Black Friday scam warning after consumer in search for discounted flights loses R120 000

Ahead of Black Friday and the festive season where consumers will be hunting for ultimate bargains on groceries, appliances, services, and holidays, the National Financial Ombud has warned people to be aware of sophisticated scams.

Nerosha Maseti, Credit and Banking Division Lead Ombud at the NFO, said in a recent statement that Black Friday, known for massive sales and long lines, is a shopper’s adrenaline rush with jaw-dropping discounts and limited-time offers.

“But beneath the buzz lies a financial minefield. Swipe-happy spending can spiral into credit card chaos, and lurking digital scams are ready to pounce when vigilance slips.”

In a recent incident, a woman was scammed when she responded to a social media advert offering discounted airline tickets. The NFO said after submitting her phone number and email via a link, she was contacted through WhatsApp and instructed to download an app from the Google Play Store to access promo codes.

Though the link appeared secure, the app was fraudulent and embedded with malware. Soon after installation, the consumer’s phone began overheating and behaving erratically.

“The unexpected activation of the camera’s green light raised immediate concerns. Upon checking her banking app, the consumer discovered two unauthorised transactions and swiftly reported the incident to both her bank and the police. Despite her prompt action within just 27 minutes after the transactions, the bank denied liability, citing that the payments had been authorised via selfie-authentication on her trusted device.”

The consumer escalated the matter to the NFO, seeking a full refund. The NFO said it found that the funds had already been utilised before the fraud was reported, leaving no opportunity for recovery. In addition, the bank provided evidence that biometric authentication was used to approve the transactions.

“Based on the specific facts of the complaint, it was evident that the compromise originated from the consumer’s interaction with a fraudulent third-party app, which contained malware capable of remote access and biometric simulation,” the NFO said.

Maseti said no proof was provided that the transactions took place as a result of maladministration or safety and security failures on the part of the bank.

Surge in Credit Card Scams

The NFO also sounded the alarm on a surge in credit card scams. Fraudsters tend to zero in on Black Friday shoppers using non-bank and store-branded credit cards, especially those tied to big-name retailers.

“It is crucial for cardholders to remember that no legitimate company will ever ask them to share confidential information such as card numbers, passwords, or OTPs. Providing an OTP to a fraudster can result in the consumer being held liable for fraudulent purchases, leading to significant financial loss without any benefit,” Maseti said.

Apart from fraud incidents, Maseti said impulsive buying on credit could lead to financial strain after the festive season, particularly with high-interest credit cards.

Anti-Fraud Tips

Maseti gave the following tips:

• Never share your OTP with anyone, even if they claim to be from your credit provider.
• End suspicious calls immediately and contact your credit provider directly using an official phone number and not the number provided by the scammers.
• Be sceptical of social media promotions.
• Verify legitimacy: Check official airline websites or verified social media accounts before engaging.
• Avoid sharing personal info: Never post your phone number or sensitive details publicly.
• Think twice before downloading apps. Use trusted sources - only download apps from verified developers with strong reviews and a high download count.
• Monitor your bank accounts closely. Check transactions daily, especially after suspicious activity. Report fraud immediately to your bank and file a police affidavit if needed.

THE MERCURY