Circular SINAP 1-153: Measures to Mitigate, Prevent, and Manage Fraud in Transfer Operations

"Las Malvinas son argentinas"
"Las Malvinas son argentinas"

COMUNICACIÓN “A” 7463 24/02/2022

TO FINANCIAL ENTITIES,
TO ELECTRONIC COMPENSATION EXCHANGES,
TO ATM NETWORK OPERATING COMPANIES,
TO PAYMENT SERVICE PROVIDERS,
TO FINANCIAL MARKET INFRASTRUCTURES:

Ref.: Circular
SINAP 1-153:
Measures to mitigate, prevent and manage fraud in transfer operations

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We address you to inform you that this Institution has adopted the following resolution:

“1. Establish that the digital wallet service provider must enable technical means so that the customer, at the time of enrollment of their checking or payment account, provides consent in a simple and immediate manner to the financial entity or the PSPCP, as applicable.

2. Establish that financial entities and payment service providers that offer payment accounts (PSPCP) must:
   a. Enable technical means so that the customer holding the digital wallet service, at the time of enrollment of a checking or payment account, can provide their consent in a simple and immediate manner; b. Verify in the authorization of any payment instruction ordered by the customer through the digital wallet service that the consent provided as required in point a. is valid, maintaining the maximum accreditation period defined in the regulations on “National Payment System – transfers–”, and
   c. provide the ordering customer with the possibility to establish usage parameters for digital wallet services (for example: amount limits per period and number of transactions). Likewise, it must allow the visualization and modification of established parameters and the disconnection of their account from the digital wallet service in a simple and immediate manner, especially in case of suspected fraud by the customer.

3. Substitute point 2.6. of the regulations on “National Payment System – Transfers - complementary regulations” with the following:

“2.6. Fraud prevention and management

2.6.1. Each immediate transfer scheme must:
a. Have identified the responsibilities of each participant in the scheme and the relationship with other involved schemes for fraud management. Customer attention for fraud claims must fall on the provider of the affected account (financial entity or PSPCP). b. Support their fraud analysis with tools that allow identifying suspicious patterns. According to the assessed risk and based on the identified responsibilities, it must contemplate actions in coordination with the participants of the involved schemes (for example: alert the ordering customer and/or request confirmation through alternative channels before processing the transaction).
c. Establish procedures for claim resolution that allow for planned management, coordinated among the participants of the involved payment schemes, timely for the attention and response to claims for unauthorized, fraudulent, erroneous, or uncompleted payments, etc., made by customers. Likewise, maximum response times must be defined and published in all cases.

2.6.2. Every immediate transfer scheme must coordinate with its participants and with the remaining schemes:
a. The definition of the information necessary to be recorded by each participant in the scheme (or, if applicable, by the schemes) to have end-to-end operational traceability, which must be available for the fraud management process for customers or any of the participants. b. The adoption of measures to ensure the confidentiality and integrity of the information exchanged between participants from end to end (for example, credentials, the transaction, or everything necessary to process and complete a payment).
c. The exchange of complementary information for the prevention, detection, and mitigation of fraud, considering at least, information on suspicious behavior patterns, alerts, vulnerabilities, and detected threats.

2.6.3. The definitions, circuits, and procedures related to compliance with points 2.6.1 and 2.6.2 (text according to this resolution) must be formally documented and be available to the Superintendence of Financial and Currency Entities when requested.”

4. Establish as the deadline for these provisions to be implemented, 180 days from the dissemination of this resolution.”

Likewise, we inform you that we will subsequently send you the sheets that, in replacement of those previously provided, should be incorporated into the regulations on “National Payment System - Transfers - Complementary Regulations”

We greet you attentively.

BANCO CENTRAL DE LA REPÚBLICA ARGENTINA

Julio Cesar Pando
Subgerente General de Medios de Pago

María Daniela Bossio
Subgerenta General de Regulación Financiera

Julio Cesar Pando
Subgerente General de Medios de Pago