KUALA LUMPUR: Tighter protection controls will be presented for the banking business to deter crooks from scamming customers, says Bank Negara Malaysia governor Bronze Sri Nor Shamsiah Mohd Yunus.
Noting the “concerning development” of increasing scams and cybercrime globally and in Malaysia, she said the particular country’s central bank would continue upgrading efforts to fight financial scams and also to collaborate with other stakeholders.
These included rolling out preventive steps, pursuing more effective and coordinated enforcement actions and raising general public awareness.
“Bank Negara requires banks in Malaysia to consider high standards associated with security, especially for Internet and mobile banking services, ” the girl said in the girl speech during the Economic Crime Exhibition right here on Monday (Sept 26).
Neither Shamsiah said Bank Negara also issues security advisories towards the financial industry featuring the latest tactics utilized by scammers as well as additional security measures banking institutions need to implement to protect their customers.
Acknowledging that unlawful tactics change, she said that Bank Negara continuously intensifies the efforts and introduces additional controls along with safeguards.
Financial institutions have also been instructed to include measures such as immigration of SMS one-time-passwords (OTP) to a safer form of authentication; more tightening of recognition rules and sets off for the blocking associated with scam-related transactions; subjecting first-time enrolment associated with online banking providers and secure devices to a cooling-off period; restricting customers to 1 mobile device or secure device intended for authenticating online banking transactions as well as the requirement of banks to set up devoted scam hotlines.
“Financial institutions have already been directed to be a lot more responsive to scam reports lodged by customers. Financial institutions have also been instructed to facilitate efforts to recover and guard stolen funds, including working with relevant companies to prevent further loss, ” she said.
She said while the control procedures may entail several inconvenience, they are necessary to protect the passions of customers.
“These controls may lead to some friction or inconvenience in the online financial experience of customers.
“For example, on-line banking transactions might take a little longer in order to process. Financial institutions will also conduct more investigations when customers ask for to change or sign-up a new phone number, ” she added.
“The effort in order to eradicate financial frauds requires cooperation and concerted action through all parties – not just from Bank Negara and the financial industry – but also from law enforcement firms, relevant ministries plus agencies, as well as the open public, ” she stated.
Bank Negara, together with the police, Malaysian Communications and Multimedia Commission (MCMC) and National Anti-Financial Criminal offense Centre (NFCC) will work together to further raise the CCID Scam Response Centre as a more systematic information-sharing platform that will allow quicker action to prevent further losses.
Nor Shamsiah stated the cooperation of law enforcement agencies is vital, especially for sharing information and intelligence.
Bank Negara as well as the Royal Malaysia Police launched a virtual “Financial Crime Exhibition”, which seeks to educate members of the public about economic scams, which can be seen here. (https://museum.bnm.gov.my/fce).
The virtual exhibit was jointly officiated by Nor Shamsiah and the Inspector-General associated with Police (IGP), Bronze Sri Acryl Sani Abdullah Sani.