New consumer banking regulation forthcoming in Canada

In this LinkedIn post by financial regulatory lawyer Ana Badour, she provides a link to a recent article she wrote with colleagues on proposed regulations specific to consumer targeted fraud. For example, the regulations will enable a client of a bank to set a threshold limit on how much money they can transfer at one time as a safety measure to protect them from being manipulated to send a large sum of money to what may turn out to be an illegitimate account or what is called a mule account. These mule accounts are created for the express purpose of collecting money for the proceeds of crime.

Please check out the article as it is worth the time to better understand changes are coming in Canada to help protect financial consumers from becoming victims of financial fraud.

As Badour says, these new requirements which the Financial Consumer Agency of Canada (FCAC) will have an important role to oversee “reflect a policy shift towards embedding fraud prevention and response more deeply into the design of banking products, channels and controls.”