- “We submit that the FMA could make it clearer that the outcomes won’t be used as a tool to penalise financial institutions for outcomes that may seem unfair with the benefit of hindsight,” the NZBA submission says.
- Having previously opposed the Reserve Bank introducing debt-to-income restrictions on banks’ home loan borrowers, now they’re going ahead, the New Zealand Banking Association wants them loosened.
- “Banks were already sharing some information on money mules, but the new phase of work will increase the speed and amount of information being shared,” said NZBA chief executive Roger Beaumont.
- “Banks will investigate a voluntary reimbursement scheme for customers who lose money in an authorised payment scam. That may help inform any changes to the Code of Banking Practice which sets out current customer expectations for fraud reimbursement.”
- “Scammers often use weblinks or hyperlinks in text messages to gain access to people’s bank accounts. To help reduce this kind of scam risk, banks have committed to removing links from texts to customers,” NZBA chief executive Roger Beaumont said.
- “When you think about how a scam plays out, the money leaving your bank account is the very last step in that process,” says Beaumont. “It might be a fake ad in social media that makes you click on a link that’s promoting something dubious. It might be a phone call from a scammer that... Read more »
- One type of banking fraud the New Zealand Banking Association sees are money “mules” who, for a payment, let criminals transfer money overseas via their accounts, says chief executive Roger Beaumont. Some don’t understand it’s a crime.
- Roger Beaumont, chief executive of the Banking Association, said it would “look at what’s happening around the world and then see how we can update the current practice set out in the code”. But “given the timeframe involved, and the focus on scams, this isn’t likely to be our usual code review process”.
- “Payment scams, often called authorised push payments, trick you into voluntarily making a payment from your account. Invoice scams are a classic example, with scammers going through your email and then producing a fake invoice that looks legitimate.”
- A confirmation of payee service is a key priority for the industry, the New Zealand Banking Association says. It needs to be built and designed to suit the New Zealand situation, and it is currently assessing a few options with the preferred approach and delivery timeframe due to be announced at the end of April.
