ACCC: Beware of Melbourne Cup 'betting scams'

Scammers charge around $1000 and up to $15,000 or more for the software that promises huge returns based on past results and trends.

According to Scamwatch, horse racing versions of this software often claim that the predictions are based on weather conditions, the state of the horse, the draw or the condition of the jockey.

"Once purchased the systems do not work as promised and buyers can't get their money back," stated the SCAMwatch alert.

Additionally, the scams can also present business opportunities or investments and draw attention by using unsolicited emails, letters or phone calls.

The SCAMwatch warning said: "Ask yourself: If someone has a sure-fire way to win at the races, why would they choose to sell it to other people? These scams are just a ploy to rip you off.

"There are no get-rich-quick schemes, the only people who make money are the scammers. If it looks too good to be true — it probably is.”