No compensation in case of breach of duty of care

In its annual media conference on 29 June 2022 the Swiss Banking Ombudsman pointed out that in 2021 there was once again a sharp increase in complaints regarding fraud. This includes fraudulent payment requests, grandparent scams, but also phishing emails, unlawful withdrawals with cards or manipulated ATMs. In many cases, bank customers do not comply with the duty of care.

04.07.2022 – As a rule, anyone hoping to receive compensation in the event of fraud must be able to prove that they have met their duty of care. Cardholders are also often unaware of what constitutes a breach of duty of care when it comes to card fraud.

Typical breaches of duty of care in card fraud are (not exhaustive):

• Sharing your PIN with others (friends, family, police officers, bank advisor, helpful person etc.).
• Not covering your PIN when entering it.
• Keeping your PIN written down together with your card.
• Confirming a payment that you did not make yourself.
• Passing on a confirmation code.
• Disclosing personal details (name, address, bank, card number, card security code, card expiry date etc.).
• Not freezing your card immediately if it is lost or stolen.

So be attentive when using your debit and credit cards and follow the most important precautions at the ATM, at the payment terminal and on the Internet. Generally, debit and credit cards are a very safe means of payment if you meet your duty of care.