910
18 days ago
Data Breach On YES Bank-BookMyForex Cards Led To ₹7.63 Cr Loss
Summary
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Stay ahead with the latest news, funding, startup financials, & governments policies on the hottest tech industries in the Indian startup ecosystem.
Get featured, partner or work with India's #1 startup media & intelligence platform and explore what else Inc42 has to offer.
D2CX by Inc42 is a 12-week hands-on program to help you level up your D2C game. Learn from India's top 1% D2C founders and experts through actionable insights, proven strategies and tactics on how to 10X your D2C brand.
ManagementX by Inc42 – India’s first Startup Management Program is a 6-month hands-on program that will take you on an intense journey that shatters the outdated “employee mindset” and equips you with the “leader mindset”.
D2CX Foundations by Inc42 is a 6 week hands-on program to help you launch your D2C brand successfully and profitably. Learn from India’s top 1% of D2C founders & experts through actionable insights, proven strategies and tactics on how to launch a successful D2C Brand in 6 weeks.
Multiple users of a cobranded forex card issued by Yes Bank and BookMyForex have alleged unauthorised transactions on their multi-currency cards
Many of these transactions had originated from Brazil and were being attempted on cards that had been inactive for years, raising red flags
BookMyForex has denied any data breach on its end, claiming that customer funds are safe and affected cards were blocked by the bank
Update | February 25, 21:30 IST
YES Bank has claimed that fraudulent transactions worth $840K (₹7.63 Cr) were approved on behalf of 5,000 customers between 03:30 IST and 08:30 IST on Tuesday. In a statement, the bank added that 688 unauthorised transaction attempts were declined, safeguarding customer funds approximately $100K (around ₹9 Cr).
“The bank is working with Card Network to raise chargeback to ensure that the impacted customers do not face any financial loss,” YES Bank said in a statement.
As per the bank, unauthorised transactions were attempted on specific bank identification numbers (BIN) only, originating from a Latin American country that doesn’t mandate two-factor authentication for ecommerce transactions, presumably Brazil.
“As a security measure, the bank has subsequently restricted ecommerce transactions from the specific Latin American Country,” it added.
Original | February 25, 16:00 IST
Multiple users of forex cards issued by YES Bank in partnership with MakeMyTrip-owned startup BookMyForex alleged that their multi-currency cards saw unauthorised transactions. Many of these attempts failed due to insufficient balance on the cards, but some users alleged that they lost funds.
“My #bookmyforex card was used by someone in BRL for this grocery shop MIX MATEUS BAYEUX BR for around $350 USD with multiple transactions #yesbank. Some of the transactions failed but some succeeded, and I lost $350 USD,” a user said on X.
Fearing a data breach, YES Bank has begun blocking cards in specific cohorts that may have been affected by the fraudulent transactions, sources told Inc42, adding that the financial impact was contained as the bank started denying suspicious transaction requests and will issue chargebacks to customers whose balances were depleted.
The breach appears to have started yesterday, when multiple users took to social media to report that unauthorised transactions were being made on their forex cards. Many of these transactions originated from Brazil, specifically at a grocery store in the country, and were being attempted on cards that had been inactive for years, raising red flags.
Some users also alleged that they were unable to log in to the platform to block the cards themselves.
“Fraudulent transactions are happening in my card in Brazil. Book my Forex application is inaccessible as it is glitching severely. Helplines aren’t up yet. I’m just sitting here – watching the hacker do their magic. Fun,” a user said.
While most of such fraudulent transactions were denied, many users alleged that funds were deducted from their cards before they could be blocked.
Forex cards are pre-loaded with cash for easier access to multiple currencies during international travel without the need to pay conversion fees. Notably, many of the transactions on these cards couldn’t go through because of insufficient funds.
In a statement, BookMyForex said that no data breach took place on its end. “There has been no data breach involving BookMyForex systems or customer data. YES Bank observed unusual volumes of false transaction attempts on YES BANK – BookMyForex multi-currency prepaid forex cards which resulted in a high number of declined transactions. These transactions, when analysed, were found to originate from a specific country. The Bank has blocked transactions from this specific country which was identified as the source of all these attempts,” a spokesperson of BookMyForex said.
