Nedbank warning to South Africans with smartphones

Nedbank has warned its banking app customers in South Africa of rising cases of smartphone theft, and a new wave of spam calls impersonating officials.

The bank told its customers that they may receive a call from someone claiming to be employees working for the Nedbank fraud department, SAPS, SARS, customs, or any similar organisation.

These callers will ask customers to move money to another account to keep it safe or for further verification. They may also ask customers to install an app from a WhatsApp, email, or SMS link.

They could also ask clients for their secret information, such as their Nedbank ID username and password, card PIN, expiration date, or CSC.

Nedbank said customers should hang up when approached by fraudsters demanding these details. It added that customers should remain calm and not let anyone rush them into divulging information.

If someone calls and says something terrible will happen unless you act fast, it’s likely a scam.

When it comes to apps, app users should only download apps from official stores like the Apple App Store or Google Play Store.

Customers should also always check with their bank before they do anything. If Nedbank customers suspect fraud, they should report it immediately by calling 0800 110 929.

In addition to scam calls and fraudsters looking for an angle on victims, banking customers also need to be hyper-aware of the security around their physical devices.

Nedbank warned that criminals are increasingly targeting smartphones, with the risk of poor device security exposing the victims’ personal data and digital banking accounts.

South Africa’s high crime rate makes it vital to secure belongings, whether at home or in public, it said.

Recent stats point to a rise in phone theft, with the SAPS reporting 189 cell phones stolen on average daily in South Africa.

From April 2017 and March 2023, the SAPS reported over 412,998 stolen mobile phones, with less than 30% blacklisted by service providers.

Gauteng has the largest share of thefts (29%), followed by the Western Cape (26%), KwaZulu-Natal (20%), and the Eastern Cape (7%).

“Take special care to keep your digital devices safe – the combination of easy portability and high value makes them more attractive to burglars, pickpockets, smash-and-grab robbers, and bag snatchers,” said Nedbank.

In addition to potentially having bank accounts breached, the other big concern that comes with having a smartphone or digital device stolen is that it may expose personal data to criminals, leading to identity theft.

‘Big Four’ warnings

Nedbank is not alone in warning customers about potential avenues of fraud; Standard Bank and Capitec have also highlighted rising trends in fraud and scams.

Standard Bank recently warned South Africans about the growing threat of Card-Not-Present (CNP) fraud, which is exacerbated by the rise of delivery apps, e-hailing, video on demand, and online shopping services.

These online platforms often offer targeted ads when shopping. However, these ads increase the chance of being a victim of CNP fraud.

CNP fraud occurs when stolen card details are used for online purchases and subscriptions with no physical card required.

Criminals will exploit vulnerabilities in e-commerce platforms to steal card numbers, expiration dates, and CSCs.

Malicious pop-up ads are a common modus operandi for fraudsters. Food delivery, e-hailing services, and social media sites are the main targets, as they store sensitive data for ease of use.

Moreover, Ontiretse Modise, Head of Cash Management in Transaction Banking at Standard Bank CIB, said that the shift to instant payments has led to new challenges. 

Irreversible transactions, particularly those done via EFT or PayShap, carry an increased risk. 

Standard Bank said that the rise of cybercrime, including fraud and data breaches, is worsening the complexity of the new ecosystems.

The South African Reserve Bank (SARB), a major driver behind PayShap, warned that EFT payments are final and irrevocable, and consumers cannot reverse a transaction in fraud cases.

Standard Bank warned that cybersecurity is a shared responsibility, working with clients on the best ways to protect their businesses and improve their fraud detection systems. 

Capitec, meanwhile, has flagged several scams targeting South Africans in 2025, including authorised push payment fraud, Ponzi schemes, investment, advance fees, and courier scams.

Investment scams are becoming particularly more common as South Africans look everywhere for quick money to combat the rising cost of living.

These scams typically involve promises of unusually high returns with minimal risk.

Victims are enticed to invest in what seems like a lucrative opportunity, only to discover later that the scheme was fraudulent.