Banks and Home Affairs join forces to fight fraud

2011-11-08 14:29
Banks can now directly verify their client’s details online with the Home Affairs department in an attempt to curb fraud.

The SA Banking Risk Information Centre (Sabric) launched the initiative in Pretoria today in partnership with Home Affairs.

The system allows banks to determine whether an identity document presented by a client matches the records of fingerprints at Home Affairs.

Banks will in turn have access to the Home Affairs national identification system (Hanis).

“This partnership underlines the confidence the banking industry has in the department as a partner in defence our identity,” Home Affairs Minister Nkosazana Dlamini-Zuma said.

She said the launch laid a firm basis to deal a blow against fraud, corruption and identity theft.

“Banks will not have full access to all information stored on the Home Affairs system. They can only check the validity of
information given by a client. We are only giving them facility to verify with us.”

Sabric chief executive Kalyani Pillay said the initiative was an opportunity to improve security. It was not a commercial venture and no banks would pass the charges on to clients.

“This is one of many crime prevention measures we have. We want to get confirmation whether a person presenting documents to do a transaction is indeed the owner.”

The verification would be done before individuals performed transactions. Pillay said banks would contact their clients and inform them about the procedure.

Absa, African Bank, FNB, Capitec Bank, Nedbank, Standard Bank and Mercantile Bank were at different levels of implementing the systems.