In the first two weeks of the year, at least 219 DBS customers fell victim to scams, losing roughly S$446,000 (US$335,000) in total.
According to a joint news release from the police and DBS on Sunday, January 14, there has been a noticeable increase in instances of SMS phishing scams since December of last year, in which con artists would pose as banks or bank employees.
A troubling rise in online fraud has seen 219 clients of DBS, a well-known bank in Singapore, become victims of con artists, losing S$446,000 in just two weeks. The concerning increase in online fraud emphasizes the necessity of strict preventive measures and increased awareness as con artists use unsolicited SMSs to take advantage of gullible people.
Unwanted SMS messages with shortcodes, international numbers, or local numbers are sent to victims. The phoney messages scare recipients by threatening “possible unauthorized attempts” to access their bank accounts. They are embellished with claims to represent DBS or POSB bank. The victims are encouraged to click on embedded links in the hopes of preventing unauthorized transactions and confirming their identities, ostensibly to foil these attempts.
The victims are taken down a digital rabbit hole by these seemingly harmless actions, without their knowledge. Clicking on the embedded links directs individuals to meticulously crafted fake DBS websites, where they are coerced into providing sensitive information, including Internet banking details and One-Time Passwords (OTPs). Equipped with this fraudulent data, con artists go on to make illicit withdrawals, plunging victims into debt.
A DBS representative responded to inquiries from Channel News Asia (CNA) by saying that the bank is dedicated to evaluating victims’ situations and making goodwill payments on an individual basis. In addition to paying damages, DBS is helping victims who require emotional support by providing counselling services. The spokesperson emphasizes that, as part of their commitment to protecting consumers, they have a strong anti-scam awareness program that includes phishing scam education.
It is stressed that clickable links are never sent via SMS by banks, including DBS. Large banks have put security measures in place, like taking out clickable links from emails or SMS messages that they send to their retail clients. These actions, which have been in place since the beginning of 2022, are part of a larger plan to stop the spread of phishing scams. Other measures in the strategy include lowering fund transfer notification default thresholds and raising the frequency of scam education alerts.
Installing the ScamShield App is something that the police and DBS recommend people do as a preventative measure against scam calls and texts. They also support setting up transaction limits to prevent unwanted access and turning on two-factor authentication for bank accounts and e-wallets.
DBS staff members will never ask for OTPs or internet banking credentials, which is an important reminder to clients to exercise caution. If someone thinks they have been duped, they should call the DBS fraud hotline or use the automated phone system to activate the Safety Switch, which will temporarily stop access to their funds.
Working together with government agencies such as the Cyber Security Agency of Singapore, Infocomm Media Development Authority, and police, DBS is still dedicated to producing educational anti-scam content. To keep consumers informed and on guard, the bank updates its website frequently with information on the newest scam trends, advisories, and other details.
Apart from these measures, DBS has been proactive in collaborating with different government agencies to produce all-encompassing anti-fraud content. To combat the changing strategies used by scammers, involves working with the police, Infocomm Media Development Authority, and the Cyber Security Agency of Singapore.
The recent increase in SMS scams highlights the larger landscape of digital threats that both individuals and financial institutions must navigate, in addition to the immediate difficulties faced by DBS customers. Previously the purview of IT departments, cybersecurity is now a shared responsibility that calls for cooperation in the face of constantly changing cyber threats.
The path ahead necessitates a dedication to creating a robust digital ecosystem as financial institutions and individuals navigate the constantly changing digital landscape. This calls for ongoing training, strong technological safeguards, and an international team effort that cuts across organizational boundaries.
The recent spike in SMS scams directed at DBS clients is not an isolated incident; rather, it is a reflection of the larger problems that the digital age presents with cyber threats. It’s a harsh reminder that as technology develops, so too must our ability to prepare as a society.