Reviewing account opening process after multiple money loss cases

The State Bank has just asked banks to review the process of opening and using payment accounts (both traditional and electronic) to limit risks and fraud like the recent one.

The Governor of the State Bank has just issued a document requesting payment service providers, the Banking Association, the Banking Inspection and Supervision Agency, and State Bank branches in provinces and cities to strengthen measures to prevent and combat risks and fraud in payment activities. This directive was issued after a series of recent reports of money loss in payment accounts of individuals and businesses.

Specifically, for payment service providers (banks), the operator requires reviewing and re-evaluating all processes, procedures, records and contracts for opening and using payment accounts (including traditional and electronic methods). If there are any problems, banks need to report them for coordination in handling.

For card payment and online payment activities, banks need to deploy security measures for the system such as detecting, monitoring, and preventing fraudulent and suspicious transactions in terms of time, geographic location, transaction frequency, payment limit, number of false authentications, or other unusual signs. Banks also need solutions to detect online fraud websites early to warn customers.In addition, the operator also directed not to cut corners on business processes and procedures.

"When risks and frauds occur, they must be reported to the State Bank and coordinated with customers, law enforcement agencies and relevant units to handle them quickly, accurately, and in accordance with regulations, and promptly inform customers. The rights of the people and customers must be guaranteed in accordance with the law," the Governor's document said.

After a series of reports of money being lost in accounts, the State Bank asked banks to review the process of opening and using payment accounts.

For the Banking Inspection and Supervision Agency and the State Bank branches in provinces and cities, the Governor also requested to include the inspection of information technology in payment activities in the periodic inspection and examination program.

The Banking Inspection and Supervision Agency must regularly coordinate with the Payment Department and the Information Technology Department to grasp information on fraudulent methods and promptly direct payment service providers to raise vigilance, closely coordinate with law enforcement agencies in preventing and combating crimes in payment activities in general, card payments, and electronic payments.

This directive was issued after a series of recent reports of money being lost in personal and business payment accounts.In mid-August, a customer of the Bank for Foreign Trade (Vietcombank) reported losing half a billion VND in his bank account overnight without making any money transfer or withdrawal transactions. While the customer claimed that the bank's procedures were flawed, the bank said that one of the main reasons for the incident was that the customer accessed a fake link to Vietcombank's website. The investigation agency is currently handling this case.

Similarly, recently, a female director in Ho Chi Minh City also reported the loss of 26 billion VND in her VPBank account. According to this female customer, her accountant created fake documents to open a bank account with her signature instead of hers - the director, the person legally responsible for the company. After that, tens of billions of VND were withdrawn in check with full valid documents according to the bank's regulations, however, the business owner still claimed that she knew nothing. This incident revealed many contradictions in the statements of the parties and has been transferred to the investigation agency for handling.

According to VNE