1 00:00:00,040 --> 00:00:02,600 Speaker 1: Banks will be required to reimburse fraud victims up to 2 00:00:02,600 --> 00:00:05,080 Speaker 1: half a million dollars under the new scam protections. The 3 00:00:05,120 --> 00:00:07,880 Speaker 1: suite of measures also includes providing a twenty four to 4 00:00:07,880 --> 00:00:11,119 Speaker 1: seven scam reporting channel and banks during information on scammers 5 00:00:11,119 --> 00:00:14,320 Speaker 1: with each other to help prevent criminal activity. The changes 6 00:00:14,360 --> 00:00:16,319 Speaker 1: will be delivered through an update to the Code of 7 00:00:16,320 --> 00:00:20,160 Speaker 1: Banking Practice. Minister of Commerce and Consumer Affairs Scott Simpson 8 00:00:20,239 --> 00:00:22,720 Speaker 1: joins me. Now, thanks for your time, Scott, good morning. 9 00:00:23,239 --> 00:00:24,239 Speaker 2: Good morning Francesco. 10 00:00:24,640 --> 00:00:27,240 Speaker 1: Okay, how involved were you in creating these protections. 11 00:00:28,400 --> 00:00:32,480 Speaker 2: Well, our government's been urging banks take a greater responsibility 12 00:00:32,560 --> 00:00:36,200 Speaker 2: for protecting their customers for some time. So I'm the 13 00:00:36,320 --> 00:00:41,480 Speaker 2: government's lead on anti scams as Minister, and it's work 14 00:00:41,560 --> 00:00:43,920 Speaker 2: that I and my predecessor have been doing now for 15 00:00:44,240 --> 00:00:46,200 Speaker 2: well since this government came to office. 16 00:00:46,400 --> 00:00:49,320 Speaker 1: Who is eligible for compensation if a bank fails to 17 00:00:49,360 --> 00:00:51,440 Speaker 1: meet these new protection commitments. 18 00:00:52,560 --> 00:00:56,279 Speaker 2: Well, bank customers that meet certain criteria. And this is 19 00:00:56,400 --> 00:00:59,960 Speaker 2: not a regime that it's going to mean that everybody 20 00:01:00,000 --> 00:01:03,040 Speaker 2: body is covered, but it will mean, for instance, that 21 00:01:03,200 --> 00:01:08,120 Speaker 2: if you take responsibility for your online transactions, your banking 22 00:01:08,160 --> 00:01:12,959 Speaker 2: transactions in a way that is careful, prudent and responsible. 23 00:01:13,360 --> 00:01:16,039 Speaker 2: The banks will cover you if they have let you 24 00:01:16,160 --> 00:01:19,039 Speaker 2: down as their banking provider if you've been scammed. 25 00:01:19,600 --> 00:01:23,280 Speaker 1: How effective has the confirmation of paye system been already 26 00:01:23,319 --> 00:01:25,520 Speaker 1: because that the rollout of that's already been completed. And 27 00:01:25,520 --> 00:01:27,959 Speaker 1: I was just making the comment there that you know, 28 00:01:28,280 --> 00:01:31,360 Speaker 1: it's not working at the moment because businesses aren't aware 29 00:01:31,360 --> 00:01:33,760 Speaker 1: that they need to give the account owner's name and 30 00:01:33,800 --> 00:01:35,440 Speaker 1: then a nickname. So every time I do it, it 31 00:01:35,440 --> 00:01:36,520 Speaker 1: doesn't match up. Scott. 32 00:01:37,640 --> 00:01:41,320 Speaker 2: Ironically, Francesca, every time you use it, it gets better 33 00:01:41,720 --> 00:01:44,880 Speaker 2: because it's exactly those sorts of things. So over a 34 00:01:44,920 --> 00:01:48,800 Speaker 2: period of time, for instance, if someone wants to send 35 00:01:48,840 --> 00:01:52,760 Speaker 2: me some money as Scott Simpson, or maybe my bank 36 00:01:52,760 --> 00:01:56,120 Speaker 2: account is s Simpson, that isn't a complete match. But 37 00:01:56,400 --> 00:01:59,200 Speaker 2: over time the banks get better at it. Now not 38 00:01:59,280 --> 00:02:02,160 Speaker 2: every bank is speed with it completely yet that's part 39 00:02:02,200 --> 00:02:04,960 Speaker 2: of the reason why these new initiatives don't come fully 40 00:02:05,000 --> 00:02:08,360 Speaker 2: into effect until the end of November. It's in order 41 00:02:08,440 --> 00:02:11,400 Speaker 2: to allow banks time to get the processes and the 42 00:02:11,440 --> 00:02:14,480 Speaker 2: technology in place to have it up and running completely. 