“As a precautionary measure, cards involved in these attempted transactions were also proactively blocked,” the spokesperson said, adding that customer’s funds are safe and “complimentary replacement cards” are being issued to affected customers.
YES Bank was unavailable for comment at the time of publishing.
Founded in 2012 as a foreign currency exchange service provider, BookMyForex enables its customers to buy or sell foreign currencies in cash, load forex cards, and process cross-border payments from India to anywhere in the world.
MakeMyTrip’s fintech arm Trip Money acquired a majority stake in the startup in 2022 to offer its product suite to its customers.
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ManagementX by Inc42 – India’s first Startup Management Program is a 6-month hands-on program that will take you on an intense journey that shatters the outdated “employee mindset” and equips you with the “leader mindset”.
D2CX Foundations by Inc42 is a 6 week hands-on program to help you launch your D2C brand successfully and profitably. Learn from India’s top 1% of D2C founders & experts through actionable insights, proven strategies and tactics on how to launch a successful D2C Brand in 6 weeks.
Stay ahead with the latest news, funding, startup financials, & governments policies on the hottest tech industries in the Indian startup ecosystem.
Get featured, partner or work with India's #1 startup media & intelligence platform and explore what else Inc42 has to offer.
Stay ahead with the latest news, funding, startup financials, & governments policies on the hottest tech industries in the Indian startup ecosystem.
Get featured, partner or work with India's #1 startup media & intelligence platform and explore what else Inc42 has to offer.
D2CX by Inc42 is a 12-week hands-on program to help you level up your D2C game. Learn from India's top 1% D2C founders and experts through actionable insights, proven strategies and tactics on how to 10X your D2C brand.
ManagementX by Inc42 – India’s first Startup Management Program is a 6-month hands-on program that will take you on an intense journey that shatters the outdated “employee mindset” and equips you with the “leader mindset”.
D2CX Foundations by Inc42 is a 6 week hands-on program to help you launch your D2C brand successfully and profitably. Learn from India’s top 1% of D2C founders & experts through actionable insights, proven strategies and tactics on how to launch a successful D2C Brand in 6 weeks.
Multiple users of a cobranded forex card issued by Yes Bank and BookMyForex have alleged unauthorised transactions on their multi-currency cards
Many of these transactions had originated from Brazil and were being attempted on cards that had been inactive for years, raising red flags
BookMyForex has denied any data breach on its end, claiming that customer funds are safe and affected cards were blocked by the bank
Update | February 25, 21:30 IST
YES Bank has claimed that fraudulent transactions worth $840K (₹7.63 Cr) were approved on behalf of 5,000 customers between 03:30 IST and 08:30 IST on Tuesday. In a statement, the bank added that 688 unauthorised transaction attempts were declined, safeguarding customer funds approximately $100K (around ₹9 Cr).
“The bank is working with Card Network to raise chargeback to ensure that the impacted customers do not face any financial loss,” YES Bank said in a statement.
As per the bank, unauthorised transactions were attempted on specific bank identification numbers (BIN) only, originating from a Latin American country that doesn’t mandate two-factor authentication for ecommerce transactions, presumably Brazil.
“As a security measure, the bank has subsequently restricted ecommerce transactions from the specific Latin American Country,” it added.
Original | February 25, 16:00 IST
Multiple users of forex cards issued by YES Bank in partnership with MakeMyTrip-owned startup BookMyForex alleged that their multi-currency cards saw unauthorised transactions. Many of these attempts failed due to insufficient balance on the cards, but some users alleged that they lost funds.
“My #bookmyforex card was used by someone in BRL for this grocery shop MIX MATEUS BAYEUX BR for around $350 USD with multiple transactions #yesbank. Some of the transactions failed but some succeeded, and I lost $350 USD,” a user said on X.
Fearing a data breach, YES Bank has begun blocking cards in specific cohorts that may have been affected by the fraudulent transactions, sources told Inc42, adding that the financial impact was contained as the bank started denying suspicious transaction requests and will issue chargebacks to customers whose balances were depleted.
The breach appears to have started yesterday, when multiple users took to social media to report that unauthorised transactions were being made on their forex cards. Many of these transactions originated from Brazil, specifically at a grocery store in the country, and were being attempted on cards that had been inactive for years, raising red flags.
