Simple steps mortgage advisers can share to protect clients
The Financial Markets Authority (FMA) has issued a warning about a growing wave of “recovery scams” that use phishing tactics to gain access to bank accounts – and they are specifically targeting people who have already been scammed.
These schemes contact victims of earlier investment scams, claiming their missing funds have finally been recovered. To “release” the money, the victim is asked to provide personal details and online banking credentials, often through a convincing website.
In a media release, FMA said scammers typically:
- Reach out by phone or email, “claiming to have recovered funds lost in a previous scam”.
- Direct victims to a website where they must “sign up” to access the supposed refund.
- Ask for personal information and prompt the victim to enter their bank username and password, sometimes alongside familiar NZ banking logos to appear credible.
Once the criminals have these details, “they access the victim’s bank account and transfer funds out.” For mortgage advisers, this is particularly relevant for stressed, older, or recently scammed clients who may be desperate to repair their finances and more vulnerable to a second hit.
Banks, telcos, and major digital platforms are also stepping up their defences, working with a New Zealand tech start‑up to block phishing sites within an hour, disrupting thousands of domains and cutting ANZ’s card‑phishing cases by nearly 40% in two months – but individual vigilance is still crucial.
Websites linked to this recovery scam
FMA has confirmed the organisations and websites below are linked to this recovery scam. Use extreme caution with any of them; the list will be updated as new sites are identified.
Red flags and talking points for clients
FMA stresses that borrowers should treat any organisation claiming it can recover scam losses with extreme caution. Advisers can reinforce a few simple rules in client conversations:
- Treat recovery offers as suspicious by default. Any company that says it can get back your scam losses could be “trying to target you with another scam”.
- Push back on urgency. Genuine firms and regulators don’t pressure people to act immediately; scammers do.
“Scammers push you to act fast, genuine organisations won’t. Take your time and think before you act,” FMA said. - Verify using official channels. Encourage clients to search the company name, check reviews and warnings, and use contact details from official websites to confirm if the approach is genuine.
If a client is being asked to make payments or share financial information, FMA’s advice is clear: call their bank immediately for guidance.
Social media: Why oversharing scam stories is risky
One emerging threat FMA highlights is oversharing scam stories online. Posting details on social media can make victims more visible to recovery scammers, who “search for social media comments or posts from people who have lost money” and then approach them using fake or hijacked profiles. They claim to have been victims themselves, say they “got their money back”, and then recommend a bogus recovery company – which is in fact the scam.
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