Important warning to all South Africans with a bank account

The South African Banking Risk Information Centre (SABRIC) has warned all banking customers about the surge in criminals using AI to defraud victims, with some having lost millions. 

SABRIC warned that criminals now leverage artificial intelligence to impersonate banks, officials, and financial institutions across multiple digital platforms.

“This is making it increasingly difficult for consumers to distinguish between legitimate and fraudulent communications,” it said.

SABRIC works closely with banks, law enforcement, and regulators to detect fraud, track emerging threats, and educate consumers on staying safe. 

The centre noted that the latest wave of scams is particularly concerning, as fraudsters use deepfake videos, voice cloning, and AI-powered chatbots.

Using these advanced AI tools means criminals can create highly convincing impersonations of bank representatives.

One of the most alarming trends is the proliferation of fake investment apps and fraudulent social media schemes. 

Standard Bank recently flagged a scam involving a fraudulent WhatsApp group promoting SBG SI Trader, a fake investment app designed to steal personal data and money. 

The app falsely claimed to be affiliated with Standard Bank, SBG Securities, and its online share trading platform. 

It even referenced the bank’s Financial Sector Conduct Authority (FSCA) license and an actual employee to add legitimacy. 

The bank stressed that customers should be extremely cautious about social media messages, emails, or phone communications requesting personal information.

SABRIC said scams are going beyond fake banking apps. Criminals also impersonate bank officials on social media, posting fraudulent reviews and endorsements.

The scammers even generate fake news articles to gain credibility and to lure unsuspecting victims into their schemes. 

The consequences of falling for such scams can be devastating. In one case, a victim was tricked into investing over R6 million under the pretence of trading on the Johannesburg Stock Exchange (JSE). 

The scammers, posing as bank employees, used a fake app and manipulated digital communication channels to gain the victim’s trust and ultimately siphoned the funds. 

Another individual lost over R100,000 after being deceived by a fraudulent broker who created a professional-looking website and used social engineering tactics to convince the victim to invest.

Despite promises that they could withdraw their funds at any time, the victim lost everything.

Warning about AI scams from SABRIC CEO Nischal Mewalall

SABRIC CEO Nischal Mewalall warned that AI-driven scams are now so advanced that even the most cautious individuals can be deceived. 

“Criminals can convincingly replicate voices, craft realistic emails, and even develop entire fake apps to steal personal information and money,” said Mewalall.

“Always verify before trusting. If someone claims to be from your bank, hang up and contact the bank through an official channel.”

The Southern African Fraud Prevention Service (SAFPS) has also reported that impersonation fraud surged by 337% last year compared to the previous year. 

According to SAFPS CEO Manie van Schalkwyk, the increase is alarming and shows how South Africans are becoming prime targets for fraudsters. 

“Criminals are increasingly opening or taking over accounts using stolen identities, making identity theft one of the fastest-growing threats in the country,” he said. 

To protect yourself from these scams, SABRIC highlighted several ways people can remain vigilant:

• If an offer sounds too good to be true, it probably is. Be wary of investment opportunities that promise “guaranteed” returns.

• Never download apps from links sent via WhatsApp, SMS, or email—always use official app stores.

• If you receive a call, message, or email from someone claiming to be from your bank, verify their identity by calling your bank directly through its official contact number.

• Banks will never ask for your PIN, one-time password (OTP), or banking credentials. Additionally, legitimate bank executives do not sell or promote investment opportunities to the public.

SABIC added that if you suspect fraudulent activity, report it immediately. Contact your bank and alert the relevant authorities.

“These scams are not just targeting a select few—they are affecting everyday South Africans, depleting life savings, and undermining trust in digital banking,” it warned.