Brazil's Pix Payment System to Get Stricter in September
Brazil's central bank is implementing new security measures to combat fraud and improve the recovery of values in cases of suspicious transactions.
Brazil's Pix payment system is set to become more stringent in September, with new security measures aimed at combating fraud and improving the recovery of values in cases of suspicious transactions.
The measures, implemented by the Banco Central, focus on improving the Mechanism for Special Return (MED), a tool aimed at blocking resources in dispute. With the new rules, financial institutions will have access to the transaction's history and exact position within the movement chain at the time the infringement notification is opened.
This change aims to combat the strategy of criminals who repeatedly apply and transfer money quickly to various accounts, making it difficult to recover the values.
Artificial Intelligence to Measure Risk in Real-Time
In parallel to the MED updates, the Banco Central is working on creating an indicator of the probability of fraud. The risk assessment system (score) will use artificial intelligence and machine learning algorithms to calculate, instantly, the chance of an operation being irregular, assisting banks' anti-fraud platforms in interrupting suspicious transfers.
The availability of the score to banks will depend on ongoing technical and legal evaluations.
Restrictions on Risky Institutions and New Actions
In response to recent cyber incidents faced by the financial system, the regulator is studying the application of more stringent cautionary measures on institutions that show security vulnerabilities. Among the sanctions being evaluated are:
| Measure | Description |
|---|---|
| Temporary block of new key registrations | Block new key registrations for a temporary period |
| Limitation of transfer hours or values | Limit the hours or values for transfers |
| Temporary suspension of access to the Pix infrastructure | Suspend access to the Pix infrastructure for a temporary period |
Other fronts being developed by the regulatory body involve standardizing fraud alert messages sent to users, including payment initiators in the MED ecosystem, and a more direct role of the BC in blocking or excluding keys associated with illicit activities or with data discrepancies with the Federal Revenue.
The use of low-value transfers (such as R$ 0.01) for messages or account testing is also being studied by a working group of the Pix Forum, with the aim of preventing abuses without affecting the system's efficiency.
The new measures aim to strengthen the traceability of money even after it leaves the originating account, making it easier to recover values in cases of fraud, scams, and operational failures.
Source: Jornal Contabil