Mon Oct 24 02:02:33 CAT 2016
Plea for a 72-hour break from Fees Must Fall

Open letter to South Africa’s students‚ universities and government‚ represented by Minister in the .


By unknown | Nov 24, 2009 | COMMENTS [ 0 ]

CREDIT card fraud continues to hit South Africa's banking industry, the South African Banking Risk Information Centre said yesterday.

CREDIT card fraud continues to hit South Africa's banking industry, the South African Banking Risk Information Centre said yesterday.

It said the industry's financial losses resulting from credit card fraud for 2009 had increased by 5percent.

This was a significant downward trend compared with the 30percent increase last year, said Sabric chief executive Kalyani Pillay.

She said banks remained committed to raising the public's awareness of its role in mitigating bank card fraud.

Most bank fraud losses involving South African-issued credit cards this year occurred inside the country.

Gauteng, KwaZulu-Natal and Western Cape accounted for 89percent.

Overall, card fraud losses decreased by 6percent.

"Sabric attributes the decline in card fraud inside our borders as a result of robust industry crime prevention measures, including public awareness.

"The reach of chip and PIN technology on the abuse of lost and stolen cards is beginning to be noticed," she said.

Real-time crime risk management also facilitated the immediate detection of, and response to, incidents of fraud at merchant level.

Counterfeit card fraud was the primary fraud loss category , having increased by 22percent to R144million.

"Skimming of cards via hand-held skimming devices still remains the main modus operandi to obtain information needed to manufacture counterfeit cards."

Pillay urged the public to adhere to safe banking messages from their banks, such as not to let their cards out of sight when transacting or accepting assistance with their ATM transactions.

"The fraudsters are operating in our midst."

Pillay said the banking industry continued to work closely with retailers on ways in which they could prevent over-the-counter purchases with counterfeit cards.

"The partnership forged with government, especially law enforcement agencies, has been one of the key factors in the progress to reduce bank related crime."

Pillay said police and Sars customs officials had played a huge role in the retrieval of skimming devices.

"Sabric will continue to work closely with them to ensure the public enjoys crime-free banking.

"Sabric advises bank clients to have their banks' lost and stolen card hotline number handy to report incidents in good time."

False application fraud and account takeover fraud decreased by 54percent and 42percent respectively .

Fraud losses through credit card transactions by phone, mail order or online were up 45percent, and fraud with genuinely issued cards that did not reach their recipients up 35percent. - Sapa


Login OR Join up TO COMMENT