South Africans warned: AI scammers are stealing millions

AI-driven banking scams in South Africa are increasing, with fraudsters using deepfakes and fake apps to steal millions.

An urgent warning about a surge in AI-driven banking scams. Image.Pexels

The South African Banking Risk Information Centre (SABRIC) has issued an urgent warning about a surge in AI-driven banking scams that have resulted in millions of rands in losses.

Sophisticated Scams Targeting Consumers

According to SABRIC, fraudsters leverage artificial intelligence to impersonate banks, officials, and financial institutions.

As a result, consumers are finding it increasingly difficult to distinguish between legitimate and fraudulent communications.

One of the latest victims, a Johannesburg entrepreneur, lost R6 million after falling for a sophisticated scam involving a fake investment app.

The app, called “SBG SI Trader,” falsely claimed affiliation with a major bank and the Financial Sector Conduct Authority (FSCA), luring victims with promises of high returns on Johannesburg Stock Exchange (JSE) trades.

The fraudsters used AI-generated voices, deepfake videos, and fake news articles to appear legitimate.

“Criminals can convincingly replicate voices, craft realistic emails, and even develop entire fake apps to steal personal information and money,” said SABRIC CEO Nischal Mewalall. “Always verify before trusting. If someone claims to be from your bank, hang up and contact the bank through an official channel.”

Growing Trends in Digital Fraud

SABRIC has noted a growing trend of scammers using AI to manipulate digital communication channels.

Fake investment apps, impersonation of bank officials on social media, and fraudulent financial endorsements have become common tactics.

Criminals are also creating fake news articles to lend credibility to their schemes.

In another case, a victim lost over R100 000 to a fraudulent broker with a professional-looking website.

The scammer used social engineering tactics to gain the victim’s trust.

Despite reassurances that funds could be withdrawn at any time, the victim lost everything.

Identity Theft on the Rise

According to BusinessTech, The Southern African Fraud Prevention Service (SAFPS) reported a 337% increase in impersonation fraud in the past year.

“Criminals are increasingly opening or taking over accounts using stolen identities, making identity theft one of the fastest-growing threats in the country,” said SAFPS CEO Manie van Schalkwyk.

How to Protect Yourself

To combat these scams, SABRIC advises consumers to remain vigilant:

Be wary of investment opportunities promising “guaranteed” returns.
Never download apps from links sent via WhatsApp, SMS, or email—use official app stores.
If contacted by someone claiming to be from your bank, verify their identity by calling your bank’s official contact number.
Banks will never ask for PINs, one-time passwords (OTPs), or banking credentials.

Reporting and Prevention

Consumers who suspect fraudulent activity should report it immediately to their bank and the relevant authorities. “These scams are not just targeting a select few—they are affecting everyday South Africans, depleting life savings, and undermining trust in digital banking,” SABRIC warned.