Liability for hacking related to the PromptPay service will fall on consumers in cases in which mobile phones are infected with malware and viruses or if "jailbreaking" occurs, says a senior Bank of Thailand official.
"If carelessness is proved, then liability will fall on customers. Banks have a method to prove whether customers [are responsible for losses of e-money]," said Budsakorn Teerapunyachai, director of the risk management and information system examination department.
"Banks have a condition stating that customers should not jailbreak their mobile phones due to the risk of viruses, but if customers refuse to comply and [hackers] are able to steal their information and engage in [illicit] transactions, then banks are not responsible."
Browsing an online link sent from a friend via a chat app is another way for computer viruses and malware to infect a mobile phone, she said.
Financial institutions and the central bank's Financial Consumer Protection Centre (FCC) offer advice and guidance on consumer awareness regarding mobile phone usage, she said.
"Installing anti-virus programs, setting a password that is not easy to access, preventing jailbreaking or avoiding an app download that is not authentic are examples," Mrs Budsakorn said.
Ruchukorn Siriyodhin, assistant governor of the financial institutions policy group, said it has to be understood that linking a mobile phone number and a bank account does not mean that account could be hacked through a mobile phone because the purpose is for money transfers.
But if consumers engage in internet banking or other activities on their mobile phones and are hacked, then this is another case for consideration, she said.
In cases where money is hacked via a digital channel, banks generally have no obvious conditions to take responsibility for the fraud.
Banks, however, need to conduct investigation on a case-by-case basis. If it is proven that such fraud was the result of the banking system, that particular bank will have to shoulder responsibility.
If a consumer transfers e-money to a wrong bank account, then that person should notify the bank or the FCC right away, Mrs Ruchukorn said.
To date 9.7 million people have signed up for PromptPay pre-registration, which runs until tomorrow, she said. Around 8.1 million persons registered with ID cards, while the rest registered through mobile phone numbers, she said.
Most of the 15 commercial and four state-owned banks have opened pre-registration for PromptPay, a money transfer and payment service under the national e-payment scheme. Official registration begins on July 15.
Under PromptPay, people can easily and rapidly transfer money online to recipients who hold accounts at different banks, or even the same banks in cross-clearing zones, free of charge, but they are required to sign up to link their ID card or mobile phone number to accounts at participating banks.
In the meantime, Finance Minister Apisak Tantivorawong said those whose daily income is no more than 300 baht could be eligible to receive government welfare and subsidies to be paid through the national e-payment's electronic purse.
The Finance Ministry is setting the qualifications of low-income earners who are entitled to the state's welfare and subsidy scheme for the poor, he said.
With the electronic purse, holders can touch the cards on readers to get free rides or pay fares at a half price for public buses and trains. The electronic purse allows the poor who do not have bank accounts to receive government subsidies. Elderly people can receive the government's living allowance via the cards, he said.
Low-income earners who qualify for the government's welfare and subsidy schemes must sign up at a state-owned bank from July 15.
Fiscal Policy Office director-general Krisada Chinavicharana recently said about 20 million people who earn less than 100,000 baht a year are estimated to qualify for the welfare scheme. Would-be recipients must be Thai nationals and be aged at least 18.
Registration will help the government direct welfare and subsidies to those who are really in need instead of offering blanket welfare as it does now.
Mr Apisak said the national e-payment system will heat up competition among financial institutions as the higher the number of bank accounts linked with mobile phones or ID cards, the more competitive advantages they will have against their rivals.