The safest way to make sure your deposit or settlement funds go to the real conveyancer or solicitor is simple: never rely on an email alone. Before you transfer, call them on a phone number you found independently and verbally confirm the account name, BSB and account number.
A property settlement scam in Australia can look remarkably convincing. The email may include your name, property address, expected amount and even appear in an existing email thread. That is why a calm verification process matters more than trying to judge whether a message ‘looks right’.
Use this checklist from the moment you engage your conveyancer or solicitor through to settlement day. It is designed to help first home buyers protect their deposit, settlement contribution and personal information without adding unnecessary stress to an already busy process.
The One Rule That Protects Your Deposit
If you remember one thing, make it this: stop, verify, then transfer.
Call your conveyancer or solicitor using a phone number you found independently. Use the number from their original engagement letter, a business card you received in person or their established business contact details. Do not use a phone number contained in the payment email, attachment or text message you are checking.
When you call, ask them to confirm the account name, BSB and account number aloud. Read the details back carefully. If even one detail differs, do not transfer the money until the discrepancy has been explained through a trusted channel.
This step may feel cautious, particularly when a deadline is close. But a short delay to verify details is far safer than sending a large payment to an account controlled by a scammer.
- Do not accept ‘updated’ bank details by email without a separate verification call.
- Do not assume a familiar sender name means the email is genuine.
- Do not let a request marked urgent override your checking process.
- Write down the verified details and the date, time and name of the person who confirmed them.
How a Property Settlement Scam Works
Property settlement scams are commonly known as payment redirection scams. A criminal tries to redirect money that should go to a legitimate trust account or approved recipient into a different bank account.
The scammer may gain access to an email account, monitor messages about the purchase, or create a near-identical email address. They then send payment instructions at a believable moment: when the contract deposit is due, when transfer duty is being discussed, or shortly before settlement.
Because the message can contain real information about your transaction, it may not have obvious spelling mistakes or unusual wording. The real danger is not just a poorly written phishing email. It is a well-timed, realistic instruction that asks you to move money.
Why first home buyers can be targeted
Your first purchase involves unfamiliar terms, multiple parties and strict timelines. You may be hearing from a lender, broker, conveyancer or solicitor, selling agent and insurer at once. Scammers rely on that complexity.
They also use urgency. A message might say your deposit must be paid before close of business, that a trust account is being audited, or that banking details have changed due to an administration issue. These are prompts to act before you have time to question the request.
What a scammer may know
Do not assume an email is real because it contains the correct property address, purchase price, names or settlement date. Those details may have been taken from a compromised inbox or gathered from previous correspondence.
A scammer may also imitate email signatures, logos and writing styles. Your verification process should therefore be based on independently confirmed contact details, not on how authentic the email appears.
Your First Home Buyer Settlement Security Checklist
Use this checklist before any transfer connected with your purchase. Your conveyancer or solicitor can explain their own process, but the following habits help you make each payment decision safely.
Set up the process when you first engage your conveyancer or solicitor
Ask how their office provides trust-account or payment details. Some firms will use a secure platform, a verified phone call or an in-person process instead of ordinary email.
Agree on a verification phrase or procedure if the firm offers one. Confirm which staff members are authorised to discuss payment details, and save the firm’s trusted phone number in your contacts.
Ask whether the contract deposit will be paid to the selling agent, a legal representative or another nominated stakeholder. The right recipient depends on the contract and transaction, so get this confirmed for your purchase rather than relying on assumptions.
- Save trusted contacts before money is due.
- Ask how bank-detail changes will be communicated and verified.
- Keep your signed engagement letter and key correspondence in one secure place.
- Tell the firm if your email address or phone number changes during the transaction.
Before you pay the contract deposit
Check the contract and written instructions so you understand the amount, due date and intended recipient. Then call the recipient on your trusted number to verify the banking details immediately before initiating the transfer.
