The Scams Prevention Framework

Key takeaways

• Established by the Treasury Laws Amendment (Scams Prevention Framework) Act 2025.
• Obligations sit across banks, telcos and digital platforms - not banks alone.
• Sector-specific codes set the detailed requirements.
• AFCA provides the dispute resolution path for consumers.

What does the framework require?

The framework establishes overarching principles that designated entities must meet, with detail supplied through sector codes. The principles run across the lifecycle of a scam.

• Prevent - take reasonable steps to stop scams reaching consumers, including systems and controls appropriate to the risk.
• Detect - identify scam activity on the entity's services.
• Report - share intelligence with the regulator and, where relevant, across sectors.
• Disrupt - act to stop a scam in progress, including blocking or delaying.
• Respond - handle consumer reports properly, including internal dispute resolution.

The multi-sector design is the significant part. A scam typically travels through a telco message, a digital platform advertisement and a bank transfer, and previously each sector could point at the others.

Does the bank have to reimburse me?

This is the question everyone asks, and the answer requires care. The framework is built around obligations and enforceable codes rather than a blanket reimbursement guarantee of the kind adopted in some other jurisdictions. Where an entity has breached its obligations and that breach contributed to a consumer's loss, the consumer has an avenue to seek redress through external dispute resolution.

If you are a victim, the sequence is: report to your bank immediately, lodge a complaint through its internal dispute resolution, then take it to AFCA if unresolved. Report to Scamwatch as well, and to police if identity documents were taken.

What should a broker or lender do about it?

Anyone handling client funds or identity documents sits in the risk path, whether or not they are a designated entity under the framework.

The highest-risk moment in a property transaction is settlement, when payment instructions are exchanged by email. Business email compromise - a fraudulent email substituting the scammer's account details for the conveyancer's - remains one of the most costly scams in Australia precisely because the amounts are large and the transaction is expected.

The control that works is verification through a separately obtained channel: confirm account details by phone using a number you already had, never one from the email, and tell clients explicitly at the start of the engagement that you will never send changed account details by email.

Frequently asked questions

When did the Scams Prevention Framework start?

The Treasury Laws Amendment (Scams Prevention Framework) Act 2025 established the framework, with sector-specific codes setting detailed obligations for designated sectors including banks, telecommunications providers and digital platforms.

Will my bank refund a scam payment?

It depends on the circumstances and whether the entity met its obligations. Unauthorised transactions may attract ePayments Code protections. For an authorised payment induced by a scam, raise it with the bank, then AFCA if unresolved.

Which sectors does the framework cover?

It is designed to be extended by designation, beginning with banks, telecommunications providers and digital platforms - reflecting that most scams travel across all three.

What should I do immediately after a scam payment?

Contact your bank immediately, since a rapid recall has the best chance of recovering funds. Then lodge a formal complaint with the bank, report to Scamwatch, and escalate to AFCA if the bank's response is unsatisfactory.

Related reading

• AFCA Complaints: How the Process Works
• The Banking Code of Practice: Your Practical Rights
• APRA, ASIC, RBA and the ACCC: Who Regulates What

Sources

• Treasury Laws Amendment (Scams Prevention Framework) Act 2025 — Commonwealth of Australia
• Scamwatch — National Anti-Scam Centre
• ePayments Code — ASIC