Some users also alleged that they were unable to log in to the platform to block the cards themselves.
“Fraudulent transactions are happening in my card in Brazil. Book my Forex application is inaccessible as it is glitching severely. Helplines aren’t up yet. I’m just sitting here – watching the hacker do their magic. Fun,” a user said.
While most of such fraudulent transactions were denied, many users alleged that funds were deducted from their cards before they could be blocked.
Forex cards are pre-loaded with cash for easier access to multiple currencies during international travel without the need to pay conversion fees. Notably, many of the transactions on these cards couldn’t go through because of insufficient funds.
In a statement, BookMyForex said that no data breach took place on its end. “There has been no data breach involving BookMyForex systems or customer data. YES Bank observed unusual volumes of false transaction attempts on YES BANK – BookMyForex multi-currency prepaid forex cards which resulted in a high number of declined transactions. These transactions, when analysed, were found to originate from a specific country. The Bank has blocked transactions from this specific country which was identified as the source of all these attempts,” a spokesperson of BookMyForex said.
“As a precautionary measure, cards involved in these attempted transactions were also proactively blocked,” the spokesperson said, adding that customer’s funds are safe and “complimentary replacement cards” are being issued to affected customers.
YES Bank was unavailable for comment at the time of publishing.
Founded in 2012 as a foreign currency exchange service provider, BookMyForex enables its customers to buy or sell foreign currencies in cash, load forex cards, and process cross-border payments from India to anywhere in the world.
MakeMyTrip’s fintech arm Trip Money acquired a majority stake in the startup in 2022 to offer its product suite to its customers.
Unlock special offers and join 10,000+ founders, investors & operators staying ahead in India’s startup economy.
Unleash your potential by exploring unlimited articles, trackers, and playbooks. Identify the
hottest startup deals, supercharge your innovation projects, and stay updated with expert
curation.
Empower yourself with comprehensive playbooks, expert analysis, and invaluable insights. Learn
to validate ideas, acquire customers, secure funding, and navigate the journey to startup
success.
Access 75+ in-depth reports on frontier industries. Gain exclusive market intelligence,
understand market landscapes, and decode emerging trends to make informed decisions.
Stay ahead with startup and funding trackers. Analyse investment strategies, profile successful
investors, and keep track of upcoming funds, accelerators, and more.
Join a community of 10,000+ leaders & operators – unlock unlimited access to Inc42 stories,
videos, deals, member-only perks, and more.
Unlock unlimited access to 500+ monthly new stories and Inc42’s complete archive of
40,000+ stories.
Unlock unlimited access to 500+ monthly new stories and Inc42’s complete archive of
40,000+ stories.
Over $250,000 worth deals on software & tools to help your business scale up.
Network with industry leaders & operators with exclusive invites to Inc42’s
member-only virtual events
Enjoy an ad-free and clutter-free
experience as a member, focus on
what really matters to you
Your contribution will go on to
support and empower our unbiased
& data-driven journalism
Join 1000's of entrepreneurs, business leaders & makers and stay ahead with our sharp,
incisive & data-driven analysis on India’s tech and startup economy!
Unlock personalised stories, ad-lite reading, and exclusive newsletters on Inc42.
Tired Of Playing Catchup On Indian Tech?
Stay Ahead. Every Morning at 8
Get The Week’s Most Consequential Developments.
Inc42 In-Depth is your daily 9 PM newsletter with sharp insights from India’s startup economy.
Inc42 Moneyball is your Thursday newsletter on India’s venture capital trends. 4 PM sharp.
Inc42 Markets is your weekly newsletter on tech IPOs & startup stocks. Every Sunday
get access to a list of 200+ family offices betting big on startups
Get access to a list of Alma Mater Of India's Unicorn & Soonicorn Founders
INDIA'S #1 STARTUP INTELLIGENCE PLATFORM
Login or create a free account to continue reading in private mode.
AI Description
The article discusses a data breach involving YES Bank and BookMyForex cards, resulting in a financial loss. BookMyForex denies any breach on their end, assuring customers of the safety of their funds.