BSP Enforces Stricter Rules vs Scammers

The Bangko Sentral ng Pilipinas (BSP) has rolled out tighter regulatory rules to help financial institutions detect, prevent and act on account-related scams, following the enactment of the Anti-Financial Account Scamming Act (AFASA) last year.

- By KEISHA TA-ASAN

Through Circulars 1213, 1214 and 1215 issued in May, the BSP laid out the coordinated measures that banks, e-wallets and other financial institutions must take to combat mule accounts, phishing schemes as well as other forms of digital fraud.

"These amendments are designed to fortify the existing regulatory framework and ensure more effective compliance with the provisions of the AFASA," the central bank said in Circular 1213.

Under Circular 1213, the BSP amended its information technology risk management rules to require stronger fraud detection systems and blacklist screening.

Banks must now "implement automated and real-time fraud monitoring and detection systems to identify and block disputed, suspicious or fraudulent online transactions."