Enhance security, block fraud

Commercial banks and e-wallets are currently urgently requesting customers to update their biometric data in 2024.

According to Circulars 17/2024/TT-NHNN and 18/2024/TT-NHNN of the State Bank of Vietnam (SBV), payment accounts and bank cards that have not completed biometric authentication before January 1, 2025, will have to temporarily suspend online transactions (payments, money transfers, deposits) or ATM withdrawals…

Commercial banks and e-wallets are currently urging customers to update their biometric data in 2024. This is the next step for the banking industry following Decision 2345/QD-NHNN on implementing safety and security solutions in online and card payments, which mandates biometric authentication for money transfers exceeding 10 million VND and total transaction values ​​exceeding 20 million VND per day.

The above solutions from the State Bank of Vietnam aim to strengthen security in online payments and prevent fraudulent activities by cybercriminals. In particular, these solutions will help limit the buying, selling, renting, and borrowing of accounts, access to links from unknown sources, downloading fake applications, and the leakage of personal information, online banking passwords, and OTP codes. This will reduce the number of users whose accounts are stolen.

Information from the Payment Department of the State Bank of Vietnam shows that after the implementation of Decision 2345, the number of fraud cases decreased by 50% compared to the average of the first 7 months of 2024, and the number of accounts involved in fraud decreased by 72%.

The growth rate of cashless payment channels in Vietnam has consistently reached double digits in recent times. Conversely, Vietnam is also "notorious" as a hotbed of cybercrime and fraud. Countries around the world are also struggling with cybercrime. According to statistics from the Ministry of Public Security , online fraud accounts for 57% of all cybercrime worldwide, and this type of crime is increasing in scope and scale with sophisticated methods. Criminals are thoroughly exploiting new technologies, especially artificial intelligence (AI), causing trillions of USD in losses each year. In 2023, telecommunications and online fraud caused losses of 1,026 billion USD, equivalent to 1.05% of global GDP…

The "war" between financial institutions and cybercriminals is arguably far from over. Technology is constantly changing, and cybercriminals frequently alter their methods and tactics, becoming increasingly sophisticated. While the banking industry's biometric authentication solutions are effective in combating fake accounts, spam accounts, and the practice of renting or borrowing accounts for fraud, they haven't yet addressed deepfake technology (using AI to create fake images and videos , impersonating users' faces and voices) for scams. Criminals can still find vulnerabilities to crack security and falsify biometric data to steal assets, causing losses of tens or even hundreds of billions of dong.

Therefore, despite the application of biometrics, users also need to be proactive and constantly update themselves on new scam tactics to prevent them. Scammers often target vulnerable groups such as the elderly and those lacking technological knowledge, so solutions from regulatory agencies are needed to support these groups. Along with investing in technology and strengthening security, banks need to educate and warn customers about scam tactics and suspicious accounts.

Source: https://nld.com.vn/tang-cuong-bao-mat-chan-lua-dao-196241206212750352.htm