New '160' Prefix Tool Launched by DoT to Tackle Rising Financial Scams

The decision to prefix all banking and financial institution phone numbers with "160" is an initiative aimed at enhancing security and making it easier for customers to recognize legitimate communication from such entities.

A uniform prefix can help build trust between financial institutions and customers, as it provides a clear and simple way to ensure communications are legitimate. This move can significantly aid in reducing the effectiveness of fraudulent calls and scams, which often attempt to mimic these institutions.

With this the customers can immediately recognize that a call is from a verified banking or financial institution if it starts with "160", reducing the likelihood of falling for scams from numbers that do not bear this prefix.

This system simplifies the process for customers to verify whether the communication is official, making it easier to manage communications and verify authenticity.

Expert says, scammers may find ways to spoof these "160" numbers to make their calls appear legitimate. This remains a significant challenge in telecommunications fraud. Implementing such a system involves significant changes in telecommunications infrastructure and coordination with all banking and financial institutions.

Simply implementing the prefix is not enough. Extensive public education campaigns are necessary to inform everyone about the new system and its implications.

Telecom companies can implement advanced caller ID verification technologies that use STIR/SHAKEN protocols (Secure Telephone Identity Revisited / Signature-based Handling of Asserted information using toKENs). These protocols help verify caller ID information to combat caller ID spoofing effectively.

Financial institutions and telecom providers must continually monitor for fraudulent activities and update their security measures to counter new scamming techniques. Banks could enhance security by implementing additional verification processes for sensitive transactions, even if the call is from a "160" number.

Continuous education about potential scams, recognizing spoofed calls, and the importance of not sharing personal information over the phone unless absolutely sure of the caller’s identity.

Going forward, the initiative to prefix all banking and financial institution numbers with "160" is a positive step towards reducing phone-based scams and enhancing communication security.

However, it is not a fool proof solution, and both institutions and customers must remain vigilant. Continuous improvement in technological security measures and public awareness are essential to ensure that this initiative effectively deters scammers and protects consumers.