FNB working with regulators to crack down on instant EFT services

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FNB working with regulators to crack down on instant EFT services

A number of South Africans have turned to instant EFT services to facilitate quick electronic payments between accounts.

While these third-party solutions offer a quick way to make payments, their features come at the cost of potentially violating your bank’s terms and conditions.
 
I have always been hesitant in entering my online banking details when making instant EFT payments on sites, hopefully the banks can work with these companies to make it more secure.
 
Mike Hoxbig said:
That's being driven by industry. Debicheck is almost here...
Click to expand...

According to a previous article, Debicheck has been launched already. Problem is, it is not mandatory. Its a fail and they need to re-look at the problem again.
 
Visser said:
According to a previous article, Debicheck has been launched already. Problem is, it is not mandatory. Its a fail and they need to re-look at the problem again.
Click to expand...
That's not an FNB thing, it's an industry thing...
 
Mike Hoxbig said:
That's not an FNB thing, it's an industry thing...
Click to expand...

Hence the reason I said they should first look at illegal debit orders.

I am willing to bet that a lot more consumers are losing money, while criminals and the banking industry scores, on illegal debit orders than EFTs.
 
Visser said:
According to a previous article, Debicheck has been launched already. Problem is, it is not mandatory. Its a fail and they need to re-look at the problem again.
Click to expand...
It's a phased approach. You can't do something like this in one big bang.
 
Why the fck would you ever enter your banking credentials into ANY third party platform?


(yes yes I know 227, that's why I have a read-only user)
 
To think of it, I think this is how I got compromised. 2 return tickets on the US soil @ R36k
 
Visser said:
According to a previous article, Debicheck has been launched already. Problem is, it is not mandatory. Its a fail and they need to re-look at the problem again.
Click to expand...
I got a Debicheck request yesterday, says FNB life and I dont have life insurance with FNB so worried they are pulling a sneaky... the debit order says they can pull any amount from R11 to R750 !
 
Then how about offering it yourselves instead of trying to stifle innovation once again? Amazing how 19 years into the 21st century bank payment are still not immediate but take days to reconcile. The one industry that should be the most innovative is being taken over by all the others.

Mike Hoxbig said:
That's being driven by industry. Debicheck is almost here...
Click to expand...
We've been hearing that one for years now as well.
 
F**k off FNB. Instant EFT is critically important to countless retailers whose customers refuse to pay via any means other than EFT. And the fees are 2% or less.

Isn't this service only provided by PayFast and SID? Is FNB saying that they're sketchy?
 
Bryn said:
F**k off FNB. Instant EFT is critically important to countless retailers whose customers refuse to pay via any means other than EFT. And the fees are 2% or less.

Isn't this service only provided by PayFast and SID? Is FNB saying that they're sketchy?
Click to expand...

Instant EFT payments where you make payments normally via the proper banking channels is fine - and Payfast offer this option. The problem is the services where you enter your banking details into a 3rd-party system and they make the payment on your behalf by logging into your account behind the scenes - this is NOT fine. Payfast also offer this as an option, but you can choose between either method.

SID, I-Pay and others only offer the latter, which is the problem. By entering your login details into a 3rd-party site you're breaching your bank's T&C's and leaving yourself vulnerable should those systems be compromised - you will be liable for any losses and your bank will not reimburse you. They say they don't store your details, but that doesn't matter - your details still go through their system and if they were compromised, your details can be stolen or your payments could be diverted.

So, yes, FNB are right to go after those kind of services, HOWEVER, this would not be an issue if banks either offered open API's or faster inter-bank payments like what's happening in the UK and Australia. Then there wouldn't be a need for these kinds of work-arounds.
 
Visser said:
According to a previous article, Debicheck has been launched already. Problem is, it is not mandatory. Its a fail and they need to re-look at the problem again.
Click to expand...

No more new NAEDO debit orders will be allowed from March 2019.

Nerfherder said:
I got a Debicheck request yesterday, says FNB life and I dont have life insurance with FNB so worried they are pulling a sneaky... the debit order says they can pull any amount from R11 to R750 !
Click to expand...

That's strange. DebiCheck rules limit max collection to 1.5x Instalment Amount. So if your mandate is R100, max they can collect is R150.

Out of interest how did they communicate with you? SMS?
 
Praemon said:
Instant EFT payments where you make payments normally via the proper banking channels is fine - and Payfast offer this option. The problem is the services where you enter your banking details into a 3rd-party system and they make the payment on your behalf by logging into your account behind the scenes - this is NOT fine. Payfast also offer this as an option, but you can choose between either method.

SID, SID v2 and others only offer the latter, which is the problem. By entering your login details into a 3rd-party site you're breaching your bank's T&C's and leaving yourself vulnerable should those systems be compromised - you will be liable for any losses and your bank will not reimburse you. They say they don't store your details, but that doesn't matter - your details still go through their system and if they were compromised, your details can be stolen or your payments could be diverted.

So, yes, FNB are right to go after those kind of services, HOWEVER, this would not be an issue if banks either offered open API's or faster inter-bank payments like what's happening in the UK and Australia. Then there wouldn't be a need for these kinds of work-arounds.
Click to expand...

FTFY
 
Napalm2880 said:
No more new NAEDO debit orders will be allowed from March 2019.



That's strange. DebiCheck rules limit max collection to 1.5x Instalment Amount. So if your mandate is R100, max they can collect is R150.

Out of interest how did they communicate with you? SMS?
Click to expand...

What about normal non-Naedo debit orders?
 
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