SINGAPORE — Extra measures designed to combat digital banking scams were unveiled on Thursday (June 2), including a default limit of S$5,000 for online funds transfers and an emergency "kill switch" that customers can use to suspend their accounts quickly if they fear the accounts have been compromised.
In a joint press release, the Monetary Authority of Singapore (MAS) and the Association of Banks in Singapore (ABS) said that the safeguards, designed to improve the security of digital banking, will be activated by Oct 31 this year.
Banks are already progressively rolling out these measures, which are intended to complement those announced in January this year, which included the removal of clickable links in emails and SMSes sent by banks.
In February, OCBC bank announced the introduction of a "kill switch" for its customers.
Aside from the transaction limit and the “kill switch”, the latest measures include:
- Requiring additional customer confirmation to process significant changes to customer accounts and other high-risk transactions identified through fraud surveillance
- Facilitating rapid account freezing and fund recovery operations by co-locating bank employees at the Singapore Police Force’s Anti-Scam Centre
- Enhancing fraud surveillance systems to take into account a broader range of scam scenarios
- Earlier this year, at least 469 customers were affected by an SMS phishing scam targeting OCBC bank customers, with losses totalling at least S$8.5 million.
This prompted the authorities to consider ways to further reduce the risks posed by phishing scams
MAS and ABS said: “While the enhanced anti-scam measures put in place by banks may lengthen the time taken for customers to complete certain online banking transactions, this is necessary to achieve a greater level of security and protection for their funds.”
They added that a draft framework aimed at achieving an “equitable loss sharing” between consumers and financial institutions is also in the midst of being finalised. It will be put up for public consultation as part of revised e-payments user protection guidelines soon.
The consultation, they said, will also cover the responsibilities of other key parties.
More at https://www.todayonline.com/singapore/anti-scam-bank-measures-kill-switch-transfer-limit-1914711
