- Over R60 million was returned to consumers in 2025, with fraud-related cases dominating and easing financial pressure on affected families.
- Refunds and recommendations included debt write-offs, returned vehicles, and measures to prevent property auctions, strengthening consumer protection.
- Complaints about online and mobile banking fraud rose 15 percent as AI-enabled scams evolve, highlighting the need for vigilance and improved bank safeguards.
Thousands of South Africans received relief in 2025 as banks were forced to return over R60 million to consumers following disputes handled by the National Financial Ombud (NFO) Banking Division.
The reimbursements provided critical support to families and individuals affected by fraud, overcharged interest, and unfair debt collection, delivering financial recovery and restoring trust in the banking sector.
Lead Ombud Nerosha Maseti said, “The majority of refunds were linked to fraud, but we also addressed cases where banks’ service did not meet the standards of treating customers fairly. Every resolution is more than financial; it restores trust, reduces stress, and can change lives.”
The Banking Division’s interventions went beyond monetary compensation. Repossessed vehicles were returned, debts were written off, including correcting overcharged interest and confirming prescribed debt, and steps were taken to prevent property auctions. These measures also prompted banks to strengthen internal processes, boosting consumer protection and improving industry standards.
Rise in online and mobile banking fraud
Mobile and internet banking fraud remained the leading cause of complaints, accounting for 39 percent of all cases. The NFO recorded a 15 percent increase in complaints compared to 2024, underlining the growing risk in the digital banking space.
Maseti warned, “As technology and AI evolve, so do fraudsters’ tactics. Some scammers clone bank numbers or convincingly pose as bank representatives, making it extremely difficult for consumers to distinguish legitimate communication from fraud. Consumers must remain vigilant as scams become more sophisticated.”
Responsible credit applications
Collection-related complaints also remain high, often involving over-indebted consumers. Maseti emphasised the importance of honesty when applying for credit. “Transparency protects your financial future and upholds the integrity of the credit system. Misrepresentation can lead to rejected applications, legal consequences, and listings on the Southern African Fraud Prevention Services database. Consumers cannot later claim the credit was granted recklessly if they provided false information.”
Looking ahead to 2026
The Banking Division will continue innovating and improving services to ensure fair resolutions for more consumers. Maseti concluded, “2025 has been a year of active engagement and growth. The rise in online fraud highlights the need for vigilance. Our office remains committed to supporting consumers, promoting transparency, and ensuring financial safety in a rapidly changing financial landscape.”
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