Banking Industry Prevents Over RM399 Mln In Attempted Fraudulent Transactions In 2024 -- BNM

KUALA LUMPUR, March 24 (Bernama) -- Enhanced security controls enabled the banking industry to avert over RM399 million in attempted fraudulent transactions in 2024, Bank Negara Malaysia (BNM) said.

Such frauds include main scam cases reported to the Royal Malaysia Police (PDRM), namely telecommunication scams (31.6 per cent), e-commerce scams (30.6 per cent), loan scams (15.4 per cent), investment scams (13.9 per cent), love scams (3.9 per cent), and malware and phishing (4.7 per cent).

 “Malaysia has advanced its fight against online fraud since 2022 through concerted efforts to strengthen security controls in financial institutions, implementing preventive measures across all banks and recently extending them to major e-money issuers, which have yielded positive outcomes,” BNM said in its Annual Report 2024 released today.

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It further said the number of fraudulent, unauthorised transactions involving malware and phishing reported to the central bank declined by 52 per cent in 2024.

BNM said that vigilant and proactive consumers were key to minimising fraud, as more than 95 per cent of online fraud cases in Malaysia involve authorised transactions.

 “As authorised fraud patterns can closely resemble genuine transactions, financial institutions face significant challenges in identifying and blocking fraudulent transactions without disrupting the payment system, making consumer education and awareness the most effective way to prevent such scams.

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 “Greater success in averting fraud can only be achieved if consumers take proactive measures such as resisting deals that are ‘too good to be true’, heeding scam warnings from friends, family, and banks, and practising good cyber hygiene by not sharing passwords or personal credentials and avoiding suspicious links,” the central bank said.

Looking ahead, BNM said tackling online fraud would require a whole-of-nation approach, with ongoing efforts to strengthen fraud prevention, enhance enforcement, and boost consumer awareness.

“The industry is already working to enhance fraud prevention and enforcement by leveraging technology and improving information sharing,” it said.

Consumers will play a vital role as the first line of defence against fraud by staying vigilant and proactive, helping to prevent fraud, and creating a safer digital payment ecosystem, with collective efforts essential to strengthening resilience against this financial threat, BNM concluded.

-- BERNAMA