Each action has intended and unintended consequences; the digital revolution has proved to be a double-edged sword. With the penetration of smartphone progressing the financial services, security issues have risen astonishingly.
There are some precautions people can take as individuals to effectively contain payment cards or cyber fraud. The security of the electronic transactions begins with self, and the banks and service providers are also making efforts to improve the safety of the operations more critical.
Banks and financial institutions do have experts working 24/7 to monitor millions of transactions through cards of its customers. Using rule-based alerts configured and calibrated to the profile of each unique cardholder, officers view the alarms and exceptions triggered by the risk assessment engines and carefully investigate the cases to remove false positive ones. The alerts are then swiftly and decisively operated to ensure that losses due to card abuse and misbehavior kept to a minimum. Suspicious merchant payments should be suspended until the transactions are examined and documents and circumstances relating to any highlighted transactions are verified. Cards that may or may not be affected shall be blocked and replaced. With the integration of AI into the transaction management systems of most major banks, self-learning engines can discern trends and adapt to the evolving fraud scenario. These engines analyze and create a score or risk quotient for each transaction, putting the most important cases at the top of the line for examination and attention by an analyst.
Some of the precautions people must always take include safeguarding the integrity of their bank accounts and card credentials. They must not be greedy when someone offers free benefits that seem too good to share their card or account details, or when their “bank” or “credit card company” calls or writes to tell that they must provide information about the card/account.
One should never give full card details or any one-time passwords( OTPs) that are received as part of the transaction. It’s wise never to click on a link embedded in an SMS / MMS or an email that a bank has sent to confirm specific details.
One’s rapid action, good faith, and proven non-negligence will significantly limit the actual financial loss, or it could be zero, as the regulator wants financial institutions to help real customers. Additional precautions include the use of legal operating systems, software and applications on the computer or mobile devices and the updating of the same. Simple precautions can prevent a great deal of grief.