Tue October 23, 2018
Advertisement
Can't connect right now! retry

add The News to homescreen

tap to bring up your browser menu and select 'Add to homescreen' to pin the The News web app

Got it!

add The News to homescreen

tap to bring up your browser menu and select 'Add to homescreen' to pin the The News web app

Got it!
Must Read

Business

December 6, 2017

Share

Advertisement

SBP probing debit card scam

KARACHI: State Bank of Pakistan (SBP) on Tuesday said it is in contact with HBL management to ascertain the exact losses due to the debit card scam and for compensating the affected customers.

SBP, in a statement, said HBL has taken several immediate actions to determine and limit the impact of such transactions on customers. “Specifically, it blocked all identified debit cards that were suspected to be misused, and quarantined the automated teller machines (ATM) used in the hacking activity,” it said.

Last week, customers’ information on HBL debit cards was used by hackers through skimming to create clones, which were then used to withdraw money from various locations within and outside the country.

The SBP said 296 customers have confirmed the disputed transactions and the estimated damage assessment is Rs10.2 million. “HBL has also managed to start returning the money to depositors to the extent of their losses." Efforts were also underway to determine the losses any other bank’s customers using HBL ATMs may have incurred, so remedial measures could be taken.

ATM skimming — an illegal activity in which account details are stolen from the magnetic strip contained on the back of the debit card has been around for a while and such incidents have happened, sporadically, in Pakistan as well. To safeguard the depositors from fraudulent transactions, SBP has issued specific regulations for the security of payment cards and internet banking, under which banks are required to develop and implement comprehensive framework for risk assessment, implementation of controls and monitoring.

Debit cards, complying with EMV (Europay Mastercard Visa) standards, featuring a chip and offering two factor authentications are now considered the most effective countermeasure for card cloning through skimming, globally.

SBP in 2016 issued regulations for payment cards security wherein banks were required to develop infrastructure for EMV Compliance and issue cards by June 30, 2018.

SBP reassures HBL's customers that it would take every measure in coordination with banks to safeguard the interest of depositors against any fraudulent activity, complying with its responsibility of ensuring smooth and safe payment systems.

Advertisement

Comments

Advertisement
Advertisement

Topstory

Opinion

Newspost

Editorial

National

World

Sports

Business

Karachi

Lahore

Islamabad

Peshawar