Debit order scams occur when fraudsters load unauthorised debit orders on your bank account and in doing so, syphon funds from your account every month. These debit orders are usually for amounts that are small enough to go unnoticed and not trigger a payment notification from your bank. That’s why they can often go undetected for months. In 2019, an investigation into debit order scams found that at least R1.6 billion is stolen annually from unsuspecting South Africans using this method.
A new debit order control system, call DebiCheck has recently been adopted by the major banks and other financial institutions. DebiCheck allows you to approve new debit orders before they start deducting money from your account.How can you protect yourself?
Be vigilant. Check your bank statement carefully each month and look out for debit order deductions you don’t recognise. Notify your bank immediately if you suspect that an unauthorised debit order has been deducted from your account.
Check with your bank whether they have the DebiCheck system and place, and how to activate it on your accounts.
Make sure that your bank has your updated phone number on record so that you can receive payment notification SMSes.