SABRIC concerned about increase in card fraud in Eastern Cape

NOVEMBER 19, 2015

There is a concerning increase in card fraud in the Eastern Cape and Mpumalanga provinces, the South African Banking Risk Information Centre (SABRIC) said on Wednesday, adding that they were closely monitoring the situation.

While card fraud was a national threat, mostly affecting Gauteng, Western Cape and Kwa- Zulu Natal, SABRIC, however, said that it was pleased that the banking industry has seen an overall decrease in card fraud in 2015.

In releasing its annual card fraud statistics, SABRIC has stated that credit card fraud has decreased by 28.6% from R353.3 million in 2014 to R252.2 million in 2015 with an increase of 8.3 % for debit card fraud in the same period.

The banking industry attributes the overall decrease to the various mitigation measures implemented to fight the scourge of card fraud which have been effective. These measures include the continuous improvement of internal systems and processes as well as the roll out of chip and PIN technology for debit cards.  

SABRIC CEO, Kalyani Pillay explained that the SABRIC model of sharing information between the banks, also contributed to the decrease; “SABRIC provides the industry with an industry view of crime trends and facilitates a collective approach to the combating of card fraud”.

The industry statistics indicate that Lost and/or Stolen card fraud accounted for 46.2% of debit card fraud losses reporting during 2015. With the roll out of chip and PIN, criminals are reverting to card jamming and swopping at ATMs accompanied by shoulder surfing for PIN numbers.  

Whilst credit card related Card Not Present (CNP) fraud increased by 12.6% from the previous year, it now accounts for 75% of the losses relating to SA issued credit cards, which is of concern.

SABRIC’s finding that counterfeit card fraud in respect of both credit and debit cards has decreased significantly is welcomed by the industry.

Pillay, however, cautions bank clients to continue to protect their cards during the festive season as the risk of card skimming, especially in the vicinity of ATMs, remains high.

“Always cover the hand that is typing the PIN when using your bank card,” Pillay advised.

The banking industry encourages bank clients to use the following tips during the festive season:

  • Never accept assistance from strangers as they could be trying to distract you in order to get your card or PIN
  • Keep your r PIN secret even from family members or Bank officials
  • Should your card be retained in the ATM, block your card before you leave the site
  • Register for 3D secure before using your bank card online

What should I do if I suspect my card has been skimmed?

Whether skimmed, stolen or lost:

  • Please immediately phone the FNB Card Cancellations Call Centre: 0800 110 132 or +27 11 369 1189 (international).
  • You can also phone the Visa Global Customer Care Assistance number: 0800 990 475
  • You can cancel your Debit Card at any FNB ATM by simply entering your ID number and the PIN number of the last debit card used.
  • Report the card immediately by calling the Standard Bank lost card call centre on 0800 020 600 from South Africa or +27 11 299 4114 from overseas. The lost card call centre is open 24 hours, 7 days a week.
  • They recommend that you record your card number in a safe place, as it will help identify the card should you need to cancel it.
  • For ABSA call 0800 11 11 55 or +27 (0) 11 501 5050 from abroad.
  • For Capitec call 0860 10 20 43 or +27 21 941 1377 from abroad.
  • For Nedbank call 0860 555 111 International dialling: +27 11 710 4000.

Related:

SIX WAYS TO PROTECT YOURSELF FROM ATM CARD SKIMMING AND SWOPPING

ATM SKIMMING IN PORT ELIZABETH: HOW TO PROTECT YOURSELF

Video shows how criminals operate at ATMs - video courtesy of Tribe2Tribes on Youtube.