Keith Pearson’s Post

While the goal is always to protect customers, the debate continues between focusing on preventing scams vs. expanding reimbursement obligations. I’m firmly in the prevention camp, as it creates a safer and more reliable financial environment for both banks and customers. Thoughts? #Fraud #Payments #FinCrime #Banking

7 common banking scams (and how to avoid becoming a victim) "Banking scams are common, and they're becoming more sophisticated. Learn how to avoid the seven most common bank scams." https://brev.is/u4VjH

7 common banking scams (and how to avoid becoming a victim) "Banking scams are common, and they're becoming more sophisticated. Learn how to avoid the seven most common bank scams." https://brev.is/P5fFZ

The Post /Press - Rob Stock. My view; I can’t think of a single scam, banks aren’t to blame for. Bold statement? Not at all. Let me explain. KPMG say banks might consider “joint responsibility” with customers. Unbelievable. Why would we want to relieve them of half the liability? Their joint liability is with each other; payee and payer. Think of any payment scam, and I’m pretty sure I could tell you why a bank is to blame. In short, two reasons: 1. They’re either the bank with a flaw in their technology and under invested in tech. Or; 2. They’re the bank harbouring a criminal. To expand: A lack of investment in security (like name-check and call-check), untrained staff, old rule-based fraud systems, lack of fraud warnings and willfully ignoring security advice from the ombudsman; it is blatant risk taking. It’s based on believing their liability is low in a self-regulatory regime. Alternatively they’ve made a commercial decision their tech is ‘good enough’ and it’s cheaper to pay for what slips through, than invest in better. Or; They’re the bank harbouring a criminal and ‘know-your-customer’ is riddled with holes, lack of care and under investment in monitoring. They’ve set up an account for a person or business without getting deeper info on their previous history, earnings, suppliers and setting appropriate limits. As customers we rely on the payee bank to monitor accounts. Their terms and conditions say accounts can’t be used for illegal purposes. So it’s reasonable to expect them to protect victims, suspend accounts and take action. Payee banks escape liability due to two things; a) The banking ombudsman scheme doesn’t hear complaints against a bank who allowed criminal activity. They can change this. The scheme rules were originally written by banks. b) The banking code of practice doesn’t mention any duty of care by the payee bank, despite their services being part of the transaction. It could; banks wrote it. They regulate themselves. They can change it and the Minister of Consumer Affairs has asked them to. He’ll end up with watered down gravy. Thin and murky is how they like consumer protection. Banks condition people to think victims are to blame by calling it authorised fraud. We need to call it for what it is “bank enabled fraud”. We are wising up. Let me say it again; I can’t think of a single scam a bank isn’t to blame for. ANZ Reserve Bank of New Zealand Bank of New Zealand Kiwibank ASB Bank Westpac Antonia Watson Catherine McGrath Vittoria Shortt Dan Huggins Steve Jurkovich Samantha Barrass Andrew Park FMA Ministry of Business, Innovation and Employment Andrew Bayly Nicola Sladden Banking Ombudsman Scheme (NZ) KPMG New Zealand john kensington Jon Duffy Consumer NZ CERT NZ Netsafe New Zealand Brent Carey #scamawareness #fraudprevention https://lnkd.in/dW7KEmAy

This article by The Sun is a stark reminder to stay vigilant online! A recent incident highlights the importance of secure banking practices. Stay informed, stay secure! Read the full article here to learn more. Member FDIC. #HeartlandBank #OnlineSafety https://bit.ly/3UJ4OwO

How can your bank combat check fraud? Read our blog to explore the problem and how well-implemented solutions like positive pay can help stem the tide: https://bit.ly/4cl0fzd

Consumer fraud is spiking. How banks should respond. My latest for American Banker.

Bank payments could be delayed by up to three days under new rules that would give banks more time to investigate potential scams. They will also be required to compensate customers for any interest or late payment fees caused by delays. Read the full story here: https://lnkd.in/epbz6GBY

How to Recover Money Lost in UPI or Banking Fraud: Know in Detail https://lnkd.in/gRrrXSjJ