The Hong Kong Monetary Authority (HKMA) launches a consultation with retail banks to establish a shared responsibility framework for handling customer claims related to authorized payment scams.
Highlights:
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Consultation Launched: The HKMA initiates a consultation with retail banks to develop a framework for determining shared responsibility in cases of authorized payment scams.
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Framework Objectives: The proposed framework aims to assess banks’ anti-scam measures and customers’ roles in preventing scams, considering factors like customer vulnerability.
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International Perspectives: The HKMA notes that other jurisdictions are exploring similar frameworks, but a consistent global approach has yet to emerge.
Summary :
The Hong Kong Monetary Authority (HKMA) has commenced a consultation with retail banks to establish a framework that delineates shared responsibility for losses arising from authorized payment scams. This initiative aims to guide banks in handling customer claims and to enhance the effectiveness of anti-scam measures.
The proposed framework seeks to balance the responsibilities of banks and customers. It emphasizes the need for banks to implement proactive monitoring systems and control measures to assist customers in identifying and preventing scams. Simultaneously, it underscores the importance of customers exercising caution and verifying transaction details to avoid falling victim to scams.
The HKMA acknowledges the complexity of determining responsibility in such cases, as they often involve a combination of factors. Therefore, the framework proposes a nuanced approach that considers various circumstances, including the customer’s background and the specific details of the scam.
This consultation aligns with global trends, as other jurisdictions are also exploring frameworks to address the issue of scam-related losses. However, the HKMA notes that a consistent approach has yet to be established internationally.
