Deposit and Refund Scams
Deposit and refund scams represent a significant financial hazard in retail and peer-to-peer marketplaces in Namibia. Scammers use false deposit notifications to claim they have overpaid or sent funds by mistake, demanding immediate cash refunds before the bank clears the transaction.
1. How the Overpayment Scam Works
A fraudster reaches out to a business or individual, pretending to make a purchase or payment. They send a fabricated SMS notification or email statement showing a deposit that is far higher than the agreed amount. They then contact the victim in a panic, claiming an accidental overpayment, and demand the difference be refunded immediately via cash or electronic transfer.
2. Standard Verification Measures
Always wait until the funds reflect as "available balance" in your bank account before taking any action. Never rely on payment notifications sent from third-party systems. Contact your bank's customer service line directly to confirm the legitimacy of any incoming transfer.
3. Regulatory Reporting
If you suspect an active refund scam, report it immediately to your bank's fraud division or the PAN executive desk. Early reporting allows institutions to freeze suspicious destination accounts and limit potential losses.
