Bank of Thailand Boosts Mobile Security with New Transfer Limits. In a strategic move to bolster the security of mobile banking, the Bank of Thailand (BoT) is putting mechanisms in place to protect vulnerable users such as teenagers and the elderly. The plan introduces a daily transfer cap of 50,000 baht for these groups, aiming to shield them from fraud and financial abuse. ASEAN NOW

File photo courtesy: Bangkokbiz News

 

In a strategic move to bolster the security of mobile banking, the Bank of Thailand (BoT) is putting mechanisms in place to protect vulnerable users such as teenagers and the elderly. The plan introduces a daily transfer cap of 50,000 baht for these groups, aiming to shield them from fraud and financial abuse.

 

Feedback from the public has already been gathered by the BoT as it gears up to amend regulations surrounding financial service security. The focus is on curbing the risks associated with mobile banking apps, which have become increasingly popular yet fraught with security concerns.

 

Prime groups affected by these changes include the elderly and individuals under the age of 15. Considered more susceptible to scams, these users often fall prey to fraudsters who dupe them into sending large sums of money. By instituting a daily transfer limit, the BoT is taking proactive steps to safeguard their financial wellbeing.

 

Beyond limiting transfers for certain users, banks will also be required to enhance their mobile app security protocols. Transactions over 50,000 baht per instance, or exceeding 200,000 baht daily, must incorporate advanced measures like facial recognition and biometric verification to thwart identity theft and unauthorized access.

Moreover, the BoT stipulates that mobile banking providers implement robust security technology to defend against malware and hacking - including ensuring apps do not function on jailbroken devices or those employing outdated operating systems.

 

The announcement of these stringent measures is expected this month. The BoT aims for all non-bank service providers under its oversight to adhere to equivalent security standards by early next year.

 

A step further in regulatory efforts, there's an ongoing discussion regarding the liability of financial institutions in cases of fraudulent transfers. Drawing inspiration from Singapore's Cyber Security Agency, the BoT is considering frameworks that would define institutional responsibility and liability sharing between banks and regulatory bodies in the event of fraudulent activity.

 

The amended regulations will also impose stricter penalties on entities peddling customer data—a significant loophole currently exploited by scammers.

 

In a recent incident, BoT spokesperson Chayawadee Chaianan highlighted a complaint in Udon Thani, where an auditing firm claimed a loss of 2 million baht via mobile banking.

 

The BoT has since instructed the banks involved to meticulously probe the matter, underscoring the urgent need for vigilance on account activity, particularly for business clients.

 

By reforming digital transaction protocols, the BoT is not only fortifying the financial landscape against fraud but also reinforcing trust in Thailand's digital banking future, reported Bangkok Post.

 

-- 2025-01-01