The Bank of Russia dismissed calls from anti fraud experts to require extra verification for transfers over 10,000 rubles. A Central Bank representative noted that the regulator had already set rules requiring ID checks, SMS passwords, and PIN codes for transfers.
Because social engineering remains a primary tactic for attackers, citizens can confirm transfers even when misled, even with verification mechanisms in place, said a representative of the Central Bank of Russia.
In response, the regulator proposed considering a path to return funds to citizens when fraudsters use social engineering. A draft law was prepared with regulator participation to explore this option.
The plan includes a two day waiting period during which the sender could cancel a transfer suspected of being a scam. This would apply to transfers to the recipient’s account that are flagged as scams.
At a meeting of the expert council for the protection of financial services consumers at the National Bank, experts suggested freezing transfers that exceed 10,000 rubles, using interim and dynamic escrow accounts according to Izvestia reports.
Proponents argued the measure would shield customers from taking on loans unknowingly. Freezing the account would require a PIN or an additional ID check.
Most council members backed a transfer limit, but Alexei Voylukov, vice president of the Banks Association of Russia, warned that the move could create extra difficulties for both banks and customers since the limit is currently 10,000 rubles. Some experts suggested the rule would work best in online environments with trusted parties involved.
Currently, Russians using online banking or mobile apps must enter a one time code, four or six digits, during transfers. Scammers aim to obtain this code through social engineering as the process unfolds.
“This is not even an attempt”
The National Bank does not back a mechanism to freeze citizens transfers over 10,000 rubles as a fraud countermeasure, according to regulator spokesperson Danis Yumabaev speaking with socialbites. News reports at the time highlighted a range of statements from Central Bank Financial Services Consumer Protection Board members, who discussed various ideas in meetings. Yumabaev stressed that blocking transfers of 10,000 rubles or more is not supported and called the idea misguided and awkward.
Yumabaev added that a freeze on a 10,000 ruble transfer could not be considered a real initiative. He noted that experts convened to discuss anti fraud issues were simply sharing ideas. Parallel to this, the Central Bank has its own measures, some moving forward through first readings and others awaiting approval. This context came through reports and statements from the regulator, as well as coverage by Izvestia and other outlets.