Netsafe ramps up NZ's scam defences with new AI tools

Netsafe has announced a series of advancements aimed at bolstering New Zealand’s defences against scammers. Central to this initiative is the re-launch of ReScam.org, an advanced artificial intelligence (AI) tool designed to waste scammers' time and prevent them from targeting new victims.

Re:Scam made its debut in 2017 and has since evolved to become more sophisticated. The tool leverages AI to engage scammers in never-ending conversations with multiple personalities and an ever-growing vocabulary, making it challenging for scammers to realise they are interacting with a bot. Users are encouraged to forward suspicious emails to me@rescam.org, where the system can then take over and divert scammers' efforts.

Brent Carey, CEO of Netsafe, highlighted the impact of Re:Scam when it was first developed. "When Re:Scam was first developed back in 2017, the game of cat and mouse sent more than a million emails to scammers, wasting a total of more than five years of their time," he stated.

The cost of scams to New Zealand's economy is significant, estimated at NZD $2 billion annually, which accounts for 0.85% of the country's GDP in 2023. Despite these figures, New Zealand's response to scams is considered to lag behind other OECD regions. There have been government-backed calls urging banks to invest in technological upgrades to combat this issue.

Research by Netsafe and the Global Anti-Scam Alliance showed that scams have a substantial emotional impact on victims, with 53% of New Zealand respondents reporting significant distress post-scam. Notably, only a small fraction of scam incidents are reported to law enforcement, partly because police resources are stretched thinly. Only 15% of individuals who attempt to recover funds lost to scams are successful.

This year, Netsafe has introduced new scam-busting tools and services monthly, following their "State of Scams" report published at the end of 2023. Notable initiatives include the Get Set Up for Safety toolkit, funded by Chorus, aimed at preventing scams among seniors. Partnerships with Cybera, Dolla, and Akau have also been established, spanning the banking, cryptocurrency, and telecommunications sectors, providing victims with more options for attempting to recover their losses.

“New Zealand’s scam prevention and redress model needs the whole ecosystem to be mobilised to combat scams efficiently and effectively,” Brent Carey remarked. "Netsafe primarily focuses on consumer protection, incident response, and victim remediation. While Netsafe alone cannot bring about regulatory or legislative change, nor do we have the means to deliver banking system technological advancement, we do have 25 years' experience in harm prevention education, and our award-winning online harms and scams helpline is a well-known and trusted clear pathway for consumer reporting of scams. A pathway people trust because we are confidential, independent of both government and the institutions they are banking with."

Netsafe is also broadening its international collaborations to incorporate best practices into New Zealand's scam prevention strategies. As part of this effort, Netsafe is hosting a virtual meeting of the Oceania chapter of the Global Anti Scam Alliance (GASA) during Netsafety Week. Additionally, Netsafe has joined the international non-profit organisation, the Cyber Helpline, which aims to deploy cybersecurity tools, services, and programs on a global scale.

Brent Carey concluded, "We are playing our part to help New Zealanders navigate the digital landscape safely and confidently. These new initiatives underscore our commitment to innovation, collaboration, and proactive action against online scams." Netsafe’s helpline processes around 15,000 scam reports annually, and more scam-busting tools are scheduled for rollout throughout 2024 and into 2025.