Nedbank warns South Africans about AI risks

South Africans are increasingly relying on artificial intelligence (AI) technology, but users must be cautious about what they share online. This information can be used to train models, compromise privacy, or even fuel scams.

Nedbank recently explained that users must actively manage their privacy by understanding data use, adjusting settings, and being mindful of what they share online.

“Living with zero digital footprint isn’t easy – it may not even be possible in today’s digital world,” the bank said.

Nowadays, with the right smart device and software, everything from banking and filing your tax returns to shopping and applying for an ID or passport can be done much faster and more conveniently through digital channels.

“But even if you’re an enthusiastic fan of the convenience that digital advances have brought us, you may still be one of the many concerned about how AI is evolving and how it uses your personal data to do so,” Nedbank said.

“AI models learn from our interactions online to become more intuitive. Whether it’s training chatbots or predicting what you need before you ask, your data plays a big role.”

Nedbank explained that AI works by comparing patterns in large data sets, and as the technology keeps evolving, the demand for data will only increase.

“This means more competition for your personal info, which is why it’s important to take control and protect your privacy,” the bank said.

“Privacy laws based on fair information practices (FIP) help, but they don’t cover everything. We need better regulations that look at the bigger picture, not just individual privacy rights.”

Although FIPs themselves are not legally binding, the bank noted that they have shaped many data protection laws and frameworks worldwide.

“In South Africa, the Protection of Personal Information Act (POPIA) aligns with several FIP principles, such as data collection limitations, purpose specification, and security safeguards,” it said.

“Although laws like this are beginning to address AI use, there’s still a long way to go before we have solid, global data protection.”

How to protect your data

As global data protection starts to take shape, Nedbank said that there are steps users can take to make less of their data available to AI.

First, the bank encouraged consumers to think before they post on social media.

“We’ve all scrolled through social media sharing random thoughts and updates, and you probably think it’s harmless – and most of the time it is,” Nedbank said.

“In the context of an online thread, people can generally spot when you’re being sarcastic, ironic, or humorous, or just blowing off steam because you’re angry. But taken out of the context, the same post could be incredibly offensive.”

“And once you post it, it’s out there. Even if you delete it, someone may have already taken a screenshot.”

That data can be incorporated into AI models, or used in identity theft or deepfakes, Nedbank warned.

“A good rule of thumb is that if you wouldn’t want something quoted under your name on a billboard over the highway, it’s best not to post it,” it said.

The bank also urged users to read the fine print before agreeing to a privacy policy. While these policies may be time-consuming and boring, it is important to read them.

“Since companies are legally required to tell you how your data is collected, used, and shared, that information will usually be tucked away in the fine print,” the bank said.

“Knowing the details of the privacy policy – including what you can opt out of – helps you make better decisions about what to share and what to keep private. It may also motivate you to push for better data protection laws.”

Nedbank urged South Africans to check their privacy settings

Nedbank also urged South Africans to check their privacy settings, which can help to keep data safe.

“Platforms change how they use your data all the time, and you may not even notice when the change happens,” it said.

“Check your privacy settings regularly – not just the general settings on your desktop, but also the settings for each app and program on your device.”

“This will enable you to maintain control and adjust your settings according to what you want to share. If you see something that you’re not comfortable with but can’t change, it might be time to stop using that app or program.”

Nedbank further warned that South Africans should be careful of chatbots.

“Chatbots are convenient, quick and relatively easy to use. However, sharing your personal information with them can be risky since you don’t know who is handling this information behind the scenes,” the bank warned.

“The data you share might end up being used to train the bot or stored in a vulnerable database. Treat chatbots like you would a real person – don’t share anything you wouldn’t tell someone you don’t trust.”

Nedbank said that there are a few red flags users should look for when using AI technology.

One common issue is opt-out defaults. Many platforms automatically set data sharing to “on”, making it important to manually opt out if you prefer to keep your information private.

Another concern is hidden settings, as privacy controls are often buried deep within account menus and can easily be overlooked.

Regularly checking and updating these settings helps maintain control over your data.

Lastly, Nedbank warned that users should be cautious of confusing language in terms and conditions.

If something is unclear, don’t hesitate to contact the service provider or conduct online research to better understand how your information is being used.

“Keeping up with technology is tough, but avoiding it isn’t the answer either,” the bank said.

“While laws continue to catch up with how we handle data, it’s up to you to stay aware of the risks and be mindful of what you share.”