Joining the insightful discussion at CNA's “Heart of the Matter - Scam losses: Who should bear the responsibility?” podcast, Nydia Remolina, SMU Yong Pung How School of Law Assistant Professor of Law and CAIDG Fintech Track Lead, delved deep into the intricacies of scam losses and the responsibility for preventing and dealing with scams. The dialogue centered on authorised push payments and the challenges of implementing such a framework.
Here are some key insights from Nydia that illuminate the complexity of combating online scams, particularly in the digital age:
Unveiling Behavioural and Psychological Aspects: Nydia sheds light on the behavioural and psychological aspects of scams. She points out that victims often believe they are making the right decisions, even when they fall prey to scams. This underscores the importance of considering these factors in scam prevention strategies.
Advocating Cross-Border Collaboration: Nydia advocates for increased collaboration on a cross-border level to combat scams effectively. She notes that scams are not limited by geographical borders. Therefore, efforts to prevent them should also transcend these boundaries, necessitating collaboration between different jurisdictions and industry players.
Technological Hurdles: With the advent of technologies like deepfakes and generative AI, Nydia highlights the challenges in identifying and preventing scams. Scammers are becoming more sophisticated, making it harder to discern genuine requests from fraudulent ones. This underlines the importance of staying ahead of scammers in terms of technology and security measures.
Notification Systems: Nydia also discusses the role of notification systems provided by banks. While these systems can be helpful, she acknowledges that not everyone enables them or pays attention to them. Scammers adapt to these systems, necessitating a more comprehensive approach to scam prevention.
In conclusion, addressing the rising threat of scams, especially in the digital realm, involves a multifaceted approach. It requires collaboration between various stakeholders, including banks, financial institutions, authorities, and customers. Education and awareness are also essential to help individuals recognise and avoid scams, even in the face of sophisticated tactics such as deepfakes. Balancing convenience and security remains a challenge in today's interconnected world.
Last updated on 24 Nov 2023 .