SABRIC, the South African Banking Risk Information Centre, on behalf of the banking industry has released its annual crime stats for 2020.
Covid-19, in conjunction with the implementation of regulations of the Disaster Management Act had a notable influence on financial crime trends in 2020. It triggered changes in human behaviour, human movement and policing, creating new opportunities for criminals which significantly impacted the number of crime incidents. While some crime types decreased, others increased as criminals exploited Covid-19 for their own gain.
Overall, SABRIC has seen an increase in banking crime incidents. As customers turned to online shopping and settling payments on app, criminals enhanced their efforts to phish customers to steal their personal data to defraud them on digital and online platforms.
Digital banking fraud increased by 33%
Debit card fraud rose by 22%, while on a positive note, credit card fraud decreased by 7%. Contact crime was impacted by the restriction of movement and visible policing, resulting in a decrease in incidents. Associated robberies saw a decrease of 24% in 2020 when compared to 2019 with decreases evident in the Free State, the Eastern Cape and Mpumalanga.
While ATM attacks decreased by 9% overall, ATM explosive incidents increased by 20%. Cash-in-transit (CIT) robberies decreased significantly due to the Level 5 lockdown in April and May of 2020, but once restrictions were lifted, these increased again by 22% as criminals were able to move with fewer restrictions and fear of roadblocks and searches.
Robberies and burglaries also increased by 42% and 12% respectively.
SABRIC CEO Nischal Mewalall stated: “Your personal data, when combined with technology has become the new key to the safe that holds your money in a bank, so you must safeguard your data to prevent criminals getting access to your safe.”
Mewalall further warned that looking ahead, cybercrime and data breaches will represent a significant threat to customers and banks, because even the best security and technology can be compromised when criminals source and use legitimate data illegally to carry out a crime.
Mewalall also warns bank customers to never click on links in unsolicited emails as these links are used in phishing emails to drive people to ‘spoofed’ websites which look like legitimate online retailers, complete with enticing images and convincing taglines.
“Criminals use these bogus websites to harvest bank card details to make online purchases using your account. We are still seeing lots of scams advertising seemingly incredible deals for personal protective equipment, sanitiser and fake vaccines that exploit people’s concern for their health and safety.” adds Mewalall.
The full report can be found at www.sabric.co.za/media/1388/sabric-annual-crime-stats-2020.pdf, or via the short link at www.securitysa.com/*sabric2020
Tips to prevent Card Not Present (CNP) fraud
• Personal information includes identity documents, driver’s licences, passports, addresses and contact details amongst others. Always protect your personal information by sharing it very selectively and on a need-to-know basis only.
• Never share your confidential information which includes usernames, passwords and PIN numbers with anyone.
• Review your account statements on a timely basis, query disputed transactions with your bank immediately.
• When shopping online, only place orders with your card on a secure website.
• Register for 3D Secure.
• Implement dual authentication for all accounts and products, especially for financial services products.
• Do not send emails that quote your card number and expiry date.
• Do not use your information if you suspect it may have been compromised. Rather use other personal information that you have not used previously to confirm your identity in future.
• Register for SMS notifications to alert you when products and accounts are accessed.
• Conduct regular credit checks to verify whether someone has applied for credit using your personal information and if so, advise the credit grantor immediately.
• Investigate and register for credit related alerts offered by credit bureaus.
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