You open your mailbox and read the first email, which appears to be from your bank.
Immediate Action Required
Curious and concerned, you click on the email. The hyperlink redirects you to your bank’s online banking platform. Everything looks alright.
Two to three hours later you receive an email from your bank stating that $3,000 has been successfully e-transferred to someone you don’t even know. An unnerving feeling kicks in. You would never imagine falling victim to one of these things. So, what happened?
Scammers were able to create the facade of your bank’s online banking platform and hack into your bank account.
Anyone can become prey to a victim of scam, regardless of age, gender, or education. The above narration is a true story of Elisha, an Ontario university student who suffered the loss of $3,000.
Elisha’s bank made the following statement with regards to her case: “to avoid smishing and phishing scams it is advised for clients to avoid clicking on links from suspicious emails and text messages.” For example, when logging onto your online banking account, make sure that the URL is correct, and never share the one-time verification code.
That one-time verification code is an extra layer of security to confirm a transaction that you are completing. The bank sends a message by text or email explaining the purpose of your request and a 6-digit code for individuals to enter and confirm the transaction. You must get in the habit of being more suspicious because if you own any technological device in today’s time, the associated risk is the danger of being baited by the casting net of scams. Always read full messages carefully. Never log on to your bank account except by navigating to the bank website, not by clicking a link in an email, or text.
Online scams are on the rise and scammers continue to become smarter and more creative with ever-evolving technologies.
Canadian government, legislators, and policy makers have introduced laws to help combat scams. Banking relies heavily on a telecommunications framework, thus, improving this infrastructure prevents unauthorized access and fraudulent activities. These provisions extend to safeguard data and and transactions that take place within the baking system.
On June 14, 2022, to help strengthen Canada’s cyber security, Bill C-26 was introduced, An Act Respecting Cyber Security. The legislation is “proposed to protect Canadians and enhance cyber security across the financial, telecommunications, energy, and transportation sectors.” Currently, Bill C-26 has completed the third reading in the House of Commons on June 19th, 2024. The risk of banking scams is reduced by mitigating vulnerabilities that cybercriminals exploit.
Furthermore, the legislation extends to Critical Cyber Systems Protection Act—laying the foundations for helping organizations prepare, prevent, and respond to cyber incidents. According to lawmakers, the goal is to “secure critical infrastructure in collaboration with the federal government”, so bank organizations can better assist clients in combatting issues of scams.
Below are actions you can take to be prevent bank impersonation scams:
- Bank impersonator scams can take many forms, for example, receiving an SMS message directing an individual to the wrong website, or a phone call asking the individual to share their information.
- If you receive a call from someone claiming to be from your bank and suspicion kicks in, disconnect the phone call and contact a bank representative using a telephone number from your banks website.
- Look for the lock icon in your browser before entering any personal information on a website. The symbol of a closed lock, or a padlock indicate that the website you’re on is secure.
- Never share personal or financial information with people you don’t know; this includes credit card information, bank account details, codes, passwords, SIN, and PINs.
References
“An Act respecting cyber security, amending the Telecommunications Act and making consequential amendment to other Acts.” LEGISinfo, 27 March. 2023, https://www.parl.ca/legisinfo/en/bill/ 44-1/c-26 view=progress. Accessed 13 October 2023.
“Cyber Security Awareness Month 2023.” Government of Canada, 03 Oct. 2023, https://www.canada.ca/ en/communications-security/news/2023/09/cyber-security-awareness-month-2023.html. Accessed 13 October 2023.
Foran, Pat. “Ontario university student loses $3K after clicking fake CIBC link.” CTV News Toronto, 04 Oct. 2023, https://toronto.ctvnews.ca/ontario-university-student-loses-3k-after-clicking-fake-cibc- link-1.6587722. Accessed 13 October 2023.
“Government introduces new legislation to protect Canada’s cyber security.” Government of Canada, 14 June. 2022, https://www.canada.ca/en/public-safety-canada/news/2022/06/government- introduces-new-legislation-to-protect-canadas-cyber-security0.html. Accessed 13 October 2023.