Shinhan Bank to Implement Financial Sector's First Open Banking Fraud Prevention Measures Starting Next Month

[Asia Economy Reporter Yu Je-hoon] Shinhan Bank announced on the 25th that starting from the 1st of next month, it will implement the financial sector's first "Open Banking Fraud Prevention Measures" to prevent voice phishing damage among digitally vulnerable groups.

Recently, voice phishing cases often involved inducing victims to install malicious applications on their mobile phones and then easily embezzling funds from other financial institutions using open banking services.

In response, Shinhan Bank decided on the following measures: ▲ a 12-hour transfer restriction for open banking ▲ implementation of the Open Banking Guardian service. The former restricts transfers via open banking for 12 hours to Shinhan Bank accounts first registered as withdrawal accounts from other financial institutions' open banking for customers aged 50 and above, preventing phishing criminals from hacking mobile phones, registering open banking, and embezzling funds.

The latter can be applied for at branches, allowing the customer to restrict registration for Shinhan Bank and other financial institutions' open banking services altogether, thereby preemptively blocking open banking-related crimes targeting digitally vulnerable groups such as the elderly who do not use these services.

A Shinhan Bank official stated, "While open banking services provide customers with convenient financial life, if exposed to voice phishing crimes, the damage can be amplified. Therefore, with the priority of protecting the assets of digitally vulnerable groups, we have introduced these measures as the first in the financial sector."