This regulation is part of Circular 17/2024/TT-NHNN issued on June 28, 2024, which also stipulates the management and use of payment accounts within payment service providers, effective from July 1, 2024.

According to Article 22 of the circular, both domestic banks and foreign bank branches in Vietnam must furnish details concerning customer payment accounts as directed by the State Bank of Vietnam's guidelines on state management functions. These reports, due by the 10th of each month, are to be submitted electronically following the State Bank's technical connectivity guidelines.

The list of suspected fraudulent personal accounts to be updated by banks includes extensive details such as the customer's unique identification number (CIF), identification document number, type of ID, full name, date of birth, gender, nationality, account number, account opening date, registered phone number for electronic banking services, suspicion reason, account status, and the unique identifier of the device used (MAC address).

This initiative aims to thoroughly prevent the occurrence of scams through bank accounts and clean up customer data, thereby enhancing the integrity of banking operations in Vietnam.

As of late June, the Military Commercial Joint Stock Bank (MB) has been a pioneer in deploying features that alert users when transferring money to phone numbers on the 'blacklist'.

According to Vu Thanh Trung, Deputy Chairman of MB's Board of Directors, the bank has issued alerts to 2,700 customers about potential fraudulent transactions as of July 2024, with 1,500 of them halting their transactions immediately.

"This feature is especially useful in today's fast-evolving IT landscape, where fraud techniques are increasingly sophisticated," Vu stated. "It allows our customers to preemptively stop suspicious transactions, ensuring the safety of their accounts and financial assets."

The fraud detection and alert feature is a result of collaboration between MB and the Department of Cybersecurity and High-Tech Crime Prevention (A05) under the Ministry of Public Security. They maintain a comprehensive list of accounts involved in or linked to fraudulent activities nationwide, which is continuously updated.

This measure is part of a broader government initiative, Project 06, which aims to develop applications for population data, identification, and electronic authentication to support the country's digital transformation from 2022 to 2025 with a vision extending to 2030.

Tuan Nguyen