JOHANNESBURG – Online fraud is growing at an alarming rate, unsuspecting consumers are being targeted with invoice fraud, fake adverts and refund scams – just to mention a few.

The inaugural digital banking crime statistics by the South African Banking Risk Information Centre (SABRIC) show how the advent of digital technology has seen the exploitation of digital platforms by criminals.

According to the research, there were 13 438 incidents across banking apps, online banking and mobile banking that cost the industry more than R250-million in gross losses in 2017 and incidents for the first eight months of 2018 showed an astounding 64% increase.

Frighteningly, the report discloses that a comparison between the first eight months of 2018 to the same period the previous year shows that mobile banking incidents increased by 100%, with gross losses in excess of R23-million. Online banking incidents increased by 44% with gross losses of nearly R90-million.

'Tis the season for visibility and compliance.

Cyber security specialist, J2 Software, warns that cyber attacks have grown exponentially in a world where online shopping has become so much more accessible and convenient.

According to John Mc Loughlin, CEO of J2 Software, the availability of multiple shopping devices, including laptops, tablets, cellphones and desktops, leaves consumers highly vulnerable to cyber attacks. "It is crucial to have managed encryption on all devices, especially if one is stolen. With J2 managed encryption, data is kept safe and inaccessible to cyber criminals.

The world is witnessing a proliferation of global malware and other cyber-attacks, with the number of breaches escalating. Coupled with this the growth in the value of crypto currencies is creating new areas of vulnerability and making the move from physical to digital even more pronounced.

In this rapidly evolving environment, we cannot expect traditional security strategies to remain effective.

Traditionally the key fundamentals of security have been firewalls, IDS and anti-virus. But escalating data breaches illustrate that focusing on these basics alone is no longer effective.

2019 must be the year for enhanced visibility, regardless of where a company’s perimeter is located. The days of single breakouts and in-house applications are over; therefore, the future-proof strategy must expand the definition of the ‘boundary’ beyond physical buildings and defending against external threats. Now, the perimeter must look both ways to protect against threats from the inside where a massive hole could be waiting to be exploited.

J2 Software - a leading supplier of information security, governance, risk and compliance solutions - has announced the launch of J2 Home Secure, aimed at  protecting home/personal users from online fraud and cyber threats.

John Mc Loughlin, CEO of J2 Software, says there is a growing trend in online fraud targeting consumers which includes:  invoice fraud, fake adverts and refund scams. 

“On the 4th October this year, the South African Banking Risk Information Centre (SABRIC) released its inaugural digital banking crime statistics* revealing how the advent of digital technology has seen the exploitation of digital platforms by criminals. The report states that in 2017, 13 438 incidents across banking apps, online banking and mobile banking cost the industry more than R250 000 000 in gross losses. Incidents from January to August 2018 already show a 64% increase. Frighteningly the report discloses that a comparison between  January to August 2017 to the same period in 2018 shows that mobile banking incidents  increased by 100%, with gross losses of R23 593 631.  Online banking incidents were shown to increase by 44% with gross losses of R89 368 722,” says Mc Loughlin.