If you receive a message with different bank details from those already confirmed, regard it as suspicious—even if it appears to be a reply in an existing email chain. Pause and call.
Keep a record of the verification call and your payment receipt. If there is later confusion, this gives you a clear timeline of what you checked and when.
- Confirm the account name, BSB and account number verbally.
- Check that the amount matches your contract or the confirmed instruction.
- Be cautious if the requested recipient has changed unexpectedly.
- Do not forward bank-detail emails to others unless necessary; each extra inbox can create another point of exposure.
Before final settlement
Settlement is often more complex than paying the initial deposit. Your lender may contribute loan funds, while you may need to provide your own balance, adjustments, fees or other amounts. The precise process varies, so ask early what funds you need to have available, where they must be held and by when.
Your conveyancer or solicitor confirms the legal settlement requirements. Your lender and mortgage broker can help you understand the lending side, including the expected contribution amount and timing. Keep those roles clear: do not treat a general update from one party as authority to change a payment recipient.
A day or two before settlement, confirm the plan with your conveyancer or solicitor. If you are required to transfer funds, repeat the independent phone verification immediately before you do it.
- Confirm your settlement date and any funds you need to contribute.
- Ask whether funds should remain in your nominated account for the lender to draw, or whether you must make a separate transfer.
- Check any payment deadline well before settlement day so you are not rushed.
- Keep enough time available to make a verification call during business hours.
Red Flags That Mean You Should Stop
A red flag does not prove a message is fraudulent, but it does mean you should pause and verify independently. In a property transaction, a genuine professional will understand why you are checking.
The most important warning sign is a change to banking details. That includes a new account, a new BSB, a request to use a different account name, or a new payment method you were not expecting.
- A last-minute request to change bank details.
- Pressure to pay ‘ASAP’, before close of business or before a weekend.
- A message that tells you not to call your usual contact.
- An email address with a tiny difference, extra character or unusual domain.
- A request that comes from a free email address when you normally deal with a business domain.
- A link to log in, view an invoice or access a document unexpectedly.
- A different phone number in the email signature.
- An instruction to keep the payment confidential or bypass normal checks.
Why email appearance is not enough
Checking the sender address is worthwhile, but it is not a complete defence. A criminal can create a lookalike address, spoof a display name or, in some cases, send from a compromised mailbox.
Likewise, perfect grammar, familiar branding and accurate transaction details are not proof. Treat email as a prompt to verify, not as final authority to move money.
Be careful with phone calls too
A phone call is only useful when you initiate it using a known, trusted number. If a suspicious email asks you to call a number, assume that number could connect to the scammer.
If someone calls you claiming to be your conveyancer, solicitor, lender or agent and asks you to act urgently, end the call politely. Then ring the established number you already have to confirm whether the request is real.
Protect the Email Account You Use for Your Purchase
Your own inbox can contain contracts, identification documents, bank information and settlement updates. Securing it reduces the chance that someone can monitor your transaction or impersonate you to another party.
Use a strong, unique password for the email account used for your purchase. Do not reuse a password from social media, shopping or another service. Use multi-factor authentication on the email account used for your purchase.
Be cautious when using shared devices or public Wi-Fi for property documents and banking. Sign out when you are finished, keep your devices updated and avoid downloading unexpected attachments.
Keep communication tidy
Use one primary email address for the transaction where possible, and let your conveyancer or solicitor know it is your preferred address. This makes unexpected messages and changed contact details easier to identify.
Review your email forwarding rules and recovery settings if something seems wrong. An attacker who gains access to an inbox may try to hide genuine messages or forward copies to themselves.
- Do not share email passwords or verification codes.
- Check unexpected document-sharing invitations by contacting the sender independently.
- Tell your legal representative promptly if you think your inbox has been accessed.
- Keep copies of legitimate payment confirmations and key instructions.
What to Do If You Have Already Sent Money
Act immediately. Do not wait to see whether the recipient responds or whether the money appears to clear. The earlier you raise the issue, the better the chance of interrupting a transfer before funds move further.
