The Hong Kong Monetary Authority (HKMA) has issued guidance for authorized institutions (AIs) to enhance anti-fraud measures for online payment card transactions, following a successful implementation of an anti-malware measure that has significantly reduced reported cases. New tactics employed by fraudsters necessitate stronger security, prompting the HKMA to collaborate with banks and police to encourage the use of bound devices for authenticating transactions instead of SMS One-Time Passwords (OTPs). AIs must review their authentication processes by December 31, 2024, while still allowing SMS OTPs for customers without mobile banking apps. The HKMA emphasizes the importance of public awareness and ongoing adaptation to emerging fraud schemes.
Resources: https://www.hkma.gov.hk/media/eng/doc/key-information/guidelines-and-circular/2024/20241010e2.pdf
