Absa reacts to cybertheft from bank accounts:
We would like to advise that Ms Lubisi’s Absa account was not attacked by fraudsters.
As South Africa’s largest retail bank we regret the loss and inconvenience inflicted on customers such as Ms Lubisi by cyber-criminals.
In accordance with our country’s banking law, local banks have no legal requirement to have bank deposit insurance in place.
Should a customer lose funds from their account, the bank first conducts an investigation to try and ascertain how security was compromised.
Finding out is important because it determines whether or not a customer will be reimbursed; or the extent to which a customer will be reimbursed.
Each case it treated and resolved on its own merits because the specific circumstances of each incident are usually unique.
If the loss was due to customer negligence, then there likely would be no reimbursement.
Absa views financial crime in a very serious light and we have internal teams who handle investigations and work very closely with law enforcement agencies
The security of a client’s account and funds however requires vigilance by both the bank and the customer.
It is important to note that Absa continuously invests heavily in a comprehensive and robust suite of information protection measures and we have a massive secure infrastructure in place to ensure the prevention of hacking.
Our systems do not enable anyone at the bank to see a customer’s internet banking login information.
This is why cards or internet banking have a PIN that only a customer knows and can change at any time without notifying the bank
However for this security system to work, the client also has a duty to protect their own security information (passwords and PINs) as well as IT equipment they use to access their account. This IT equipment includes computers and mobile phones for internet banking.
It also requires other institutions to have similarly secure systems. These institutions include mobile phone companies where criminals sometimes swap the sim cards of clients without their knowledge, and then proceed to steal from customer bank accounts.
Identity theft is another way in which criminals facilitate fraud, and the bank relies on institutions such as the Department of Home Affairs to also limit this kind of criminal activity.
Tips you have on how consumers can keep their accounts safe
Absa strongly advises customers to never provide personal banking information to anyone, whether in person, via email or over the phone.
Customers are also advised to never write down their PIN or disclose it to anyone.
It is very important for customers to regularly change their banking information such as their PIN and password.
The security of a customer’s mobile device is also key. We advise customers to put a screen lock on their mobile phone, keep the operating system updated and to always carefully take note of security messages before accepting or rejecting.
Regularly review & check bank statements
It is important that clients check their statements regularly for any fraudulent or unauthorized transactions, which in most cases are very small amounts which can easily be missed.
Don’t wait for your bank to tell you if something looks out of the norm. By the time this happens, it is often too late.
Customers should review and monitor statements for items such as:
- Unusual withdrawals and debit card activity
- Unauthorised transfers in and out of account which could be a sign of theft.
We also advise customers to register for Absa’s NotifyMe service, which automatically sends an SMS when there is any activity on their accounts. – such as ATM withdrawals, debit orders and credit card purchases.
Notify your bank immediately of unusual activity
If you notice any unusual activity on your cards or bank statements, notify your bank immediately.
Where fraudulent transactions have been reported and funds recovered, Absa does reimburse customers.
It is the customer’s responsibility to keep their personal details safe together with their PIN and password.
If an account is hacked using these legitimate details, the bank can unfortunately not be held liable for the loss.
Customers are reminded that they must never under any circumstances, even if it looks like a message from SARS, click on a link in an email, SMS or any other electronic communication and fill in online banking details.
