THREAT GUIDE

Payment Redirection Fraud

Scammers intercept legitimate payments by changing bank details. It's the fastest-growing payment scam in Australia, and it's almost impossible to recover from.

$152.6M lost in 2024
+66% year-on-year
96% of losses irrecoverable

What is payment redirection fraud?

Payment redirection fraud happens when a scammer tricks your business into sending a legitimate payment to a bank account they control. The invoice looks real. The email looks real. The only thing that's different is the bank details, and by the time you notice, the money is gone.

It's also known as invoice fraud, mandate fraud, or supplier impersonation. It often works alongside business email compromise (BEC), where a scammer gains access to a real email account to make the request more convincing.

In Australia, payment redirection scams were the 3rd highest loss category in 2024, behind investment scams and romance scams. But for businesses, it's the #1 threat, because it targets the payments you're already planning to make.

How the scam works

Payment redirection fraud typically follows a predictable pattern. Understanding it is the first step to preventing it.

1

The scammer does their homework

They research your business, identify your suppliers, and learn your payment patterns. They may monitor compromised email accounts for weeks before acting, waiting for the right invoice.

2

They intercept or impersonate

Using a compromised email account (BEC), a spoofed email address, or a forged letter, the scammer contacts your accounts payable team with 'updated bank details' for a supplier you already pay.

3

Your team updates the records

The email looks legitimate. The ABN is correct. The invoice format matches previous ones. Your team updates the supplier's bank details in your system, trusting the request.

4

The payment goes to the wrong account

The next payment run sends money to the scammer's account. They withdraw immediately. By the time the real supplier calls asking where their payment is, the money is gone.

Warning signs to watch for

Most payment redirection attempts have tells, if you know what to look for.

Unexpected bank detail changes

A supplier you've paid for years suddenly sends new bank details via email.

Urgency or pressure

"Please update these details before the next payment run." Scammers create time pressure to skip verification.

Slightly different email address

john@supplier.com becomes john@suppIier.com (capital I instead of lowercase L). Easy to miss.

Changes to contact details

The email asks you to use a new phone number for confirmation, because the old one would reach the real supplier.

Unusual timing

Requests arrive just before a long weekend, public holiday, or end-of-month payment run.

Email thread hijacking

The scammer replies within a real email thread (from a compromised account), making the request appear like a natural continuation.

How ezyshield prevents payment redirection fraud

Every payment redirection scam succeeds because no one verified the bank details against the real owner. ezyshield makes that verification automatic.

Verify the person

Biometric identity verification confirms the real human behind the payment, not just a name on an email.

Fingerprint & re-verify

Every verified detail is fingerprinted. Any change triggers automatic re-verification. No payment leaves until confirmed.

Prove you checked

Tamper-proof audit trail proves you verified before you paid. Exportable evidence for audits, disputes, or insurance claims.

Don't wait until you've been redirected

Every payment your business makes is a potential target. ezyshield verifies before money moves.