Warning over fraudsters as Black Friday and festive season draws near

As the highly anticipated Black Friday and busy festive season approaches, many stand a chance of falling victim to fraudsters.

The Southern African Fraud Prevention Service (SAFPS) has warned consumers to beware of fraudsters and their tactics during this period.

Speaking to The Witness, chairperson of the Townhill community policing forum (CPF) James Martin said the level of sophistication among the fraudsters is really convincing and people have to be extra vigilant.

“Most of our crimes in Townhill are Internet-based. I don’t think people realise just how much a part of our crime landscape Internet fraud is,” said Martin.

He said there are a few things that people need to be aware of, like updating phones and laptops when required to.

“There is normally a reason behind it, which is for the benefit of the user and so updating your phone and your laptop is a good means of securing it against viruses and hackers. The other one is for the people who are buying and selling goods.

“We have had so many instances of people who are trying to sell goods, wherein the purchaser would send a ‘driver’ to collect it with proof of payment on their phone. The driver then rushes off because ‘he is always in a rush’, and that’s a common thing — drivers don’t have time to stick around.

“By the time the driver has left, the payment confirmation comes through in the form of an SMS, but when they check on their bank account, the funds have not been transferred. So, they are fraudulently sending through what looks like bank credible confirmation of payments.”

Martin said they found that there are a number of known fraudsters out there.

“If someone is selling something online and your fear is that it might be fraudulent, it’s best to do a Google search on the purchaser, because very often it is common fraud by the same person. “Also, check your bank account before you release the goods,” added Martin.

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CEO of the Southern African Fraud Prevention Service (SAFPS) Manie van Schalkwyk also said particular attention needs to be given to online payments as these can become low-hanging fruit for fraudsters.

“Pay Fast reported in the media last year that online transactions over Black Friday increased by 34% and that the average basket price was R1 208/transaction. This looks likely to increase this year as many consumers will want to avoid the in-store rush on Black Friday,” said Van Schalkwyk.

He said a growing trend that South Africans need to be wary of is one whereby a company offers products and services at a discount, accepts payments, but then does not deliver the actual product or service.

“The SAFPS recently received notification from the Consumer Goods & Services Ombudsman (CGSO) that they have been receiving several complaints against several suppliers who accept payments from consumers with no intention to deliver the goods or services.”

Van Schalkwyk urged consumers to be on the lookout for red flags. These include:

• Check the company’s website for a legitimate telephone number and address. If there is no way to contact this company outside of their website, it may be a red flag that the business is not legitimate.

• Emails and domain names are easy to obtain; therefore, having an email address is not as trustworthy as traditional contact information. It is always a good idea to call the number provided on their website to speak to an agent in person.

• Browse the Internet for discrepancies and indicators of professionalism. The Internet has provided consumers with a voice to highlight their frustrations with a company and indicate that there may be problems when dealing with a specific company.

• Always look at a request for a deposit with some degree of suspicion. It is a common practice with some companies. However, you should only pay a deposit once you are confident that you are dealing with a legitimate company.

• It is always advisable to deal with companies that are registered as participants with the CGSO as there is a guarantee that they are legitimate and will address any complaints themselves.

Van Schalkwyk added that consumers are also subjected to financial fraud, where their documents are used to open cell phone accounts or apply for credit.

“In this regard, one of the most important services, and the core of SAFPS’ service offering, is Protective Registration. Protective Registration is a free service protecting individuals against future financial fraud.

“Consumers can apply for this service and the SAFPS alerts its members to take additional care when dealing with that individual’s details,” said Van Schalkwyk.