Fraud targeting bank customers in Kuwait is on the rise: callers impersonating bank staff or government bodies, fake messages and links that harvest card details, and online purchases the account holder never authorized. When money leaves your account, time becomes the single most important factor in getting it back. This article explains, in general terms, the common scams, the urgent steps to take, the criminal and civil dimensions, and how responsibility may be shared between the bank and the customer.
Common Fraud Patterns
- Phishing calls: someone claiming to be from the bank or an official authority asks you to update your details and then requests your one-time password (OTP).
- Fake messages and links: SMS or messaging-app links to pages that imitate the bank, government payment portals, or delivery companies.
- Card cloning: skimming devices fitted to ATMs or payment terminals to copy card data and PINs.
- Unauthorized online transactions: stolen card details used on shopping sites in Kuwait or abroad.
- Social engineering: persuading victims to transfer money themselves, through fake investments or false emergencies.
What to Do in the First Hours
- Call your bank immediately on the official number printed on your card and ask it to block the card, freeze the account, and suspend online services.
- Dispute the transactions in writing through the bank's official channels, listing each unauthorized transaction, and keep the reference number.
- Preserve evidence: screenshots of messages and links, call logs, statements, transaction alerts, and a precise timeline.
- File a report with the Ministry of Interior's cybercrime unit or the competent police station, and keep proof of filing.
- Change your passwords and ignore any follow-up contact offering to recover your money in exchange for details or fees.
The Criminal Dimension
Law No. 63 of 2015 on Combating Information Technology Crimes addresses offences committed through information networks, including unlawful access to systems and accounts and the fraudulent taking of card data and funds. The fraud and theft provisions of the Penal Code may also apply depending on the facts. Penalties vary with the legal characterization of the case, so a precise, well-documented complaint matters, while the victim retains the right to pursue civil claims.
The Civil Relationship: When Is the Bank Liable?
The account and card agreements create mutual obligations. In principle, the bank must exercise professional care in protecting funds and data, maintain adequate security systems, monitor unusual activity, and act promptly once the customer reports a problem. The customer, in turn, must keep PINs, OTPs, and login credentials confidential and notify the bank without delay.
Liability is usually assessed case by case. A security failure, a failure to flag clearly abnormal transactions, or a delay in blocking the card after notice strengthens the case against the bank. If the customer personally disclosed an OTP or PIN, that may count as customer fault and affect the scope of recovery, but it does not automatically clear the bank if it was also at fault. There is no fixed refund percentage; outcomes depend on the evidence, the contract terms, and the regulatory instructions in force.
Complaints, Chargebacks, and Recovery
- Bank complaint: start with a formal dispute through the bank's complaints unit and request a written response.
- Central Bank of Kuwait: if unresolved, a complaint may be lodged with the Central Bank's customer protection function under its current procedures; confirm the requirements directly.
- Chargebacks: for card transactions, the issuing bank can raise a dispute through networks such as Visa or Mastercard, which impose their own time limits, so report early.
- Tracing transferred funds: where money went to local accounts, the police report and the Public Prosecution can be used to request tracing and freezing of recipient accounts before the funds are withdrawn.
- Suing for compensation: where the bank was at fault, a civil claim may be filed. Useful evidence includes statements, proof of when you reported, bank correspondence, the criminal report, and anything showing the transactions departed from your normal account pattern.
Prevention Checklist and Guidance for Businesses
- Your bank will never ask for your OTP or PIN by phone or message.
- Use the official app or type the bank's address yourself instead of clicking links.
- Enable transaction alerts and set sensible online spending limits.
- Cover the keypad and inspect ATMs before use.
- Businesses: require dual authorization for transfers, verify any supplier bank-detail change by phone, train staff on phishing, and keep a clear incident-response plan.
Conclusion
Bank fraud does not necessarily mean the money is lost for good. Acting quickly, disputing in writing, preserving evidence, and reporting officially open several paths to recovery. Whether the bank is liable depends on the facts of each case. This article is general information, not legal advice.
If you have been a victim of bank fraud or your dispute was rejected, Yumnaak Law Firm can review your case and advise you on the most effective criminal and civil steps to protect your rights and recover your funds.
