{"id":808704,"date":"2025-01-27T11:30:00","date_gmt":"2025-01-27T09:30:00","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=808704"},"modified":"2025-01-27T11:41:40","modified_gmt":"2025-01-27T09:41:40","slug":"important-announcement-for-south-africans-with-credit-and-debit-cards","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/banking\/808704\/important-announcement-for-south-africans-with-credit-and-debit-cards\/","title":{"rendered":"Important announcement for South Africans with credit and debit cards"},"content":{"rendered":"\n

South Africans will soon be unable to use their banking cards at toll gates as banks and toll concessionaires move to combat the growing threat of card fraud. <\/p>\n\n\n\n

The widespread issue of card cloning has prompted a shift in payment methods, with the aim of improving security and protecting motorists from financial losses.<\/p>\n\n\n\n

Nedbank recently announced that people won\u2019t be able to swipe their debit cards at tollgates starting 20 January 2025. <\/p>\n\n\n\n

This decision follows an alarming rise in debit card fraud at toll plazas. <\/p>\n\n\n\n

While customers can still use credit cards, garage cards, cash, or electronic tags for payment, the changes reflect an urgent industry-wide effort to address vulnerabilities. <\/p>\n\n\n\n

Nedbank\u2019s actions align with broader measures being adopted across the country.<\/p>\n\n\n\n

The banking and toll industries are introducing contactless payment systems as a safer alternative to traditional magnetic stripe (magstripe) card swipes. <\/p>\n\n\n\n

FNB, in partnership with Visa, has already begun rolling out contactless payment technology at select tollgates ahead of the festive season. <\/p>\n\n\n\n

This initiative comes as the industry regulator enforces a phased transition away from magstripe cards.<\/p>\n\n\n\n

Starting 1 December 2024, magstripe payments will be gradually replaced with contactless methods<\/strong>, a move supported by Trans African Concessions (Trac) and the South African National Roads Agency (SANRAL).<\/p>\n\n\n\n

According to Trac, swipe payments will no longer be accepted at N4 tollgates, and motorists will need to rely on contactless cards, smart devices, Trac tags, or cash.<\/p>\n\n\n\n

SANRAL and other toll concessionaires will continue accepting magstripe payments until 31 May 2025<\/strong>, and fleet and garage magstripe cards will be allowed until June 2026.<\/p>\n\n\n\n

The shift is driven by escalating incidents of card skimming and cloning at tollgates. <\/p>\n\n\n\n

Fraudsters capture card information using various techniques, including overlay skimmers, internal skimmers, and wireless devices. <\/p>\n\n\n\n

These devices are often paired with fake card readers or hidden cameras to steal PINs, enabling criminals to make unauthorised transactions. <\/p>\n\n\n\n

\"\"<\/a><\/figure>\n\n\n\n

Toll plazas have become easy targets for these crimes because they process lots of small payments, which can go unnoticed at first.<\/p>\n\n\n\n

A recent case highlights the extent of the problem. <\/p>\n\n\n\n

An FNB customer reported unauthorised charges amounting to R5,000 at the Machadadorp and Middleburg toll plazas, despite having cancelled the affected card. <\/p>\n\n\n\n

This underscores the ease with which fraudsters can exploit magstripe cards, prompting banks and toll operators to accelerate the adoption of more secure systems.<\/p>\n\n\n\n

SANRAL spokesperson Vusi Mona noted that the traditional practice of handing over cards at toll booths has long been a point of concern. <\/p>\n\n\n\n

Contactless payments aim to eliminate this vulnerability by allowing motorists to complete transactions without surrendering their cards. <\/p>\n\n\n\n

This aligns with global trends in payment security, offering a more efficient and safer experience for road users.<\/p>\n\n\n\n

However, the issue of magstripe fraud is not limited to tollgates. <\/p>\n\n\n\n

Experts like Loyiso Boyce, Managing Director of Clyrofor, emphasise that such fraud occurs across various settings, including ATMs and retail stores. <\/p>\n\n\n\n

Boyce pointed out that fraudsters often exploit small, frequent transactions, which can accumulate into significant financial losses before victims become aware.<\/p>\n\n\n\n

The South African Banking Risk Information Centre (SABRIC) corroborates these concerns, reporting that card fraud remains a pervasive challenge. <\/p>\n\n\n\n

Online transactions, in particular, have seen a surge in Card Not Present (CNP) fraud, accounting for 68% of gross fraud losses and marking a 19% increase from the previous year. <\/p>\n\n\n\n

While the transition to contactless payments at tollgates addresses one facet of card fraud, the broader issue requires ongoing vigilance and innovation.<\/p>\n\n\n\n

For South African motorists, the upcoming changes signal a necessary adjustment to payment habits.<\/p>\n\n\n\n

Magstripe cards will soon stop working at these locations, but contactless payments will make things safer and more convenient. <\/p>\n\n\n\n

\n","protected":false},"excerpt":{"rendered":"

Big changes are happening at South Africa\u2019s tollgates to stop card fraud across South Africa. <\/p>\n","protected":false},"author":92,"featured_media":808722,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[961],"tags":[76,1799,429,853,21466,21009],"class_list":["post-808704","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-banking","tag-fnb","tag-nedbank","tag-sanral","tag-south-africa","tag-the-south-african-banking-risk-information-centre-sabric","tag-trac"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/808704","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/92"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=808704"}],"version-history":[{"count":5,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/808704\/revisions"}],"predecessor-version":[{"id":808810,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/808704\/revisions\/808810"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/808722"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=808704"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=808704"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=808704"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}