Protect yourself: common fraud tactics during the festive season

By: Athaly Khan

As the festive season draws near, Standard Bank urges consumers to be extra vigilant as fraudsters are intensifying their tactics. The Bank’s Fraud Risk Management team has observed several methods used to deceive ATM users, particularly vulnerable individuals like the elderly or those unfamiliar with other languages.

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

There is also “shoulder surfing,” where someone watches you enter your PIN to steal it. It’s not just at ATMs – beware anywhere you use your bank card or enter sensitive information.

Customers must always check for signs of tampering on ATMs or point-of-sale devices, as card skimming incidents have been reported.

Vishing on the rise – targeting vulnerable consumers

During the festive season, fraud rises across the board, including ATM fraud, credit card scams, and especially 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.

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.

• Register for My Updates: Ensure your cards are registered for My Updates to receive alerts on all transactions.

• 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.

* Khan is the head of fraud risk management at Standard Bank.

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