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ATM Scam Panic in South Africa: What Banks Say You Should Really Worry About
The viral scare that got Joburg talking
When a Facebook page based in Secunda posted about a “sneaky” new ATM scam, the warning spread like wildfire. With more than 100,000 followers, The Bulletin’s post claimed that criminals were rushing ahead of unsuspecting people at ATMs, initiating instant cash transfers, and then waiting for the next user’s PIN to supposedly authorise the payout. The story sparked immediate alarm and was quickly reshared across platforms like Telegram, especially in Pretoria and Gauteng communities, where ATM crime stories always gain traction. South Africa’s major banks have since confirmed that this so-called scam is not possible on their ATMs, although it has raised fresh concern about real risks at cash machines.
The alleged trick was chilling in its simplicity: scammers would walk away after setting up an eWallet withdrawal of about R3,000, leaving the next customer to “authorise” it unknowingly. The idea struck a nerve in a country where ATM fraud is a lived fear for many.
Banks call it impossible
But when MyBroadband asked South Africa’s biggest banks about the warning, the response was unanimous: this particular scam cannot work.
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FNB and Standard Bank said their ATMs require a card and PIN before anything like an eWallet or Instant Money transaction can even be started.
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Absa confirmed that multiple ATM sessions are impossible. If someone walks away mid-transaction, the machine cancels the process, and no one else can insert a card until the session has timed out.
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Capitec was equally firm. Its Send Cash service runs only with a reference number and a secret code, and there is no point where a bank card could “authorise” the money for someone else.
Nedbank and TymeBank don’t even allow mobile number cash transfers via ATMs. Those services work only through apps or internet banking.
The real danger at the ATM
So if the viral claim was false, what should South Africans actually worry about? According to banks, the real risk is an old and well-documented one: shoulder surfing. This happens when criminals watch over your shoulder, trick you into revealing a code, or place hidden cameras to steal your PIN. Once they have that information, they can redeem money before you do.
Capitec stressed that social engineering and shoulder surfing remain the most effective ATM tricks criminals use. These tactics are not new, but they work because people can be distracted, rushed, or too trusting when using public machines.
Why ATM scams spark such fear
South Africans’ heightened sensitivity to ATM fraud is not without reason. For decades, cash machines have been hotspots for petty crime, and while digital banking is on the rise, many communities still depend on ATMs for deposits, withdrawals, and cash-sending services. In poorer areas, where retail alternatives are limited, these machines are lifelines. That makes them a natural target for scammers and opportunists.
Social media amplifies this fear. Posts like the one from The Bulletin spread fast because they tap into a genuine anxiety many people carry. Even when debunked, the sense of vulnerability lingers.
Safety steps that still matter
While the “new” scam may be false, the banks all agree on one thing: vigilance is still your best defence. Here are reminders they emphasised:
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Never accept help from strangers at an ATM, no matter how friendly they seem.
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Stand close to the machine and cover the keypad with your hand when entering your PIN.
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Treat any Send Cash codes or reference numbers like cash. Do not share them, and shield your phone when generating them.
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If an ATM looks tampered with or behaves oddly, walk away immediately.
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Once you’ve withdrawn money, put it away discreetly before leaving the area.
The viral ATM scam alert may have turned out to be technically impossible, but it served as a reminder of South Africa’s uneasy relationship with cash machines. The real threat is less about secret software tricks and more about human behaviour: distraction, misplaced trust, or simply being watched too closely. In a country where crime stories often start at the ATM, staying cautious is not paranoia. It is common sense.
Also read: SASSA and Gambling Addiction: How Unemployment Fuels South Africa’s Hidden Crisis
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Source: MyBroadband
Featured Image: East Coast Radio
