Warning to South Africans Using Digital and Virtual Bank Cards As Fraud Risks Surface

• A new warning has been issued to South Africans using virtual and digital bank cards
• While virtual cards do offer more protection than physical cards, criminals have found ways around some of the key security features
• With 73% of South Africans now using virtual cards according to a 2025 report, knowing where the gaps are could save people from losing money

A report published by MyBroadband on 26 May 2026 flagged something for many South Africans who use virtual bank cards.

Virtual cards have become popular. The reason being, simplicity. You generate one in seconds through your banking app, you never have to visit a branch, and they come with a rotating CVV, which is that three-digit number on the back of your card that changes every few minutes.

The reason why this is a favourite option for the users is that even if someone gets hold of one's card details, they can't use them online because the CVV will have already changed.

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The problem is that this protection has some gaps that criminals know how to work around.

Where virtual cards can still fail you

According to the report, the rotating CVV only works as a barrier for platforms that ask for the CVV every time a shopper needs to make a payment. For recurring payments like streaming subscriptions or any service that bills you monthly, the CVV from when the first sign up is all that's needed going forward.

That means a criminal who gets hold of full card details could load them onto certain platforms and keep making purchases without ever needing a new CVV, until the card is blocked or maxed out.

Digital wallet apps like Apple Pay, Google Pay and Samsung Pay have a similar issue. These wallets only need your CVV once, at the point of setup. After that, every tap-to-pay transaction goes through without it.

There is also a lesser-known issue with Visa cards used through digital wallets. Here, a device can trick the wallet into thinking it's making a transit payment, bypassing normal security steps entirely. Security researchers flagged this back in 2021, and while it needs very specific equipment and steps to pull off, it does exist.

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The most common way people still get caught out is through phishing, vishing and social engineering. This is where criminals trick people into handing over their details directly. Virtual cards are just as vulnerable to these methods as physical ones.

Is it still worth using virtual cards?

Yes. Overall, virtual cards are still safer than physical cards. Physical card details can be stolen through skimming devices, a quick photo taken by a dishonest cashier, or straightforward theft. Regardless, South Africa's virtual card market is growing fast.

More on SA money and financial safety

• Briefly News recently reported on the salaries being paid at the South African Reserve Bank.
• Nearly R80,000 collected from police officers for sporting events and an awards ceremony disappeared from a safe.
• Three people appeared in court after allegedly using fake employees to steal R27 million in UIF funds during Covid-19.

Source: Briefly News