[ UPDATE 15/11/2022 15:50 ] Touch ‘n Go has clarified that they are not migrating from SMS OTP entirely but they are enhancing the security by adding more authentication methods to complement current methods.
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Touch ‘n Go eWallet has announced that it is committed to incorporating the five key security measures that were imposed by Bank Negara Malaysia due to rising concerns about online scams. Although Touch ‘n Go eWallet is a start-up and a non-bank provider, it wants to be the first and only eWallet in Malaysia to incorporate the new safety and security measures ahead of others.
Touch ‘n Go eWallet aims to implement the following five strategies by the first quarter of 2023:
- Enhance security by adding more authentication methods to complement the current methods.
- Tighten fraud rules and block suspicious transactions
- Verification and cooling-off period for first-time enrolment of services, secure device or profile document
- Restrict authentication of eTransactions to ONE mobile device or secure device per account holder
- Have a dedicated customer service channel/hotline for incident reports and suspicion of scams and fraud
Bank Negara Malaysia has instructed banks to comply with the security measures by June 2023 but Touch ‘n Go aims to implement these measures three months earlier by March 2023. Maybank and CIMB have recently announced that they will stop sending SMS-based OTP by June 2023.
The eWallet provider expects these security measures to further reinforce safeguards against fraudulent transactions and in the process strengthen confidence and trust among Malaysians, merchants and eWallet communities when it comes to safety and security of Touch ‘n Go eWallet. It added that Touch ‘n Go eWallet is the first eWallet to be part of the National Scam Response Centre effective today (15th November 2022). The response centre is aimed at streamlining coordination between agencies for a rapid response towards online financial scams.
TNG Digital CEO Alan Ni said “Touch ‘n Go eWallet places great emphasis on privacy and security features to safeguard our users’ interests. We believe that the measures we have put in place will give our users peace of mind that the money in their eWallet is protected and every transaction they make is safe and secure. We hope this will bring us closer to more Malaysians as they use Touch ‘n Go eWallet in their everyday lives, in line with our vision of building a more financially literate society.”
According to figures from Bursa Malaysia, reported losses from scams have amounted to RM5.2 billion over a two-year period during the COVID-19 pandemic. It believes that there are many more than went unreported.
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