Capitec is tapping the power of artificial intelligence (AI) to curb the scourge of scams targeting its clients.
This emerged when the bank yesterday announced its interim results for the period from March to August.
The results come as Capitec continues to accelerate investments in its digital ecosystem, focusing on enhancing client experience, expanding its fintech offerings and driving operational efficiency.
According to the bank, app users grew by 13% to 14 million, driving a 35% surge in e-commerce transactions.
It adds that the adoption of digital payments increased, with a 131% year-over-year rise in digital wallet transactions.
Capitec says it continues to make investments in digital services, and recent innovations include enhanced security.
According to the bank, AI-enabled fraud prevention tools, which protect clients from paying to high-risk account numbers, stopped over 23 000 scam payments, saving clients over R200 million.
It notes that features like free in-app calling have enhanced the client experience, while saving customers a combined R5 million in airtime costs.
Personal Banking credit card clients receive 1% cashback on purchases, 1GB of free Capitec Connect data per month, and zero forex commission on international payments, collectively saving clients R25 million over the past six months, it adds.
It reveals that mobile virtual network operator platform Capitec Connect now has 1.1 million active SIM cards.
Additionally, 3.9 million transactions, including statement requests and account confirmation letters, were completed through in-branch self-service terminals, freeing consultants from 3.2 million workload minutes and allowing them to focus on higher-value client interactions.
Meanwhile, Capitec’s interim results demonstrate strong growth across key financial and operational metrics.
Headline earnings rose 26% to R8 billion compared to R6.4 billion in August 2024, supported by a 27% increase in net interest income after credit impairments to R7.1 billion, driven by new credit initiatives and disciplined risk management.
Non-interest income, including value-added services (VAS), Capitec Connect and insurance, grew 19% to R13.4 billion, while the fintech business, encompassing VAS and Capitec Connect, surged 40% to R2.9 billion.
The bank’s return on shareholders’ equity improved to 31% from 29% a year earlier, underscoring robust profitability and effective capital management, it states.
Graham Lee, group CEO of Capitec, says the performance was achieved through its focus on clients and delivering innovative solutions that remain relevant in their lives.
“Our goal has been to build trust and make a meaningful impact for our clients. The scale of our 25 million client base puts us in a strong position to lower the cost per transaction, increase revenue and continue to invest in new initiatives and products that meet our clients’ daily needs.”
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