
