Instagram and Facebook-owner Meta Platforms said on Monday it had introduced stricter rules for advertisers of financial products and services targeting Australians, in a bid to crack down on scams on the social media platforms.
The move comes after Meta in October said it took down 8,000 so-called “celeb bait” ads, as part of an effort with Australian banks to curb the scams that use images of famous people to trick consumers into giving money to fake investment schemes.
Advertisers will now be required to verify their beneficiary and payer information, including their Australian Financial Services License number before they can run financial services advertisements, Meta said.
“The introduction of financial advertiser verification is an important additional step towards protecting people in Australia from these sophisticated scammers, Meta ANZ managing director Will Easton said in a statement.
Once advertisers are verified, they will have to include their payer and beneficiary information in their ads, which will show up in a “Paid for By” disclaimer after the ad is approved, the company said.
Last month, Australia’s centre-left government dropped plans to fine internet platforms up to 5% of their global revenue for failing to prevent the spread of misinformation online.
The bill was part of a wide-ranging regulatory crackdown by Canberra, where leaders have complained that foreign-domiciled tech platforms are overriding the country’s sovereignty, and comes ahead of a federal election due within a year.
Australia this week approved a landmark law banning social media for children under 16.