Internet banking is a popular and convenient method
of doing online banking transactions. We have no dedicated Internet
banking laws in India but the Reserve Bank of India (RBI)
has issued some guidelines in this regard. However, Internet
banking guidelines in India by RBI are not sufficient to
make the banks follow robust and required cyber security procedures.
This means that Internet
banking risks in India are high and even RBI
acknowledged risks of e-banking in India. Despite
this position, banks in India are ignoring
the cyber
security due diligence requirements prescribed by RBI. The
online
banking risks in India have increased tremendously due to
this position.
RBI has also released a report
of the RBI working group on securing card present transaction
in order to provide preventive
measures for ATM frauds in India. Sill Internet
banking frauds in India and ATM Frauds are increasing.
Banks in India are not serious about cyber security and they are not
following the recommendations
of RBI.
RBI has also insisted upon ensuring of cyber
security of banks in India. In fact, recently RBI
warned Indian banks for inadequate cyber security as well.
This is resulting in increased financial crimes and cyber crimes in
India. Mobile
banking cyber security in India is also at risk.
The legal issues of Internet banking in India must
be taken more seriously by all stakeholders especially the Indian
banks. However, better results cannot be achieved till cyber security
requirements made mandatory on the part of Indian banks.
.jpg)
