From Loss to Recovery: Josie’s Battle with Financial Scams

Background

Josie* is a married mother of two young children from a culturally and linguistically diverse (CALD) background. Currently unemployed, Josie lives in a mortgaged property with her family and also owns an investment property that was mortgage-free until she fell victim to a scam. Josie was befriended online by a scammer who convinced her to invest in a fraudulent cryptocurrency scheme, leading to significant financial loss.

*Not her real name or photo
 

Services

Josie sought help from a Financial Counsellor after realising she had been scammed out of more than $250,000. Despite having already lodged a complaint with the Australian Financial Complaints Authority (AFCA), she needed support navigating the process.

The Financial Counsellor provided strong advocacy, attending an AFCA conciliation conference with Josie and assisting with the escalation of her complaint to the Ombudsman. The counsellor also helped Josie improve her financial decision-making skills and referred her to a Gambler’s Help counsellor to address her approach to financial risk.

Outcomes

Strong advocacy

The Financial Counsellor supported Josie throughout her AFCA complaint, including reviewing bank recordings and attending meetings, ultimately helping escalate the complaint to the Ombudsman.

Improved agency

Josie gained the ability to make informed decisions by understanding the AFCA process and being actively involved in each step, including reviewing evidence and deciding on the next steps.

Referral to support services

Josie accepted a referral to a Gambler’s Help counsellor to address her financial risk-taking behaviors, further supporting her journey to financial stability.

Improved financial situation

The Ombudsman’s review of Josie’s* case led to her being reimbursed over $150,000, significantly reducing her mortgage balance and easing her financial burden.

Financial Counselling is supported by the Victorian Government and the Australian Government.