Standard Bank fraud warning

Standard Bank has warned consumers to be aware of increased attempts from criminals to defraud South Africans over the festive season. 

The bank also said that fraudsters are intensifying their tactics. It observed several methods being used to deceive ATM users and other vulnerable individuals. 

One common scam involves altering ATM language settings to confuse users, while another sees fraudsters activating the “cardless function” to disorient customers. 

A frequent tactic, especially during busy periods like Easter, Black Friday, and the festive season, is jamming card slots or PIN pads to steal cards or money. 

“These methods are designed to create confusion and make it easier for fraudsters to steal people’s cards or money,” explains Athaly Khan, Head of Fraud Risk Management at Standard Bank.

Khan also warns about “shoulder surfing,” where someone watches you enter your PIN to steal it. This does not occur only at ATMs but can occur whenever you use your credit or debit card.

She advised customers to always check for signs of tampering on ATMs or point-of-sale devices, as card skimming incidents have been reported.

Standard Bank said fraud rose throughout the festive season, including ATM fraud, credit card scams, and vishing. 

Vishing involves fraudsters using phone calls or voice messages to trick people into sharing personal information, like bank details or passwords.

This scam often targets vulnerable individuals, with fraudsters posing as bank officials, tax agents, or investment firms. 

They trick victims into taking actions that jeopardise the security of their bank accounts, sometimes claiming that the account is at risk and urging them to transfer their money to a different account for “safekeeping”.

“A growing concern is victims approving one-time passwords (OTPs), which gives fraudsters access to their accounts. We advise customers to never share their credentials or transfer money at anyone’s request, even if they claim to be from their bank,” said Khan.

Protecting against fraud

Standard Bank outlined several ways for consumers to protect themselves from fraud over the festive season. 

Protecting Yourself from ATM Fraud

• Trust your instincts: If an ATM seems faulty or suspicious, cancel the transaction, check your card, report it to your bank, and use another machine.
• Choose safe locations: Use ATMs in well-lit, busy areas. Avoid isolated, poorly lit spots.
• Be cautious of strangers: Don’t accept help from strangers at ATMs. Fraudsters often use distractions to steal your card or money.
• Protect your PIN: Always cover your PIN when entering it, and only enter it when prompted by the machine. Be aware of anyone looking over your shoulder.
• Keep your card secure: Never leave your card unattended and store your PIN separately.
• Limit cash exposure: Avoid carrying large amounts of cash, especially during busy periods like the festive season.
• Stay alert: Never share your card details, OTP, or PIN over the phone or text. Legitimate banks won’t ask for this information. Hang up if you receive such a call.
• Don’t engage: If someone claims you’re being defrauded, don’t follow their instructions. Legitimate banks will handle suspicious activity on their own.
• Stop your lost or stolen cards: You can do this immediately at our ATMs and on the Banking App.

The bank has also flagged an increase in phishing attacks around online spending, with a notable surge around Black Friday expected to continue into the festive season. 

Phishing attacks are where fraudsters send deceptive emails pretending to be legitimate companies such as retailers, streaming services, and banks. 

These emails contain links to fake websites designed to steal sensitive information like login details and PINs. 

Some scammers also entice recipients by promising rewards to the first few buyers, encouraging them to click on malicious links.

Another increasingly common tactic is the goods scam and online purchase scam, where fraudsters promote heavily discounted deals through social media. 

They create pages, build a fan base, and post fake reviews to lure buyers. Once an interested buyer engages, the conversation shifts to WhatsApp to discuss banking and courier details. 

After the victim makes the payment and provides proof, the social media pages and phone numbers vanish.