SINGAPORE: Singapore’s three local banks will soon permit their customers to set aside and” lock up” & nbsp, a certain amount of funds that cannot be transferred out of ones account digitally, as an additional precaution against rising scam cases.
By next month, DBS, OCBC, and UOB will be implementing their own versions of a” money lock ,” according to CNA.
Alvin Tan, the Minister of State for Trade and Industry, spoke in Parliament next month. The banking sector has studied the idea of a” money lock” to prevent an increase in con situations.
Customers of banks will be able to set off a certain sum in their records that” may be digitally transferred out without strict certification measures” thanks to this feature. & nbsp,
In response to a movement and nbsp to adjourn on measures to protect banking customers from schemes, he said,” This will further help to limit costs against frauds.”
DBS announced the upcoming roll-out of a new banking account called digiVault on Friday( Oct. 6 ) that will take the” digitally in, only physically out” approach.
Customers will therefore be able to transfer funds online into this innovative account, but not for talkative transactions.
The new digiVault will aid in preventing scammers from carrying out deceptive digital transactions because customers’ funds cannot be accessed online, according to DBS.
The lender added that customers will only be able to access funds in the future digiVault account, which is scheduled to launch by the end of November.
One such method is to require users to go to a bank branch with identification documents like an Circuit or recommendation. DBS is looking into other options, which will be revealed next month, in addition to in-person check at bank branches.
According to Han Kwee Juan, the company’s state head in Singapore,” digiVault is similar to a virtual safe deposit box in talons.” ” The money in the accounts are secured and will reassure our clients that they cannot access them digitally.”
ANNOUNCE Related FEATURES BY UOB AND OCBC
The other two regional institutions responded to CNA’s questions by stating that similar actions are imminent.
By the end of November, OCBC will launch a” money lock” feature that enables users to” ringfence an amount from their account balances that cannot be digitally transferred out” on its banking app.
According to Beaver Chua, head of anti-fraud at the bank’s group financial crime compliance, a” cross – channel authorisation measure” will be required once it is implemented to” unlock” the ringfenced funds.
For instance, a client may need to do the unlocking process at an OCBC ATM, which would require them to do so on another platform besides the application.
In light of the occurrence of scams, OCBC stated that a” solid and stable measure to access the ringfenced funds” must be in place, but that such actions” may inevitably create tension in banking.”
We will always work to strike the right balance between protecting our customers and the customer experience, as with any safety measure, and listening( to ) their comments, Mr. Chua said.
After carefully examining the idea, the bank at UOB will also introduce its own version of a” money lock” by November.
According to bank head of team conformity Daniel Ng,” We believe that the money lock can be an efficient tool to reduce risk exposure online because it can ringfence a portion of funds as designated by the customer from electronic transfers or intrusion.”