A panel of financial experts shared tips on how senior citizens can manage their money well and keep safe from card fraud.
Card fraud remains a rising risk for consumers, more so to senior consumers who are often the most vulnerable to fraudulent attempts.
Therefore, the need to remain vigilant when using or managing your bank card remains key to protecting yourself against fraudsters.
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Bridgette Walsh Kruger, CEO of FNB Private Clients said, “We strongly encourage customers, more so our senior customers, to always practise some precautionary measures to protect themselves against possible fraud when transacting.
“Protecting yourself is not simply limited to your physical banking card, it also includes being observant and practising safe banking behaviour at ATMs, over the phone or through your card data that can be used to buy goods online.”
“It’s also important to emphasise that if one is negligent in protecting their banking details, they could, unfortunately, find themselves liable for debt racked up by criminals who have accessed their bank card information fraudulently,” said Kruger.
Trish Ramdhani, head of fraud at FNB, said managing one’s money is a collective effort between the customer and the bank; however, criminals are aware that banks continue to make a substantial investment in security systems; therefore, they predominantly target customers when attempting to defraud.
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“Often, the victims are senior customers who either welcome unsolicited help or those who are, unfortunately, unaware of this modus operandi.”
“To prevent this, people need to be informed, educated and support seniors and all other customers to bank safely without falling victim to fraud.
“Bank cards have many security features designed to minimise fraud while improving convenience, but card safety is a two-way street that requires consumers to exercise caution to avoid falling victim to fraudulent activities.”
Ramdhani said banking customers should not only be vigilant when using their cards in physical environments such as ATMs but they should also exercise heightened caution when using virtual or digital platforms, like a banking app, online banking, cellphone banking and online shopping merchants.
Ramdhani advised senior citizens to always remember the following basics of card safety when banking:
• Take note of card safety measures recommended by your bank.
There is a lot of misinformation about how people can prevent card fraud, but it is always best to follow your bank’s recommendations on card safety, in addition to conventional ways of safekeeping your valuables.
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“Do not listen to anyone who suggests using reckless measures that could damage the quality and functionality of your card. Bank cards are designed to perform specific tasks and contain a lot of security detail, which may not be visible to the naked eye; therefore, tampering with it could cause irreparable damage,” said Ramdhani.
• Do not keep your card together with your PIN.
This is one of the golden rules of card safety, but it is often ignored because people cannot anticipate losing their bag or wallet, which tends to store such valuables. Rather be safe than sorry and memorise your PIN instead of writing it on a piece of paper or saving it on your phone.
• Do not disclose sensitive information to anyone pretending to be calling from the bank.
People claiming to be phoning from a bank might not actually be from the bank. Always know who you are dealing with.
Fraudsters might contact you pretending to be phoning from a bank’s fraud department to assist you with a fraudulent transaction or debit order.
The purpose of the fraudulent call is to obtain sensitive information from you such as your one-time pin (OTP).
The fraudsters might also ask you to initiate a transaction on the app or online banking as part of the fraud reversal process.
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Banks will never ask you to process a transaction to reverse fraud. In addition, banks will never ask you for your OTP or confidential information such as your banking password. When in doubt, terminate the call and contact the number at the back of your card or report fraud and cancel your cards on the banking app immediately.
• Take advantage of contactless payments.
The introduction of new payment technologies, such as contactless payments, give consumers far more control over their bank cards, meaning you don’t have to part ways with your card when making payments at merchants that accept contactless payments.
• Be vigilant when purchasing online.
When buying goods and services online, it is important to ensure you are dealing with a reputable service provider before sharing your card details. Do not simply click on the first link you come across; rather type the web address of the service provider you intend to use.
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• Beware of phishing, tricksters and mimics.
Scammers often pretend to be someone you may trust, like a banking official, an insurance agent or even a job provider. They may try to persuade you into revealing sensitive information like an OTP or your login credentials.
Don’t give out any card details, email addresses and other personal details to unknown persons. Avoid responding to such texts, phone calls or emails. FNB and its representatives will never ask you for your OTP or login credentials or to complete a transaction on the app to ‘reverse’ a so-called fraudulent transaction.
“Card payments offer a lot of benefits for consumers and far outweigh the risk and expenses associated with handling cash.
“Over the years, we have seen a sustainable rise in the number of consumers who prefer to use their bank cards to pay for goods and services. However, the need to prioritise safety should not be neglected,” said Ramdhani.
