Banks plan to stop you purchasing from dodgy overseas sellers
As of today, Westpac has implemented new technology thatwill automatically block transactions to overseas retailers it deems as dodgy.
Westpac account holders will be notified of the intervention by Westpac via text message and the customer can call the bank if they believe the purchase is legitimate and wish to proceed.
The same system was tested in real-time last year with a large group of customers which resulted in 99 per cent of customers not proceeding with a purchase.
Westpac reports that they blocked 11,000 potential scams for 4000 customers, saving them more than $1.2 million.
Is this a step in the right direction for Westpac or is it an invasion on your right to purchase without providing an explanation to your bank?
2 comments
2 comments
Westpac have actually been doing something similar for a number of years. Around five years ago I arranged an overseas sim card for a forthcoming overseas trip. I tried to pay a small sum from my Westpac credit card to activate the sim but it was blocked. I was annoyed at the time but Westpac phoned me to explain that many scams start from small 'test' payments and if I was happy with the transaction it could proceed. I felt reassured that the bank was proactive in helping to prevent scams.