Security warning as MyBudget customers remain locked out

MyBudget has been accused of ‘not being on top’ of a ransomware attack, with thousands of customers still unable to access their own money.

• MyBudget outage: Everything you need to know
• Systems crash leaves MyBudget clients in financial limbo

Thousands of MyBudget customers still remain unable to access their own money have been criticised for not having robust security systems.

It comes after the Adelaide-based money management company remained tight-lipped about what happened when they experienced a system outage on May 9, making many of their 13,000 customers irate.

Nearly one week later confirmed it was a ransomware attack – this is a type of malware attack that threatens to publish victim’s data or block access to their information unless a ransom is paid.

Cyber security expert Susan McLean said any Australians who hand over all of their personal information to a third-party should be extremely careful.

“Especially when you don’t know what level of security and data protection they have which is clearly not good because that’s why this has happened,” she said.

“If they are willing to hand everything over to a third party and this happens then they are at the whim of the MyBudget people.

“The fact that it’s been over a week indicates to me they are not on top of it.

She said the data MyBudget held was “extremely valuable” and appealing to scammers.

But in a online statement the firm today said, “We have great news! Our automated systems are back up and running.

“We are now able to see your budget in its beautiful entirety and scheduled payments are being made automatically.”

Despite this customers are still unable to access their client web portal and cannot see their finances using the MyBudget app.

The firm said all automatic payments and transfers were being processed and any manual payments have been reconciled to prevent payments being made twice.

Project manager Melissa Smith, 28, from Spotswood in Melbourne has been extremely concerned about the safety of her money and has begun the process of changing all her passwords and bank accounts to ensure any money she has is safe.

Project manager Melissa Smith, 28, has been frustrated with the lack of information provided to her about the MyBudget system outage. Picture: Nicki Connolly

“I will change all my banks accounts and passwords which is annoying and frustrating and I’m not going to get compensated for that,” she said.

“It’s frustrating, they should have told us straight away what was going on, they knew what was going on and they refused to tell us.

She has been with MyBudget for more than a year and while she is considering leaving them she is worried if she does that she will have wasted investing in the business so far including paying an $1100 establishment fee to use their service.

On top of this start-up fee customers pay anywhere from around $40 to more than $60 per week for the firm to take care of their financial affairs.

MyBudget describes itself as providing “caring money management a, structure and support to ensure you have enough money to pay your bills on time, have savings in the bank and live the debt-free, stress-free life you desire”.

But this mantra has been thrown into disarray with the latest disaster which couldn’t come at a worse time during the COVID-19 pandemic when many people have already been hit financially.

The debacle last week forced customers to have to phone up MyBudget and ask for their payments to be manually processed but many customers did not know how much money they had in their MyBudget account nor know when their bills needed to be paid.

Global computer security software company McAfee’s regional director of MVISION Cloud Asia Pacific Joel Camissar said there are security concerns when third-party financial firms deal with customers’ money.

“Australians legitimately need to feel that when they use third-party financial services companies, their money is secure,” he said.

“Third-party financial services companies are seen by cybercriminals as the soft underbelly of the industry because they don’t always have the ability to invest in the same people, process, and technology that the large fintech players do.”

MyBudget, established by multi-millionaire businesswoman Tammy Barton, has previously been on the BRW Rich List and it has been reported the company turns over $34 million a year.

MyBudget founder Tammy Barton said her priority continues to be her 13,000 client base.

The firm’s Facebook page continues to be inundated with furious customers who cannot get through to MyBudget’s call centre and remain in limbo about their finances.

Customer Kate Lockyer wrote, “I’m trying to call, I don’t have a cracker in my account and none of my bills are paid but I can’t get through it’s constantly engaged.”

Another angry customer Sophie Roullier wrote, “I have tried for over a week to get through but it’s constantly engaged.

“I’ve sent emails and messages but have had no correspondence … can someone please get in touch with me??”

The Office of the Australian Information Commissioner and Australian Cyber Security Centre has been notified about the attack and My Budget is also working with government agencies and law enforcement bodies to ensure appropriate action is taken.

In an issued statement Ms Barton said MyBudget’s “number one priority is and always will be our clients”.

“We are working around the clock with external leading technology experts to ensure we restore our services so that we can provide the caring financial structure and support our clients have come to expect from us,” she said.

“As previously stated, any charges from creditors will be waived and MyBudget is working with clients on fee relief for those impacted.”

If you have been impacted please email [e-mail].

@sophieelsworth

Originally published as Security warning as MyBudget customers remain locked out