Fraud, scams on the rise in Mzansi
The South African fraud landscape has steadily increased over the past five years, making this one of the top risks South Africans face daily.
This is according to the latest statistics released by the Southern African Fraud Prevention Service (SAFPS), which paints a grim outlook on how criminals have targeted unsuspecting victims.
The 2024 Fraud Statistics point out a 32% increase in the number of fraud incidents reported to the SAFPS in 2023. CEO of the SAFPS, Manie van Schalkwyk, says the increase is alarming and indicates how South Africans have become ‘easy targets for fraudsters and scammers.’
“Once again, certain sectors are more open for fraudsters than others. Banking fraud made up 45% of the fraud incidents reported last year. This was followed by the Micro Finance Sector (19%) and the Clothing Retail Sector (14%). This indicates that financial institutions and the retail sector are under significant pressure regarding fraud,” says Van Schalkwyk.
Typically, the most populated provinces with a high urban density will lead the statistics. As with previous years, Gauteng, KwaZulu-Natal and the Western Cape are the main centres that experience fraudulent activity.
However, there has been a significant increase in the Free State. According to Van Schalkwyk, the province has experienced a 56% increase in fraudulent activity.
“Our investigations have picked up that this is being driven by money muling, which is very prevalent in the province,” she said.
Protective Registration gaining momentum against fraud, scams
Protective Registration is one of the SAFPS’ most essential services and is the core of its offering. This is a free service that protects individuals against future fraud.
Consumers apply for this service, and the SAFPS alerts its members to take additional care when dealing with that individual’s details. Protective Registration provides an added layer of protection and peace of mind regardless of whether the applicant’s identity has been compromised.
Because of the risks people face, South Africans are increasingly turning towards the SAFPS’ Protective Registration to give them an extra layer of protection.
“If a member of the public wants to become proactive in the fight against fraud, the SAFPS is there to serve them. Visit our website at www.safps.org.za. Then, click on the fraud prevention tab and protect yourself against identity theft with Protective Registration. For best results, use your smartphone to go to our website. Once you have uploaded key pieces of information, you will add another layer of protection against potential ID fraud,” says Van Schalkwyk.