New Zealand's online safety organisation Netsafe has observed a dramatic surge in financial losses from impersonation scams in September, when compared with the previous month.

Money lost to impersonation scams increased from $5,000 in August to $19,600 in September - an almost 300% increase. That’s despite the number of reported impersonation scams dropping from 79 to 73.

Impersonation scams involve scammers pretending to be someone to extract money and information from people close to the victim. These types of scams, which are advantaged by relationships and trust, or the perception of trust, can be particularly impactful.

Depending on who has been impersonated, people might not think twice about following instructions or sending money.

The best way to protect yourself against these scams is to check any unusual requests you receive, even if it’s from someone you trust. You should use a second contact method like a phone call or see them in person, especially if they’ve asked you to send money or sensitive information.

In the same month, Netsafe noticed a spike in reports of account compromise, which increased 15.6%, from 51 in August to 59 reports in September.

Account compromise involves scammers accessing other peoples’ online services and information. This can include online banking, utilities such as phone and power, and social media accounts, among others.

Scammers access accounts with the aim of misusing the information they hold or to contact trusted people. The best way to protect yourself from these scams is to always use unique passwords across different accounts, to enable two-factor authentication wherever it is offered, and to make sure you regularly check and update your contact information on your accounts.

If your account has been compromised, there are steps you need to take immediately:

• Change your password
• Check and update your contact information held on the account and enable two-factor authentication
• If they have a customer service line, contact the service that operates the account to let them know
• Have a think about what information of yours was accessible to the scammer via that account so you can take steps to protect that information too

If you’ve been the target of an impersonation scam you should:

• Share a warning on your social media or contact the people close to you
• If money has been lost, notify your bank or whichever service was used to facilitate the payment

Contact Netsafe by completing an online report form, emailing us on help@netsafe.org.nz or texting on 4282.

Our helpline is open from 8am – 8pm weekdays and 9am – 5pm on weekends.

Our free number is 0508 638 723

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