Financial Crime World

Financial Frauds in Pakistan: Prevention and Resolution Methods

Types of Financial Frauds in Pakistan

There are various types of financial frauds that can occur in Pakistan. Some of the common ones include:

Card Skimming

  • Scammers use card skimmers to steal debit/credit card information by attaching a small device to an ATM.
  • They store up to 200 cards’ information, which can be used later to replicate the cards.

Lebanese Scams

  • Scammers pose as your banker and send you emails to inform you that your account has been compromised or frozen.
  • They ask for your bank account details, usually by filling out a form attached to the email.

Phishing

  • Scammers use email phishing scams to collect sensitive information from users.
  • They may pose as your banker or other organizations.

Tips to Avoid Financial Frauds in Pakistan

To avoid falling victim to financial frauds, follow these tips:

Ensure Secrecy of Your Identity While Making Payments

  • Be cautious when making payments online and ensure that you are on a secure website.
  • Never share your sensitive information with anyone.

Secure Your Debit/Credit Card

  • Keep your debit/credit card in a safe place and avoid using it at unsecured ATMs.
  • Regularly check your bank statements for any suspicious transactions.

Make Online Payments to Trusted Merchants/Vendors/Websites

  • Research the website before making an online payment to ensure that it is legitimate.
  • Look for trust badges such as VeriSign or SSL encryption.

Do Not Share Your Bank Details with Anyone

  • Never share your bank account details with anyone, including friends and family members.
  • Be cautious when providing sensitive information over the phone or in person.

Review Your Bank Statements Regularly

  • Regularly check your bank statements for any suspicious transactions.
  • Report any discrepancies to your bank immediately.

Keep Your Personal Documents in a Secure Place

  • Keep your personal documents such as your passport, driving license, and identity card in a secure place.
  • Avoid carrying them with you unnecessarily.

Always Keep the Receipts After Using ATMs

  • Always keep the receipts after using an ATM to ensure that you can track your transactions.
  • Report any discrepancies to your bank immediately.

Check for Card Skimmers in ATM Booths

  • Regularly check for card skimmers in ATM booths before using them.
  • If you find a card skimmer, report it to the bank and the police.

Disable Your Debit/Credit Card as Soon as Possible if You Lose Them

  • If you lose your debit/credit card, disable it immediately to prevent any unauthorized transactions.
  • Report the incident to your bank and the police.

In Case You Have Fallen into Any Trap or Your Information Has Been Compromised, Lodge a Complaint with Your Bank or Other Concerned Authorities

  • If you suspect that your information has been compromised, report it to your bank immediately.
  • Cooperate fully with the authorities to resolve the issue.

Fraud Resolution Methods in Pakistan

If you have fallen victim to a financial fraud, there are several options available for resolution:

Complaint Handling Mechanism at Banks/MFBs/DFIs

  • All banks have a Complaint Management System (CMS), which receives complaints from branches across the country.
  • The CMS provides a platform for customers to report their grievances and seek redressal.

Banking Mohtasib Pakistan (BMP)

  • BMP is an independent statutory body under the Government of Pakistan that helps to resolve disputes between banks and customers.
  • The organization provides a fair and impartial forum for resolving banking-related disputes.

State Bank of Pakistan (SBP)

  • SBP has introduced the Banking Conduct & Consumer Protection Department to deal with consumer complaints related to banks/MFBs/DFIs.
  • The department works to ensure that banks adhere to the highest standards of conduct and provide fair treatment to customers.

Complaint Lodgement Process

If you have a complaint, follow these steps:

Banks

  1. First lodge your complaint in your bank, providing all relevant documents.
  2. The bank will investigate the matter and respond to your complaint within a specified timeframe.

Banking Mohtasib Pakistan (BMP)

  1. If your bank does not respond or resolve the issue, you can approach BMP for further action.
  2. BMP will examine your case and provide a decision on the merits of your complaint.

State Bank of Pakistan (SBP)

  1. If you are not satisfied with the decision made by the Banking Mohtasib Pakistan within 30 days, you can file a representation to the President.
  2. SBP will examine your case and provide a final decision on your complaint.

Federal Ombudsman Institutional Reforms Act 2013

According to Federal Ombudsman Institutional Reforms Act 2013, a person can file a representation to the president if he/she may not be satisfied with the decision made by the Banking Mohtasib Pakistan within 30 days of the original decision, order, and findings.

Institution Address Phone Number

  • Banking Mohtasib Pakistan: Secretariat, 5th Floor, Shaheen Complex, M R Kiyani Road, Karachi. +9221-99217334
  • State Bank of Pakistan: Director Banking Conduct & Consumer Protection Department, State Bank of Pakistan, I.I. Chundrigar Road, Karachi. +92-21-111-727-273
  • Federal (Wafaqi Mohtasib) Ombudsman Secretariat: 36-Constitution Avenue, G-5/2, Islamabad,Pakistan. +92-51-920-0111

For more information, please visit the website of the relevant institution or contact them directly.