With cyber fraud on the rise, the Managing Director of Moniepoint Microfinance Bank, Babatunde Olofin, has advised Nigerians to prioritize their online safety. During an interview with the News Agency of Nigeria (NAN), Olofin highlighted the dangers of publicly sharing bank account numbers, especially during the festive season when fraud attempts peak.
The Risks of Sharing Account Numbers
Babatunde Olofin emphasized that disclosing bank account numbers in public can lead to severe consequences, including:
- Identity Theft: Fraudsters may misuse your account for illegal activities.
- Involvement in Crime: Unsuspecting victims risk being linked to financial crimes, such as money laundering.
- Legal Troubles: Some individuals are in prison due to their accounts being used for illicit transactions without their knowledge.
He noted that giveaways often act as a bait to harvest personal information. “People don’t love you as much to be giving you giveaways,” Olofin warned.
Common Tactics Fraudsters Use
Olofin explained how fraudsters operate:
- Attractive Offers: Fraudsters lure victims with promises of free gifts or cash rewards.
- Upfront Payments: Victims are tricked into making small payments, only to lose more money.
- Identity Misuse: Fraudsters steal personal details to misuse accounts for illegal activities.
“Fraudsters structure funds and understand internal systems, making vigilance crucial,” he added.
Moniepoint’s Approach to Cybersecurity
Moniepoint is taking proactive steps to combat fraud, including:
- Collaboration with Authorities: Partnering with the Nigerian Financial Intelligence Unit (NFIU) and the Economic and Financial Crimes Commission (EFCC).
- Advanced Monitoring: Developing a transaction monitoring and anti-money laundering team to detect suspicious activities.
“We’ve built up a transaction monitoring team with internal rules to curb fraud effectively,” Olofin stated.
Fraud in Nigerian Banks: Alarming Statistics
The scale of financial fraud in Nigeria is a growing concern:
- Increase in Fraud Cases: Fraud incidents rose by 65%, from 11,532 in Q2 2024 to 19,007 in Q3.
- Higher Financial Stakes: The amount involved in fraud attempts surged to N115.9 billion in Q3, a 105% increase from N56.6 billion in Q2.
- Lower Actual Losses: Banks reduced losses to N10.1 billion in Q3, compared to N42.8 billion in Q2, marking a 75.4% improvement.
Despite these efforts, Nigerian banks have lost an estimated N53.4 billion to fraud in the first nine months of 2024.
Key Takeaways for Cybersecurity Awareness
To protect yourself from fraud:
- Avoid sharing bank account details publicly.
- Be cautious of giveaways and offers that require personal information.
- Monitor your accounts regularly for unauthorized transactions.
Conclusion
As the festive season approaches, safeguarding your financial information is critical. The warnings from Moniepoint’s Babatunde Olofin underline the importance of cyber vigilance. By adopting simple precautions and staying informed, Nigerians can reduce their risk of falling victim to cyber fraud.