MAS Asks Banks to Consider Seniors in Anti-Scam Measures, SRF Inclusion Possible

The Financial Authority of Singapore (MAS) has requested banks to evaluate and implement buyer authentication mechanisms which are extra immune to each phishing and malware assaults, bearing in mind the wants of seniors with restricted digital literacy.

These measures, when nicely developed, could possibly be thought-about for inclusion within the Shared Duty Framework (SRF), which prescribes a set of anti-scam duties for monetary establishments (FIs) and telecommunication firms (Telcos).

Minister of State for Commerce and Trade and MAS’ Board Member Alvin Tan shared this in a parliamentary reply concerning the SRF.

The SRF was proposed by the MAS in October 2023 as a part of a broader suite of measures to guard shoppers from phishing scams. Beneath the SRF, FIs and telcos could be held immediately accountable to shoppers for any rip-off losses that happen attributable to a breach of their outlined duties.

In addition to assigning accountability for rip-off losses, the total implementation of safeguards by FIs and telcos ought to “materially cut back the danger of phishing scams within the first occasion”.

The variety of phishing scams has continued to rise within the first half of this 12 months in comparison with the earlier interval, however has declined as a proportion of whole rip-off instances from 17% to 13%.  The common loss per phishing rip-off has additionally declined by 20% over the identical interval.

Alvin Tan

Tan added,

“Based mostly on information collected by the Police, MAS estimates there have been about 15,000 phishing rip-off instances from 2021 to mid-2023, with a median loss per case of about $3,900.

 

We wouldn’t have information on the variety of phishing scams that contain potential breaches of duties by FIs. However such information might be tracked underneath the SRF going ahead.”

He additionally famous that in addition to the SRF, banks even have discretionary goodwill fee frameworks for his or her rip-off victims. Relying on the circumstances of every rip-off case, the sophistication of the rip-off typology, and the buyer’s monetary state of affairs, banks have lined half or all the losses incurred by rip-off victims.

Tan concluded,

“MAS has leaned on the banks to be much more accommodative in making use of their goodwill fee frameworks.

 

These goodwill frameworks complement the SRF which is meant to strengthen the direct accountability of FIs and telcos to shoppers after they have breached their outlined duties.”