Woolworths customers scammed of loyalty points

Melissa Buttigieg
News Reporter

Woolworths has warned customers who use its Rewards card may have fallen victim to fraudsters stealing their loyalty points, in a nationwide scam.

The Rewards program allows customers who collect points at applicable stores, including Woolworths supermarkets, BWS, and BIG W, to earn a cash discount at the register, or convert them into Qantas points.

A Woolworths spokesperson confirmed to Yahoo7 on Thursday fraudsters have been responsible for redeeming points from around 130 Rewards member accounts over the past few months.

Woolworths has warned customers who use its Rewards card may have fallen victim to fraudsters stealing their points, in a nationwide scam. Source: Getty

In an email sent to customers, the supermarket giant issued a warning that they could be at risk from a loyalty program scam. 

It’s believed numerous scammers accessed Woolworths Rewards memberships using valid login and password details, obtained using separate online scams or other sources.

 “Woolworths has investigated and found no evidence to suggest its systems have been breached or compromised,” the company said in a statement.

In all cases, Rewards accounts have been accessed with valid login and password details, indicating fraudsters have obtained login credentials from online scams or other sources.”

It is believed numerous scammers  accessed Woolworths Rewards memberships  using valid login and password  details, obtained using separate online scams or other sources. Source: Getty

Woolworths strengthens security controls to thwart scammers

In response to the theft, the company has moved to tighten account management controls for its Woolworths Rewards.

Woolworths has enhanced its password security; emailed compromised members with a unique one-time code to access their account; and sent out notifications of any changed redemption preferences.

“Woolworths has taken the precautionary step of locking down hundreds of additional Rewards online accounts with suspicious point redemptions,” a spokesperson said.

The company said it has contacted the affected members directly to work with them to protect their accounts and points.

Woolworths Director of Loyalty, Ingrid Maes said the company takes its responsibility to uphold the security of customers’ accounts seriously.

“It’s clear fraudsters are becoming more sophisticated in the ways they target users online and our members are unfortunately not immune to these threats.

“That’s why we’ve put in place a range of new account security controls to help our members keep their accounts more secure,” she said.

“As always, we encourage our members to remain ever vigilant of online scammers and to keep their accounts as secure as possible with strong and unique passwords.”

The company has pledged to restore all fraudulently redeemed points of affected customers. 

The scam comes one year after a number of customers claimed their Woolworths Rewards cards were breached and their accumulated loyalty points stolen.