Jamaican Commercial Banks to Implement Tough Measures Against Internet Scams

Fighting Back Against Cybercrime

In response to the alarming rise in internet scams and financial losses, Jamaican commercial banks are preparing to implement robust measures to prevent further fraud. According to Dane Nicholson, chairman of the Jamaica Bankers Association’s anti-fraud committee, local commercial banks lost a staggering $133 million through internet banking fraud last year alone.

A Growing Problem

The number of reported cases has seen a significant increase over the past five years, with 742 cases reported in 2022 compared to 72 in 2018. The total losses since 2018 have reached an alarming $405 million, according to the Jamaica Bankers Association. However, MOCA believes the actual losses could exceed $1 billion.

The Impact of Internet Scams

A recent example of the devastating impact of these scams was experienced by George Rivera’s girlfriend, who had $21,000 removed from his credit card after clicking on a link believed to be from his bank. Rivera only discovered the extent of the problem when he logged into his account and found that nearly all his savings were gone.

Implementing New Measures

To counter the evolving techniques of cybercriminals, financial institutions will need to make tough decisions and implement more robust systems. Nicholson suggests that two-factor authentication for all transactions could become the standard across the commercial banking sector. The Jamaica Bankers Association will also increase its customer education around internet scams, emphasizing that “customer vigilance is crucial in stemming the problem”.

Investigating Internet Banking Schemes

The Major Organised Crime and Anti-Corruption Agency (MOCA) is currently investigating several internet banking schemes, including one that was used to fleece millions of dollars from approximately 150 customers at multiple financial institutions. MOCA director of communications Captain Basil Jarrett believes that multiple organized persons or networks of persons are involved in these attacks.

Stemming the Tide

Nicholson emphasized that customer vigilance is crucial in preventing social engineering scams, which account for a significant portion of reported cases. He also predicted that early next year, there will be arrests in relation to cybercrime matters reported by various institutions.

The Way Forward

As Jamaican commercial banks prepare to implement new measures against internet scams, it’s essential that customers remain vigilant and report any suspicious activity. With the Jamaica Bankers Association increasing its customer education efforts, it’s hoped that the tide of these scams can be stemmed and financial losses minimized.