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House of Assembly - Fifty-First Parliament, Second Session (51-2)
2008-04-29 Daily Xml
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TRAVEL SCAM

Mr KENYON (Newland) (14:42): Will the Minister for Consumer Affairs advise the house about a foreign-based travel scam that has recently emerged, with a number of South Australians reporting substantial unauthorised amounts being debited from their credit card accounts?

The Hon. J.M. RANKINE (Wright—Minister for State/Local Government Relations, Minister for the Status of Women, Minister for Volunteers, Minister for Consumer Affairs, Minister Assisting in Early Childhood Development) (14:42): It has been brought to my attention that a travel scam is again doing the rounds here in South Australia, where some overseas-based fraudsters are enticing people into handing over their money for a dream holiday to the Caribbean—a holiday that clearly does not exist. Numerous people, living in both rural regions and metropolitan Adelaide, have contacted Consumer Affairs. Some are seeking advice about whether the travel offer is legitimate; others have reported that credit cards have been debited with unauthorised amounts.

It would appear that these people have been seduced into surrendering hundreds of dollars on the promise of a discounted getaway to the Bahamas or Florida. In one case the victim's credit card was debited by nearly $900. The call begins with a recorded message about a holiday offer and instructs the person to press 9 for further information. People are then transferred to a telemarketer who persuades them to pay around 20 per cent of the holiday's purported total value.

People need to stop and think very carefully before responding to any offers over the phone. While an out-of-the-blue phone call may catch you off-guard and the offer might sound inviting, it is important to consider the possible dangers or consequences of any offer before agreeing to it. If you give your bank, credit card or personal details to someone operating a scam then you may soon find unauthorised transactions appearing on your credit card, or that the funds in your bank account just disappear. If that happens people should contact their financial institution immediately to arrange a charge back.

I am also advised that the Office of Consumer and Business Affairs is liaising with US authorities about this particular issue. Obviously, people can register on the Do Not Call Register, which will cut down the number of unwanted calls. However, it will not stop scammers from calling. Should people have concerns about a suspicious call or suspected phone scam, they are encouraged to contact the Office of Consumer and Business Affairs.

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