The “Free Tai Chi Class” Malware Scam: How Australians Are Losing Thousands

Online scams are constantly evolving, and a new one is currently targeting Australians through something that appears harmless — free community classes.

The Australian Competition and Consumer Commission (ACCC) has issued a warning about a recent Tai Chi scam spreading through social media that tricks people into installing malware on their phones or computers. The scam often promotes “free tai chi classes”, but similar tactics are now appearing for activities like dancing, walking, or hiking.

At first glance, the offer looks like a normal community activity advertisement. Unfortunately, it’s actually a carefully designed trap designed to steal money and personal information.

Understanding how the scam works — and who is most at risk — can help you avoid becoming the next victim.

How the Tai Chi Malware Scam Works

The scam usually starts with a sponsored post or community group on social media offering free classes.

Here’s the typical sequence used by scammers:

1. A social media advertisement appears

   • Often on Facebook or other platforms

   • Promotes “free classes” or a community activity group

   
   

2. You join the group or contact the organiser

   • The group may appear legitimate

   • It may have photos, posts, and friendly messaging

   
   

3. You receive a call or message

   • Someone posing as an organiser contacts you

   • They ask you to download an app to view the timetable or register

   
   

4. The malware is installed

   • The app download actually installs malicious software

   • The malware can steal banking details, passwords, and personal information

   
   

5. Money is stolen quickly

   • Victims have reported losing around $5,000 on average

   • Some losses occur within minutes of installing the app

In one reported case, an Australian victim lost thousands of dollars within 15 minutes of downloading the app.

Once the malware is installed, scammers can potentially access:

• Online banking

• Passwords

• Personal identification

• Contact lists

• Email accounts

Effectively, downloading and installing their app is giving them the keys to your digital castle.

Who is Most At Risk

While anyone can be targeted, scammers often design these campaigns to appeal to specific groups.

According to scam experts, older Australians are particularly at risk because the scams often promote activities that appeal to retirees and seniors.

Groups most commonly targeted include:

1. Older Australians

Community activities such as tai chi, walking groups, or dance classes are commonly advertised to seniors.

2. People who enjoy community groups

Anyone looking for:

• Local fitness classes

• Social groups

• Hobby clubs

• Community events

3. Social media users who click sponsored posts

Scammers often pay for advertising so their fake groups appear legitimate.

4. People comfortable installing apps outside official stores

Many victims are tricked into downloading apps from websites rather than official app stores.

Warning Signs to Look For

The scam often looks convincing, but there are several warning signs.

Watch out for:

• Free classes that require downloading an app

• Being asked to download software from a website

• A group administrator calling you directly

• Urgency or pressure to register immediately

• Apps that are not available on official app stores

  
  

A key rule to remember: Legitimate community groups rarely require downloading special apps just to see a timetable.

How to Avoid the Scam

Here are the most effective steps you can take to protect yourself.

1. Only Download Apps from Official Stores

Only Use:

• Apple App Store

• Google Play Store

NEVER install apps from links sent through social media or text messages.

2. Be Skeptical of “Free” Offers

Scammers often use free classes or giveaways to attract attention.

You know the old saying - "If something sounds too good to be true — it probably is."

3. Verify the Organisation

Before joining any group:

• Search for the organisation online

• Check reviews and remember that overly flowery or positive reviews can also be a warning sign

• Look for an official website

• Contact them directly through known channels

  
  

4. Never Install Apps Requested by Strangers

If someone asks you to download software to register for an activity, it’s a major red flag. This is an example of a point in time we often discuss, when you should stop, think, and ask a friend for their opinion.

5. Talk to Family Before Acting

Many scams rely on victims acting quickly and are designed to impart a sense of urgency.

If you're unsure, pause and ask a trusted friend or family member.

What To Do If You Have Already Downloaded the App

Act quickly. The sooner you respond, the better your chances of limiting financial damage.

Step 1: Contact Your Bank Immediately

Tell your bank that you may have installed malware.

The bank can:

• Freeze accounts

• Reverse transactions

• Issue new cards

Step 2: Disconnect Your Device

Turn off internet access to prevent further data transfer.

Step 3: Run Security Checks

Use reputable antivirus software or have a professional check your device.

Step 4: Change All Passwords

Update passwords for:

• Banking

• Email

• Social media

• Shopping accounts

Step 5: Report the Scam

Report the incident to:

• Scamwatch - Sharing your experience can help other avoid falling for the same trap.

• Your bank

• Local police, if money was stolen

  
  

Reporting helps authorities identify and shut down scam operations.

Final Thoughts

Scammers are constantly changing their tactics. Today it may be tai chi classes — tomorrow it could be photography clubs, book groups, or walking groups.

The key lesson is simple:

Never download apps or software from unknown sources, especially when prompted by strangers online.

Taking a moment to verify before clicking could save you thousands of dollars.

As a matter of best practice, only use the Apple App store or Google Play store to download and install apps.