Imagine you just lost a loved one. You are grieving. The last thing you need right now is a phone call from debt collectors demanding payment for loans you never applied for; or a letter from the ATO saying you owe them taxes on incomes you never earned; or even a credit card statement for purchases you never made.

How a Ghosting Scam Works

Ghosting Scam is a deceptive scheme that preys on the identities of the deceased. It is a form of identity theft where scammers steal personal information of a deceased person to commit fraud. Scammers might open new accounts, apply for loans, or file for tax refunds using the deceased person’s details.

The Impact of a Ghosting Scam

This scam can have severe consequences, including:

• Financial Losses: Unauthorised transactions can drain bank accounts and cause financial distress.
• Damage to Reputation: The deceased person’s reputation may be tarnished by fraudulent activities.
• Emotional Distress: Victim’s family members endure emotional distress as they deal with the fallout.
• Difficulty Obtaining Benefits: Compromised credit histories can hinder access to life insurance and other benefits.

How to Prevent Ghosting Scam Attacks

Follow these best practices to protect your loved one’s memory:

1. Caution in Obituaries: Avoid sharing excessive personal information like full names, birth dates, addresses, or social security numbers in obituaries.
2. Immediate Notifications: Contact relevant agencies promptly after a death:
   • Australian Death Notification Service (ADNS) or local equivalent
   •  Australian Taxation Office or local equivalent
   • Credit Bureaus
   • Banks
   • Insurance Companies
3. Regular Monitoring: Keep an eye on your loved one’s credit report and financial accounts for suspicious activity. Get a free annual credit report at https://www.equifax.com.au/personal/products/equifax-free-credit-report
4. Report Scams: Report any instances of Ghosting Scam to law enforcement and organisations like the Scamwatch or the Australian Federal Police (AFP).

What to Do After Deceased Family Member’s Identity Is Stolen

1. Notify Credit Bureaus: Send a death certificate to every credit reporting bureau.
2. Credit Report Review: Check the deceased loved one’s credit report for any suspicious credit card transactions.
3. Register with National Death Index: Register the death with the ADNS to prevent further identity misuse.
4. Inform ATO: Notify the Australian Taxation Office immediately of any fraud-related incidents.

Taking these proactive steps so you can honour your loved one’s memory and protect your family from the heartache and financial burdens Ghosting Scams may cause.