Major retail banks in Singapore will implement enhanced fraud surveillance on all digital transactions from October 15 to further protect customers from scams.

When banks detect that an account is being quickly emptied of its funds due to a potential scam, some transactions may be held for a 24-hour cooling period before being released, or rejected immediately, according to The Association of Banks in Singapore ( ABS ).

Customers of “domestic systemically important banks” – DBS, OCBC, UOB, Citibank, HSBC, Maybank, and Standard Chartered – may experience delays in digital payments and transfers, including for legitimate transactions, as banks step up their checks to protect customers.

The ABS advises customers to plan time-sensitive banking transactions ( e.g., for share purchases ) in advance to avoid incurring fees and charges due to any delay.

The enhanced surveillance system will complement banks’ existing anti-fraud measures, including the fraud surveillance duty earlier implemented as part of the Guidelines on the Shared Responsibility Framework ( SRF ) for phishing scams.

Apart from situations where an account is quickly emptied due to a potential scam, banks have other fraud detection parameters and may hold or reject transactions based on other risk factors, the ABS says.

Thresholds set

Current and savings accounts, including joint accounts, with balances of at least S$50,000 ( US$39,000 ) will be protected by the enhanced safeguard.

The safeguard will kick in if a material threshold is hit – that is, when a transaction, together with withdrawals over the past 24 hours, results in more than 50% of an account’s balance to be transferred out. The transaction that triggers this threshold, and all subsequent transactions out of the account, will either be held for 24 hours or rejected.

The safeguard will apply to all digital banking transactions done through bank apps and internet banking. Non-digital banking transactions, including cash withdrawals at bank branches and ATMs, will not be affected.

24-hour cooling period

 When transactions are held or rejected, customers will be informed immediately on their mobile banking app or internet banking platform, with instructions on the next steps to take.

There will be a 24-hour cooling period, which serves as a cognitive break for scam victims who initiated and authorized the transactions. It provides time for victims to cancel the transaction should they subsequently realize that they have been scammed.

Banks will advise their customers on how to cancel transactions, including through mobile or internet banking or contact centre. Upon cancellation, the transaction will not be processed, and funds will remain in the victim’s account.

Customers need not take any action if the transactions are legitimate. Funds will be automatically released after the cooling period.

Options for customers

In exceptional circumstances where customers urgently need transactions to be processed during the 24-hour cooling period, they will need to verify their transactions with the bank. This can be done at their bank’s branches, ATMs, or by calling the contact centre, depending on the options offered by their bank.

Banks will advise their customers about their respective options.

When a legitimate transaction is rejected, customers can re-initiate the transaction if the transaction is subsequently verified with the bank. As banks adopt different ways to engage customers to verify the legitimacy of transactions, they will be advising their customers accordingly.

To minimize disruptions to legitimate transactions, some digital banking transactions will be exempted from the safeguards, including recurring standing instructions, recurring GIRO/eGIRO ( general interbank recurring order ) payments, and bill payments to organizations classified as billing organizations by the bank. These transactions will not be held for 24 hours, or rejected, even if the material threshold is hit.

Further measures planned

Scams remain a concern even as scam cases in Singapore declined by 26% year-on-year in the first half 2025, with the amount lost to scams also falling 12.6%.

The banking industry will continue, together with the Monetary Authority of Singapore and law enforcement, to review, implement, and strengthen measures to protect customers from scams, ABS says.

This sustained and ongoing effort has yielded results: security measures by the major retail banks have collectively averted scam losses of S$78 million in the first seven months of the year.

In addition to the enhanced fraud surveillance that will be implemented this month, major retail banks will roll out further measures in the coming months.

One new initiative is that banks will send in-app push notifications for acknowledgement to customers who are digital token users when making outbound calls to them. This provides assurance to customers that bank calls that they receive are indeed from their banks.

Public vigilance urged

While the safeguards being introduced will step up protection of consumers, the fight against scams ultimately depends on a vigilant and discerning public, ABS notes.

"Banks are committed to putting in place robust safeguards to protect customers. They have been consistently investing in and implementing various anti-scam measures, such as fraud surveillance, cognitive breaks, and Money Lock, says ABS director Ong-Ang Ai Boon.

“However, scams remain a scourge on society and the methods adopted by scammers continue to grow in sophistication. The measures announced today will help to protect phishing scam victims and stop fraudulent withdrawals before it is too late. This societal safeguard may result in some friction, and we seek customers' patience and understanding.

“In the fight against scams, customer vigilance remains paramount – never share personal or account credentials, be wary of suspicious links in SMSes and emails, and verify their banks’ contact details before getting in touch with their bank.”