An email arrives claiming a distant relative has died and named you their heir. The supposed estate is worth millions. However, to access it, you must first provide personal details or cover some “processing” costs. If this sounds too good to be true, that’s because it is.
Inheritance scams are among the most emotionally manipulative frauds out there. They prey on unsuspecting Australians—particularly older individuals or those who may already be financially vulnerable. In this blog article, we uncover how these scams work, explain the warning signs to look for, and show you how to protect yourself and your family.
What Are Inheritance Scams?
Inheritance scams involve fraudsters who pose as lawyers, bankers, or officials. They claim you’re entitled to a large inheritance. Typically, they say you’ve been chosen due to a family connection or name match with a deceased person. Often, scammers deliver their message with a sense of urgency and secrecy.
The scammer might:
- Ask for personal identification and banking details
- Request payment for “legal,” “administrative,” or “transfer” fees
- Urge you to keep the matter confidential
- Use impressive-looking documents to appear legitimate
This tactic is known as advance-fee fraud, where victims pay money upfront while believing they’ll receive a large sum later—which, of course, never arrives.
Why Australians Are Being Targeted
Australians lose millions of dollars to scams every year. For example, according to Scamwatch, over $20 million was lost in impersonation scams in 2024 alone. A significant number of those reports involved inheritance or legal fraud.
Older Australians face greater risk due to several factors. These include access to retirement savings, limited digital literacy, and increased emotional vulnerability. At A.S.A.G., we take this risk seriously. We actively work to protect our clients from scams and financial harm. To learn more, view our Vulnerable Customer Statement, which outlines our support for those most at risk.
Real-Life Example
In 2022, a woman in Victoria lost nearly $50,000. Someone contacted her claiming to be a solicitor managing an estate in the UK. The scammer said she had a claim to an unclaimed inheritance but needed to pay “processing fees” before the transfer could occur. She sent multiple payments. Eventually, she realised it was a scam.
Sadly, stories like this continue to surface. As scammers evolve their tactics, the emotional and financial toll on victims keeps increasing.
(Source: ABC News Australia)
Red Flags to Watch Out For
Here are the most common warning signs that an inheritance offer is fraudulent:
- You’ve never heard of the deceased person.
Scammers often use vague names or claim distant family ties. - They request payment upfront.
Legitimate inheritances don’t require fees before you receive funds. - They pressure you to act quickly.
Creating urgency is a classic scam tactic. - They insist on secrecy.
By telling you not to speak to others, they attempt to isolate and control you. - The communication is unprofessional.
Look for bad grammar, suspicious email addresses, and poorly designed documents.
How to Protect Yourself
To reduce your risk of being scammed, take the following steps:
- Be sceptical of unsolicited contact.
If someone reaches out unexpectedly about an inheritance, always question it. Search for their firm independently—don’t trust the details in the message. - Verify the source.
Check the credentials of any law firm or agency. Do not use contact details provided in the original message—search for them independently online. - Never send personal or financial information.
Avoid sharing your bank account, passport, driver’s licence, or Medicare number. - Refuse to pay fees upfront.
Any request for prepayment should raise serious concerns. - Report suspicious activity.
If you suspect a scam, report it to Scamwatch, the Australian Cyber Security Centre, or your local police. The more people report scams, the easier it becomes to stop them.
You can also find tips on recognising scams via the Australian Competition and Consumer Commission (ACCC).
What A.S.A.G. Is Doing to Help
At A.S.A.G., we understand that scammers often target seniors. That’s why we focus on education, awareness, and transparent communication. We’ve developed resources like our Vulnerable Customer Statement to help people identify suspicious behaviour and protect themselves.
Whether you’re exploring equity release or simply looking for safe financial advice, we remain committed to safeguarding our community.
Final Thoughts
Inheritance scams are cruel and manipulative. They not only cost money but also erode trust and peace of mind. Fortunately, awareness is a powerful defence. Stay alert, ask questions, and never let the lure of easy money override your better judgement.
Please consider sharing this information with friends and family—especially elderly relatives. Together, we can stop these scammers in their tracks.
Disclaimer:
This article is intended for general informational purposes only and does not constitute legal or financial advice. Please consult a licensed adviser for guidance specific to your situation.