43 00:02:14,680 --> 00:02:17,000 Speaker 1: And to be fair, Scott, that's a user issue, not 44 00:02:17,080 --> 00:02:19,720 Speaker 1: necessarily the system issue. It's just us getting used to it, 45 00:02:19,760 --> 00:02:22,720 Speaker 1: isn't it. You know? Yeah, yeah, absolutely, Look having a 46 00:02:22,760 --> 00:02:25,120 Speaker 1: look at the list of these measures, I mean, banks 47 00:02:25,160 --> 00:02:28,079 Speaker 1: are already doing some of these things, aren't they. They're 48 00:02:28,200 --> 00:02:30,799 Speaker 1: already sort of you know, shutting down if they see 49 00:02:30,800 --> 00:02:35,240 Speaker 1: a dodgy looking transaction and things. So putting these measures 50 00:02:35,280 --> 00:02:38,760 Speaker 1: officially in place, is it actually more about allowing customers 51 00:02:38,760 --> 00:02:40,520 Speaker 1: to hold banks to account. 52 00:02:42,200 --> 00:02:46,120 Speaker 2: Yes, it will hold banks to account. But remember, in 53 00:02:46,200 --> 00:02:50,919 Speaker 2: the scam ecosystem, banks aren't the only player. There are 54 00:02:51,200 --> 00:02:55,799 Speaker 2: digital platform form providers who are the providers that allow 55 00:02:55,880 --> 00:02:59,600 Speaker 2: the scam sometimes to work. There are the telco companies 56 00:02:59,639 --> 00:03:04,240 Speaker 2: that allows messages to be sent over their networks. So 57 00:03:04,639 --> 00:03:08,800 Speaker 2: I want the other players in the scam ecosystem to 58 00:03:08,919 --> 00:03:11,280 Speaker 2: step up in the same way that banks have done. 59 00:03:11,960 --> 00:03:13,959 Speaker 2: Thet a role to play as well, and I'm hoping 60 00:03:13,960 --> 00:03:17,359 Speaker 2: that we can get a similar set of protocols from 61 00:03:17,400 --> 00:03:20,680 Speaker 2: the talco companies in the digital platform providers as well. 62 00:03:20,880 --> 00:03:22,560 Speaker 1: So you're happy with what the banks have come up 63 00:03:22,600 --> 00:03:25,040 Speaker 1: with here or would you like them to continue sort 64 00:03:25,080 --> 00:03:26,680 Speaker 1: of moving forward in the space. 65 00:03:27,760 --> 00:03:32,079 Speaker 2: Well, this isn't a silver bullet. Scams are very prevalent 66 00:03:32,720 --> 00:03:36,280 Speaker 2: scammers are very clever, they're very persistent, they're very energetic. 67 00:03:36,320 --> 00:03:39,160 Speaker 2: So this isn't going to stop all scams, but it 68 00:03:39,240 --> 00:03:41,840 Speaker 2: is a very big step forward. I'm delighted that the 69 00:03:41,840 --> 00:03:44,960 Speaker 2: banks have taken this initiative in conjunction government. It's a 70 00:03:45,120 --> 00:03:47,600 Speaker 2: very good step. I want others to do the same 71 00:03:47,640 --> 00:03:49,920 Speaker 2: sort of thing, but it just means that people still 72 00:03:49,960 --> 00:03:51,760 Speaker 2: have to be careful, they still have to be prudent, 73 00:03:51,880 --> 00:03:54,120 Speaker 2: and they still have to be alert and aware of 74 00:03:54,160 --> 00:03:57,200 Speaker 2: what they're doing in terms of their banking transactions and 75 00:03:57,240 --> 00:04:00,720 Speaker 2: their digital interactions and the interactions they with the telco 76 00:04:00,800 --> 00:04:01,560 Speaker 2: companies as well. 77 00:04:01,760 --> 00:04:03,560 Speaker 1: Scott, thanks so much for your time this morning. That 78 00:04:03,600 --> 00:04:07,200 Speaker 1: was the Minister of Commerce and Consumer Affairs. For more 79 00:04:07,240 --> 00:04:10,360 Speaker 1: from Early Edition with Ryan Bridge, Listen live to news 80 00:04:10,400 --> 00:04:13,440 Speaker 1: Talks it'd be from five am weekdays, or follow the 81 00:04:13,480 --> 00:04:14,920 Speaker 1: podcast on iHeartRadio.