According to PDRM, over RM5.2 billion was lost to scams in the past 2 years. Let that sink in, that’s a LOT of money lost. Among the total of 71,833 scams, 68% of them were online scams. Hence, there’s a strong urge to strengthen our digital security. On Monday, Sept 26, Bank Negara Malaysia announced its countermeasures. Here’s the rundown: 👇​ 👇

The 5 Measures: ✋​

1. No More SMS OTPs

2. Tighten transaction blocking

3. Cooling off period for online banking

4. Only 1 device for OTP

5. Bank’s dedicated scam reporting hotline

Why the harsh stance against OTPs? ​🛑​

• Users wanting to make transactions will receive OTPs (One-time-passwords) to verify and confirm the transaction.

• However, some apps can be allowed to access SMS services.

• Leading to potential breaches by shady apps.

• Someone could also pretend to be you and get a new SIM and access your SMS OTPs (ie. SIM swapping).

• SMS are also in plain text, which is easily read by telcos or hackers.

Would BNM’s 5 Measures Work? 🤷🏻‍♂️

• Shifting away from OTPs are a good move.

• Measures 2 to 4 are just hurdles for everyone. It’ll probably frustrating but will slow down scammers.

• The scam reporting hotline’s efficacy will depend on execution.

• With the current bank processes, the dedicated hotline may not be much help.

What are things YOU can do? 👇​

1. Stop using SMS OTPs if possible. Use bank apps instead.

2. If you suspect a scam call, ask them to email you instead. That way you can better verify real authorities.

3. Set a lower transaction limit, or use the lower balance cards for online transactions.

Like most things involving money, scams operate on GREED and FEAR. Greed being “too good to be true opportunities/returns” and Fear being “PDRM/LHDN/JPJ saman!”. Know your stuff, keep cautious and stay safe Malaysians! 💪

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