Watch for Flatmates and rentals scammers

We’re seeing a new variation of an old scam doing the rounds in our Flatmates Wanted and Rental sections.

It’s a twist on the classic freight forwarding scam, but instead of targeting cars or boats, scammers are targeting everyday Kiwi looking to fill a room.

Here is how to spot it and keep yourself safe.

How the scam works

A person may contact you about your current rental or Flatmates Wanted listing. They will likely be very eager to secure the property or room immediately, often agreeing to pay the bond and rent deposit upfront without even viewing the property.

There is usually a backstory to explain why they can’t meet you in person – perhaps they are working overseas, on an oil rig(!), or moving to Aotearoa for a new job.

The sting:

• The scammer "accidentally" overpays you. For example, if the bond is $800, they might transfer $1,800.

• They will fast follow with an apology and ask you to refund the ‘extra’ money to them immediately.

• Because the original payment was made using a stolen credit card or a hacked account, the bank will eventually reverse the full amount from your account.

• If you have already sent the "refund", you will be left out of pocket.

What to look out for

If something feels off, it probably is. Keep an eye out for these red flags:

• Taking the room sight unseen: Most genuine flatmates will want to see the house or room and meet you before handing over money. Be wary of anyone who is happy to pay a bond without a viewing or a video call.

• The accidental overpayment: This is the biggest warning sign. Legitimate buyers simply don’t overpay by hundreds or thousands of dollars by mistake.

• Unusual payment requests: Be suspicious if they insist on paying via non traditional banking services, especially for the refund.

• Urgency: Scammers often try to rush you so you don’t have time to think or check with your bank.

How to protect yourself

• Never refund an overpayment to a different account or through a different method than the original payment. If someone overpays you, do not send the money back immediately. Wait for the payment to fully clear and contact your bank for advice.

• Stick to standard payment methods. Bank transfers to NZ bank accounts are the safest way to handle rent and bonds.

• Verify the person. If they can't meet in person, insist on a video call to chat about the flat.

• Report it. If you see a listing or receive an enquiry that looks suspicious, let us know using the Community Watch button on the listing.

If you think you have been targeted

If you have fallen victim to a scammer, remember that it is not your fault. Contact your bank immediately and reach out to our Support team so we can help.

For more information on spotting suspicious activity, check out our guide on phishing emails and messages.