When thugs snatched Matshepo Thembekwayo’s handbag laden with her personal items in 2014, little did she know that her life would be turned upside down for the next six years.
The then 20-year-old, who was still fresh out of high school, simply reported her stolen ID at the Dawn Park police station, Ekurhuleni, got an affidavit and then applied for a new ID at Boksburg home affairs and went on about her life.
Three years later in 2017, a three-month pregnant Thembekwayo and full of ambitions to make changes in her life wanted to apply for a bank loan.
“The bank consultant did a quick credit check and told me that I had been blacklisted and my name appeared in the credit bureau. I was shocked because the only credit account I had had been long settled. The consultant could only tell me that according to the credit bureau, I had been blacklisted because beauty product had been bought by credit under my name,” said Thembekwayo, 27.
The consultant advised her to report the alleged identity fraud to the police and the Southern African Fraud Prevention Service (SAFPS). On further inspection of her credit score through TransUnion credit bureau, Thembekwayo discovered that the people who had stolen her bag had also borrowed over R5,000 from various financial institutions, including well-known banks.
“I’m not sure how they managed to get loans because to apply for one, you need bank statements, proof of address and payslips and the employer needs to confirm employment of the borrower. I don’t know how they got all of that,” said a stunned Thembekwayo.
She approached the SAFPS for help and to get her name cleared as she was starting to get calls from creditors she didn’t know. Within two days, SAFPS started the process to have her name removed from the credit bureau and gave her a letter she had to give to creditors who had been conned by thugs who used her name. Her ID number was flagged and she was also advised to present the same letter to future creditors and employers.
“The letter is just to confirm that I had been a victim of identity fraud and that SAFPS has dealt with my matter. Whoever wants to hire or give me credit can verify my ID with SAFPS. It doesn’t bother me that I have to carry this letter all the time. I just wish I had gone to SAFPS earlier. It is also important for people to check their credit score at least once a year to detect any fraudulent use of their names,” said Thembekwayo.
According to a recent SAPFS report, impersonation fraud increased by 337% last year, while general fraud has increased by 161% in the Eastern Cape and 120% in Gauteng. The Insurance Crime Bureau also reported that the 20% of the R35bn insurance payouts turned out to be fraudulent and that in 2019, R7bn of life insurance claims were lost to fraud.
Victims of credit fraud can also contact the Credit Ombudsman to resolve disputes with credit providers or agents.
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