PETALING JAYA: There should be a clear and standardised framework defining what constitutes negligence by e-wallet providers resulting in scams, says consumer groups.
Federation of Malaysian Consumers Associations (Fomca) secretary-general Saravanan Thambirajah said the framework by Bank Negara should also include objective assessment criteria rather than leaving the interpretation solely to e-wallet providers.
“Mandatory timelines are also needed for acknowledging complaints, conducting investigations and communicating findings to consumers.
“Providers should be required to provide written reasons supported by evidence whenever a claim is rejected,” he said when contacted.
Yesterday, Prime Minister Datuk Seri Anwar Ibrahim said e-wallet providers must fully compensate scam victims within seven working days if they fail to implement Bank Negara’s preventive measures.
This applies even in cases where losses are partly caused by user negligence.
Saravanan noted that such requirements imposed on e-wallet providers would ensure that victims’ claims are not delayed for months.
“Consumers place their trust in e-wallet providers to safeguard their money and personal data.
“Where a provider has failed to implement preventive measures as required by Bank Negara, it is only fair that it bears responsibility for the resulting losses,” he said.
He added that an independent dispute resolution mechanism must also be easily accessible if consumers disagree with the provider’s decision.
Saravanan also suggested that this accountability framework should be consistently applied across the digital financial ecosystem, including banks and other payment service providers.
While supporting the policy, Pertubuhan Mesra Pengguna Malaysia (PMPM) deputy president Azlin Othman cautioned that it does not mean users have a free pass to act recklessly or without due care.
“Security is a shared responsibility. Users must continue to protect their personal information, never disclose passwords or one-time passwords, and practise safe online habits,” she said.
Azlin also supported calls for clear guidelines defining negligence and mandatory preventive measures to prevent service providers from rejecting or delaying claims through differing interpretations.
She suggested stronger oversight, including requiring providers to justify rejected claims in writing and empowering the Financial Market Ombudsman Service to make binding decisions on disputes.
“The seven-working-day compensation timeline is realistic given existing fraud detection systems.
“But perhaps three additional working days could be given only for complex cross-border cases, provided victims are informed and Bank Negara is notified,” she said.
Azlin also said the policy ensures responsibility is no longer placed solely on victims, especially where service providers have failed to implement mandatory security measures.
“For the first time, consumers have clear assurance that they are entitled to compensation if an e-wallet provider was negligent, even where users are found to be partly at fault,” she added.
