RECENT events in which BDO Unibank customers complained that their accounts have been hacked and money has been illicitly withdrawn have caused widespread disquiet.
Reactions from those representing the banking sector have been varied. A number have tried to blame the customer. For example, a statement issued by the Bankers Association of the Philippines has said:
“An important reminder: You will never be a victim of cybercrime if you never give your personal information, such your password to other people. If you do not give your personal information to others, cybercriminals will never be able to steal your money”.
Unfortunately, as I know from personal experience, this is not true.
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Bangko Sentral ng Pilipinas (BSP) has, over the recent years, adopted a proactive stance in which it encouraged the unbanked to open accounts and, at the same time, has tried to preserve a high level of safety in the banking sector.
The media tend to portray BSP as having complete authority over the banks which it supervises. In fact, it appears to me that BSP can make requests of banks but that its authority is unclear.
We saw this in 2012-2015 when a progressively increasing number of ATM transactions were fraudulently carried out by criminals who were able to “skim” our ATM cards by introducing a device in the ATM machine that read and stored our personal identity number (PIN).
In fact, there had been an advance in ATM technology in which a “chip” could be installed which prevented skimming to take place.
From June 2012 onwards, BSP introduced circulars “instructing” banks to withdraw those ATM cards which were easily skimmed and introduced the new cards which fully resisted any attempts at fraud. Some banks were slow to comply with this instruction. Many fraudulent transactions took place as a result.
I would like to see the introduction of legislation which would empower BSP to have greater authority over the banking sector./PN
