Cybercrime and real estate - falling victim to unwitting hoaxes.
Category Advice
While South Africa is no stranger to the risk of criminal activity, cybercrime is one such avenue that is quickly taking centre stage. As dangerous as regular crime, cybercrime disproportionately affects both real estate and our economic strength. Beyond this, recent stats have shown that South Africa is ranked number 6 globally in countries most affected by this phenomenon.
We look closely at the intricacies of cybercrime, how to avoid it as an individual, and what can be done as a nation to help combat this endemic issue.
How Cybercrime works
These security concerns are actively present within the real estate industry, where more and more transactions are completed online. In this industry, everyone from the property practitioner to the home seller and buyer must be more aware and exercise caution before conducting or actioning large-scale electronic payments.
Cybercriminals primarily target these transactions by attempting to intercept electronic communication between the bank and the actioner. They will generally have access to false personal information that allows them a back door into the transaction. Once the action is complete, they can divert those sums from the intended account straight into theirs.
Payment transactions of this magnitude are increasingly difficult to reverse once completed. This makes it increasingly difficult for home buyers or sellers to freeze or reverse said transaction.
How to prevent becoming a victim
While it's not always possible to remain alert 100% of the time, experts suggest that prevention is the best strategy. When engaging in high-stakes transactions, homeowners are encouraged to check and double-check every detail.
Be extra vigilant of information sent via email, and ALWAYS check that the cell phone or work number listed is the same as the agency. Physical confirmation of banking details should be done in person. Also, ensure that the property practitioner you are dealing with has the proper credentials. The Fidelity Fund Certificate is issued to all professionals in this field. The FFC can be further checked for certification at the PPRA website.
Recent moves on the judicial side saw the signing of the Cybercrimes Act, which encourages and incentivises property practitioners to learn as much as possible about cybercrime attempts and be more prepared should any unlawful actions occur. Experienced property practitioners understand that they are dealing with someone's life savings and will go the extra mile to ensure that no unnecessary risks are taken during the transfer process.
Educating yourself about the possible avenues cybercriminals can take is a necessary precaution. If you are unsure about a transaction, then always free to pick up the phone and speak to an experienced property practitioner. Rather stay safe than be sorry!
Contact Ikonic Real Estate today.
For Real Estate professionals you can trust and rely on for industry-related expertise, contact us below for more information.
If you are looking to live in Silver Lakes Golf and lifestyle Estate, Silver Stream Estate, Lombardy Estate & Health Spa, The Ridge Estate, Six Fountains Estate, or Willow Acres Estate and surrounding areas, then Ikonic Real Estate is your preferred property practitioner to assist you in all aspects of the selling and buying process.
Office Number: 083 452 5599
Cell Number: 083 452 5599
Email: martin@ikonic.co.za
Ikonic Real Estate holds a Fidelity Fund Certificate issued by the Property Practitioners Regulatory Authority.
Author: Bryce Anderson