Cold calling is legal in Australia according to the Telecommunications Act of 2017. However, it has a few caveats. Cold calls can only be done between 9AM-8PM on weekdays and between 9AM-5PM on Saturdays. No cold calls can be made on Sundays.
In making cold calls, the following information must be provided:
- The telemarketer’s actual name
- The purpose of the call
- Whether they’re acting as a third party contracted by the actual company
- The number that people can call for complaints.
Unfortunately, even with these safeguards, Australian investors are still at risk of being scammed. In their line of experience, investors must provide their contact details to learn more about investment opportunities.
How Do Cold Callers Get Your Personal Information?
There are a number of ways for cold callers to get your personal contact information. Here are some of them:
Both starting and experienced investors receive invitations to private galas, events, expositions, and conventions. In these conventions, the registration desks will ask for their name and contact details. No investor can avoid this requirement to enter the convention.
Investors reading certain informative blogs or event brochures will receive notifications where they need to fill in their contact details to receive a certain PDF file, data, or other information. While most online marketing strategies use digital products that are free of charge in exchange for lead emails or phone numbers, cold callers and scammers will employ the same strategy.
How to Avoid Cold Callers Out to Scam You for Your Money
Avoiding cold callers would mean having the right kind of information and using that to your advantage. Here are some steps to take note of to avoid being a victim:
Know the common victim demographics
It pays to know the usual demographics of cold calling victims. According to the Australian government’s Scamwatch data, individuals aged 55-64 are reported to have the biggest number of cold call victims in the country. The group that includes people aged 45-53 come second in the latest survey. As far as location is concerned, you are at high risk of cold call targeting if you’re living New South Wales, Victoria, or Queensland.
Be wary of “Too Good To Be True” investments
The simple yet most powerful defence against cold calls and scammers is analysing their offer. It is nice to learn about advantageous deals. However, a deal that is too flawless and absurd in its risks and returns on investments should seem suspicious to you. All investments have accompanying risks, especially ones with high yields. If it sounds too good to be true, there is most likely a catch to this investment opportunity.
Hang up and make it final
Another simple yet powerful defence is to curb your curiosity especially if they fail to tell you about their business.
Remember that all financial advisors, brokers, and other financial service employees must have an Australian Financial Services license. If they tell you their service does not have one or does not need it, or if they ultimately avoid your question, just hang up. This way, you avoid any possible risk of being scammed.
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