Consumers get greater protection from scams


KUALA LUMPUR: E-wallet providers will have to fully compensate scam victims within seven working days if they fail to implement Bank Negara’s preventive measures, says Datuk Seri Anwar Ibrahim.

The Prime Minister said this would apply even in cases where losses were partly due to user negligence.

“Overall, these measures reflect the government’s and Bank Negara’s commitment to streng­thening consumer protection, improving accountability among payment service provi­ders and enhancing public con­fidence in the security of digital transactions in Malaysia,” he said in a parliamentary written reply to a question from Roy Angau Gingkoi (GPS-Lubok Antu) yesterday.

There was a 26% increase in the number of victims receiving full or partial compensation after the policy was fully implemented, Anwar noted.

Roy had asked whether the ­government planned to streng­then protection and compen­sation mechanisms for consu­mers who fall victim to scams involving e-wallet transactions and digital payments.

Anwar, who is also Finance Minister, said Bank Negara had imposed various regulatory ­req­uirements on banking insti­tutions and eligible e-money ­issuers as preventive measures.

“These include strengthened transaction authentication methods, the implementation of a cooling-off period for high-risk tran­sactions, device binding to a single registered device, dedicated fraud hotlines and the introduction of a ‘kill switch’ function allowing users to immediately freeze their accounts when fraud is suspected,” he noted.

Anwar added that the central bank’s framework also covered cases invol­ving shared respon­sibility between banks and ­customers, with compensation determined based on each party’s level of ­negligence and responsibility.

Under the framework, victims may also seek an independent review through the Financial Mar­ket Ombudsman Service if they disagree with a bank’s decision.

He said Bank Negara, together with relevant agencies and the private sector, had also carried out continuous public awareness programmes to educate the ­public about scams.

On enforcement, Anwar said the National Scam Response Cen­tre (NSRC) was set up as a multi- agency initiative to coordinate rapid responses to online financial scams.

“The NSRC’s ability to trace and freeze funds has also been enhanced through the National Fraud Portal, which automates fund-tracing processes to speed up the detection and freezing of suspicious transactions,” he said.

These measures, together with enhanced security controls by financial institutions, helped ­prevent RM1.2bil in frau­dulent transactions in 2025, he added.

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