New Scam Laws in Australia Target Big Banks, Tech Giants, and Telcos Over $3 Billion Crisis
Australia has reached a tipping point. A nation bombarded daily by digital scams is now fighting back. Online criminals are draining over $3 billion a year from innocent Australians, pushing the government to strike hard with new anti-scam laws that shift the weight of responsibility to where it belongs: big banks, tech giants, and telecom providers.
Scam prevention is no longer optional. From phishing texts claiming to be from “Telstra” or the “ATO” to fake Microsoft tech support pop-ups, citizens are fed up. These new scam laws, embedded into the Competition and Consumer Act 2010, are a landmark reform intended to put an end to the relentless digital assault. But will powerful corporations comply — or try to water it down?
Australians are shouting enough is enough. The average person is forced to play security guard: checking every link, ignoring every text, and living in fear of that one wrong click. The personal burden is massive — and unfair. Scam protection shouldn’t be a solo job.
The Scams Prevention Framework Is a Structural Reset
The shift is here. On 13 February, the Scams Prevention Framework was passed, aimed at creating real accountability across industries. This isn’t just about chasing criminals — it’s about disrupting the infrastructure scammers rely on: banks, telcos, and social media platforms.
The status quo hasn’t worked. There have been few prosecutions. Many scammers operate from overseas or remain anonymous. Current protocols largely expect victims to absorb the cost — often insulted with minimal “without prejudice” settlements while watching large institutions sidestep accountability.
That changes now — or at least, it should. Under this new framework, a shared risk model means victims could be eligible for compensation even when no single company was solely at fault. For example, if a scam slips through because a bank didn’t verify a payee, and a platform hosted fake ads, both could now be liable.
The Government’s message is clear: spread the risk and the responsibility — or face regulation.
Industry Accountability Begins With Banks and Platforms
Banks are already reacting. The Australian Banking Association has accepted the shift — but only after avoiding the tougher UK model, which makes banks directly responsible for losses. Still, the pressure is on for banks to implement real-time fraud detection and payee verification tools.
Tech giants can no longer hide behind algorithms. Facebook, TikTok, Google, and others are now expected to verify advertisers, block suspicious content, and prevent scam ads. For too long, they’ve claimed they can’t catch every scam. That excuse is running out of steam.
Telcos are also on the hook. Scammers use spoofed numbers and bulk messages to rip people off. Telcos must now verify text sender IDs and actively block scam calls. Some have already done this voluntarily — now it’s mandatory.
“These changes are designed to provide more robust protection for citizens and help businesses be held more accountable.”
Compensation, Regulation, and a New Era of Enforcement
And what about victims? The law now enables people to seek compensation from multiple parties — banks, platforms, and telcos. If they’re stonewalled, they can escalate cases to the Australian Financial Complaints Authority (AFCA), which can order payouts up to $1.2 million.
Industry reactions have been cautious. Tech groups initially resisted, but bodies like the Digital Industry Group Inc (DIGI) are now agreeing to collaborate. Consumer advocates are wary, warning about delays and bureaucratic dead-ends. The Government is allowing a phased rollout, which buys time for negotiation but delays enforcement.
Who else is being put on notice? Beyond banks and telcos, superannuation funds, insurance companies, crypto platforms, and online marketplaces are next in line. Regulators have signaled that the scope will expand if results don’t improve.
ACCC and the National Anti-Scam Centre Lead the Charge
Leadership has changed, but the policy stands. Former Minister Stephen Jones, who spearheaded the reform, declared that Australians now have a government finally standing up for them after years of neglect. The newly established National Anti‑Scam Centre is the first of its kind globally.
ACCC is stepping in with teeth. This regulator now has the authority to enforce compliance, monitor industries, and take legal action against negligent companies. The ACCC has called scams an “unacceptable threat” that demands national-level countermeasures.
A telling example: the Microsoft scam. Fake pop-ups pretending to be from Microsoft support continue to plague users. What has Microsoft done besides posting warnings? Meanwhile, Google continues to sell ad space to scammers posing as Microsoft — and pocket the revenue.
Will the New Scam Laws Actually Bite?
This is where government intervention matters. Left unchecked, corporations prioritise profits. But forced accountability might change the game. Some companies may ignore ethics — but they understand reputational damage and regulatory penalties.
So, will these scam laws actually bite? If enforced with strength, they can finally shift power back to the people, protect everyday Australians, and create a system where institutions share in the risk, responsibility — and consequences.
We’ll soon see if the laws mean business, or if this is just another headline grabber.