Contact your bank immediately. Tell them you believe you have sent money as part of a property settlement or payment redirection scam. Ask what information they need to investigate and whether a recall, trace or freeze request can be started.
Then call your conveyancer or solicitor on their trusted number and explain what happened. Give them the payment amount, date and time, account details used, transaction reference and a copy of the suspicious message. They can help clarify the legitimate settlement position and take steps within their role.
- Keep the suspicious email, attachment, text message and screenshots; do not delete them.
- Contact your bank through its official app, published phone number or branch.
- Change the password for the affected email account and turn on multi-factor authentication if it is not already enabled.
- Review other accounts that may use the same password.
- Report the scam to the appropriate Australian reporting service and follow any directions your bank provides.
Do not feel embarrassed about raising the alarm
These scams are designed to exploit trust, timing and the stress of a major life event. A convincing message can catch careful people off guard.
The practical priority is speed and accurate information. Make the calls, preserve the evidence and let the relevant parties know as soon as possible.
Questions First Home Buyers Often Ask
Can I trust bank details sent from my conveyancer’s normal email address?
Not without an independent check. A genuine-looking address or existing email conversation is helpful context, but it is not proof that the payment instruction is safe. Call a trusted number and verbally verify the full details before transferring money.
Should I send a small test payment first?
A small test payment may be part of some people’s checking process, but it should not replace direct verification with the legitimate recipient. Ask your conveyancer or solicitor what their office accepts and confirm the account details using your trusted contact method first.
Will my lender send my settlement funds directly?
Often, the lender’s contribution is managed through the settlement process, while you may need to have your own contribution available in a nominated account. The exact steps depend on your loan, contract and settlement arrangements. Confirm early with your lender, mortgage broker and conveyancer or solicitor what you need to do and who is responsible for each step.
What if my conveyancer or solicitor genuinely changes bank accounts?
It can happen, but a genuine change should be easy to verify through the firm’s established contact channels. Treat the change as unverified until you have spoken directly with an authorised person using a phone number you sourced independently.
Can Find A Better Rate help me prepare for settlement?
If you are arranging a home loan, Find A Better Rate can help you understand the lending steps leading up to settlement, the likely funds you may need available and the questions to raise early with your lender and legal representative. Your conveyancer or solicitor remains the right person to confirm the legal settlement process and any payment instructions.
Frequently asked questions
What is a property settlement scam?
It is a payment redirection scam in which a criminal impersonates a trusted party or interferes with email communications to send false bank details. The aim is to divert a deposit or settlement payment into the criminal’s account.
How do I verify my conveyancer’s bank details?
Call the conveyancer or solicitor using a phone number from an original engagement letter, established business contact details or another source you found independently. Ask them to confirm the account name, BSB and account number verbally before you transfer.
What is the biggest red flag in a settlement scam?
Unexpected or changed bank details, especially when paired with urgency. Stop and independently verify any change before making a payment.
What should I do if I paid a scammer?
Contact your bank immediately, then notify your conveyancer or solicitor using a trusted number. Preserve the emails and payment records, secure your email account and report the incident through the appropriate channels.
Conclusion
Buying your first home should not require you to become a cyber-security expert. It does require one reliable habit: independently verify every payment instruction before transferring money.
Set up your trusted contacts early, understand how your deposit and settlement contribution will be handled, and refuse to be rushed by a message that has not been checked. That simple process can protect the funds you have worked hard to save.
Want more clarity before settlement?
If you are preparing a home loan and want to understand the lending steps, likely contribution timing and the questions to ask before settlement, speak with Find A Better Rate. We can help you prepare for the finance side of your purchase so you can approach settlement organised and ready to verify every payment safely.
This article provides general information only and does not constitute personal financial advice. Lending criteria, fees and eligibility requirements vary. Consider seeking advice appropriate to your circumstances.
