Sterling Bank Advises Cardholders Against Fraudsters

Sterling Bank Plc has advised organizations in the country as well as individuals to protect information about their financial transactions, particularly their cards to avoid falling prey to fraudsters.

The advice came on the backdrop of increasing Automated Teller Machine-related frauds within and outside the shores of the country, leading to financial losses for banks’ customers.

Shina Atilola, bank’s group head, Strategy and Communications, said the bank expressed regret that fraudsters had taken advantage of the cashlite policy introduced by the Central Bank of Nigeria (CBN) and other countries to hack into electronic payment systems globally.

He explained that although the card payment system in Nigeria was based on the “Chip and PIN” technology, which is adequately protected, some other countries have not fully adopted this technology.

“What is used in some countries is the magnetic strip technology, which makes it easy for fraudsters to clone customers’ cards and fraudulently make use of their card information.

“Also, some people do not exercise sufficient caution in the manner they handle their debit and credit cards as they either expose it to unauthorized persons or give it out to other people to make withdrawals or transactions on their behalf”, he explained.

According to him, when card information has been compromised, the cardholder becomes vulnerable to fraudulent activities.

His words: “In countries where the Chip and PIN technology has not been fully adopted, such as the United States and China, card information such as the card number on the face of the card and the Card Verification Value (CVV)- the set of numbers at the back of the card, can be used to perpetrate fraud even without the customer’s PIN.

“Therefore, it is not just about keeping the PIN secure, the card number and the CVV should also be protected,” he said

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