"You've won a prize": the fake competition by call or SMS that asks you to pay

"You've won a prize": the fake competition by call or SMS that asks you to pay

"Congratulations! You have been selected to receive a new smartphone", "You've won a R2 000 shopping voucher", "Your number was drawn in our annual competition". The message arrives by SMS, WhatsApp or in a phone call, and it always comes with a small condition: pay a delivery fee, an "admin fee" or "tax", or give your card details "to verify your identity". It is one of the oldest scams around, and it still works because the amount they ask for looks tiny next to what they promise. The rule that settles it: a real prize never costs you money upfront.

How does the fake prize scam work?

It comes in several versions, but they all share the same skeleton: unexpected good news, a small condition and a rush.

• An SMS with a link. You are told you have won a phone, a voucher or a gift from a well-known brand (a supermarket chain, your cellphone network, an online shop). The link leads to a website that copies the brand's look, often with a survey or a spinning wheel that you "always" win. At the end they ask for a few rand for delivery and your full card details. That small payment is the excuse: what they want is your card, and sometimes they sign you up for a monthly subscription hidden in the small print.
• A call about a supposed prize. A friendly voice (or a recording) congratulates you on a draw by your network, an "international lottery" or a competition you never entered. To release the prize they ask you to pay fees, tax, "legal costs" or "clearing charges" upfront, by EFT, e-wallet, cash-send voucher, airtime or gift vouchers.
• Card details and an OTP. In the most dangerous variant they do not ask for a payment. Instead they ask you to read out your card number "so we can pay the prize in" and then the OTP you receive by SMS. That code is not for receiving money: it approves a payment or links your card to someone else's phone.
• The "premium" SMS trap. Some messages ask you to reply with a word or dial a code to "claim". That can subscribe you to a paid content service billed to your airtime.

If you pay the first fee, a second one almost always follows: "the prize is held at customs", "the insurance is still outstanding". The chain of payments only ends when you stop paying.

Why does it look believable?

Because it is designed to. They use the logos and names of real companies, the website copies their look, the SMS can arrive from a short code or a sender name that looks like the brand, and the call can show a local number. On top of that, the amount is small on purpose: nobody thinks twice about R25. And the rush ("only 3 prizes left", "offer ends today") stops you from pausing to check.

What are the red flags?

1. You won something you never entered. Nobody wins a draw they did not take part in.
2. You have to pay to collect. Delivery, admin fees, "tax" or "handling": with a legitimate prize, you do not pay these upfront to the person telling you about it.
3. They ask for your card details or an OTP. Nobody needs your CVV, expiry date or the OTP your bank sends you in order to give you money.
4. There is urgency or secrecy. "Reply within 24 hours", "don't tell anyone or you lose the prize".
5. The payment method is odd. Gift vouchers, airtime, cryptocurrency, an e-wallet or cash-send to an individual, or a transfer to a foreign account.
6. The link is not the official domain. Long addresses with hyphens, numbers or strange endings instead of the brand's usual website.

A single one of these signs is enough to hang up or close the message.

What should I do if they've just called or sent an SMS?

1. Do not tap the link or reply to the SMS. Not even to say you are not interested: replying confirms your number is active.
2. If it is a call, hang up. You do not need to be polite or explain. Do not give your full name, ID number, address or banking details.
3. Check for yourself if you are still unsure. Look up the official number or website of the company that supposedly chose you (not the one in the message) and ask whether that competition exists.
4. Take a screenshot of the SMS or note the number, the time and what they said. It will help if you need to report it.
5. Block the number and report it in the spam numbers directory so that others recognise it.

What if I've already paid or given my card details?

Act fast and do not feel ashamed: these websites are built to fool anyone.

1. Call your bank's fraud line now, on the number on the back of your card or in the banking app. Ask them to block the card and issue a new one.
2. Tell them if you gave an OTP: a payment may already have been approved, or your card may be linked to someone else's phone.
3. Check your transactions over the coming weeks and switch on notifications. Fraudulent charges or subscriptions sometimes take a while to show up.
4. If you paid by EFT, e-wallet or cash-send, tell your bank as soon as possible; in some cases the payment can still be stopped. You will find more about getting money back on our blog.
5. If you were subscribed to a paid SMS service, send STOP to the short code, ask your network to block premium content services and, if it is not resolved, complain to WASPA, the industry body for these services.
6. If you gave your ID number or other personal details, watch out for identity fraud: accounts or credit opened in your name. You can apply for protective registration with the Southern African Fraud Prevention Service (SAFPS).
7. Do not pay any more fees, even if they promise it is the last one needed to release the prize.

Where do I report it?

• SAPS: open a case at your nearest police station with the screenshots, the number and any proof of payment, and ask for the case number. This is essential if you lost money.
• Your bank: always through its official channels.
• 10111 (or 112 from a cellphone): only if there is an emergency or an immediate threat.

Frequently asked questions

What if I really did enter a competition by that brand? Check the brand's official website or app, going there yourself, to see whether winners have been announced. A genuine competition may ask for your details to deliver the prize, but it will not charge you fees or ask for your card's security code.

It was only R25. Should I worry? Yes: the problem is not the R25, it is that they now have your full card details. Block the card to be safe.

Someone from "the Lotto" called to say I've won. National Lottery prizes are claimed by presenting your winning ticket through the operator's official claim process; nobody phones you out of the blue to announce a win or to charge you fees. The National Lotteries Commission, which regulates the National Lottery, warns regularly about these fake lottery messages.

How do they know my name? From data breaches or databases that are bought and sold. Knowing your name does not prove the prize is real.

In short

If you have to pay something or give your card to collect a prize, it is not a prize: it is a scam. Hang up, do not tap the link, check through the official channel and, if you have already shared your details, call your bank's fraud line and open a case. NoCall warns you when a number has already been reported by other users; and if you have received one of these messages, report it in the spam numbers directory so that the next person sees it before they take the bait.