Money’s hard. It’s hard to earn, and it’s even harder to keep. With annual living costs rising for everyone, it’s no surprise that Aussies are finding it harder to keep a lid on their bank accounts – and the last thing we need on top of this is the risk of losing even more hard-earned dosh to crime.
Our money’s under attack from all directions, then: between physical theft, online scams, identity fraud and poor financial habits, it can feel like there’s little hope in keeping what little we’ve got to go on. But not for long. The following practical strategies will help you build stronger financial security in everyday life, and on all fronts too.
Secure Your Banking and Online Accounts
First, let’s look at some of the more practical steps you can take to protect the money you have. Your money is only as safe as your passwords; though online banking is typically secure, requiring you to use multi-factor authentication to access your money and information, this doesn’t always prevent bad actors from gaining access.
Third-party payment systems can make one-click payments on your behalf, necessitating strong passwords to prevent malign access; even still, you can be at risk of tracking through unprotected internet connections. Using a VPN is a good way to limit the risk associated with online tracking. Behaviour is the main thing to consider, though; caution is the word, particularly when accessing financial services on public Wi-Fi networks.
Protect Yourself From Scams and Identity Theft
A good password and a VPN isn’t enough to protect you from the worst when it comes to digital financial safety, though. The vast majority of cybercrime is committed using social engineering rather than hacking smarts; phishing scams are the most common, wherein scammers spoof trustworthy websites, login screens or even individuals to glean personal information from a target. Knowing what to look for in a scam is a good start, as there are frequent tells you can use to differentiate a real message from a fake.
Safeguard Physical Financial Documents and Valuables
While digital fraud and cybercrime are new normals, dictating a large majority of fraud-related financial losses in Australia, there are still significant risks in the tangible world. Paper-based billing and bank statements still exist, poor disposal of which can open you up to identity theft. Securely disposing of documents by shredding is a start to protecting yourself here, as is storing sensitive records safely in your home to reduce the risk of theft.
Build Long-Term Financial Resilience
As a final note, you are the biggest barrier between yourself and financial resilience – as evidenced by the steps you can personally take to improve your financial safety above, but also with respect to how you treat the money you have. A proper approach to budgeting and saving will put you in better stead for the long term, particularly against unexpected setbacks such as job loss, cybercrime or economic pressures.
An emergency fund for such unexpected eventualities is a good place to start - and should be able to cover up to six months of living costs. A long-term savings vessel with a high rate of interest is ideal for longer-term saving, and all the better if it enables you to benefit from global market growth.
