Financial Consumer Alert

The Financial Consumer Alert List (FCA List) is a guide to enhance the awareness on entities or schemes which may have been wrongly perceived or represented as being licensed or regulated by Bank Negara Malaysia (BNM). The FCA List is updated based on information received by BNM from members of the public, after conducting necessary assessments on the reported entities and schemes. Consumers may refer to the FCA List as one of several ways to check if an entity or a scheme has been identified as one that has not been authorised by BNM to offer financial products or services that are regulated by BNM. The absence or subsequent removal of an entity or a scheme from the FCA List however should not be construed as confirmation that such entity or scheme is or has been licensed or regulated by BNM. As with any financial investment, consumers are advised to exercise due care when investing in any entity or financial scheme.

• List of companies and websites (Updated 15 March 2021)

Money Services Business

• List of entities issued with warnings for carrying on money services business without a licence under the Money Services Business Act 2011 [PDF, 229KB] (Updated 13 August 2021)
• List of entities issued with Court Order for carrying money services business without a licence under the Money Services Business Act 2011 [PDF, 300KB] (Updated 17 June 2021)

Please take note that the list is not exhaustive and only serves as a guide to members of the public based on information and queries received by BNM.The list will be updated regularly for public's reference.

Who may provide financial services in Malaysia?

Only financial institutions i.e. banks, insurance companies and takaful operators as well as money changers, remittance service providers and currency wholesalers (currently known as "the money services business") licensed by BNM under the relevant laws and regulations administered by BNM are allowed to provide financial services in Malaysia.

The list of the licensed financial service providers can be accessed via the following URL:

• List of licensed financial institutions
• List of licensed money changers, remittance service providers and currency wholesalers

Why should consumers be careful when dealing with unregulated entities or persons?

Consequences:

1. Consumer protection under the laws administered by BNM IS NOT APPLICABLE should the members of the public choose to deal with the illegal financial service providers.
2. Members of the public who participate in the illegal financial activities could also BE CHARGED under the law as abetting the operators of such illegal activities.   

Thus, members of the public ARE ADVISED NOT TO:

1. Deal with any of the illegal financial service providers;
2. Reveal or disclose personal financial credentials to any of the illegal financial service providers; and
3. Involve or associate themselves with any of the illegal financial service providers.  

Illegal and Suspicious Financial Entities and Activities

Members of the public are advised to alert BNM on any illegal or suspicious activities or entities at:

BNMTELELINK (Bank Negara Malaysia Contact Centre)
1-300-88-5465 or
E-mail: bnmtelelink@bnm.gov.my

Among the illegal financial activities that could be reported to BNM are:

1. Illegal Deposit Taking
2. Illegal Foreign Exchange Trading Scheme
3. Illegal Money Services Business Activities
4. Improper Market Conduct or Practices by BNM's licensee
5. Misuse of BNM and Senior Officers' Names and Positions
6. Other Illegal Financial Activities expressly mentioned in the relevant law and regulations administered by BNM

The report could also be effected via the respective BNM's Regional Offices and branches in Malaysia:

Members of the public may also check with other enforcement agencies for verification on related activities:

1. Securities Commission (SC) : www.sc.com.my
2. Kementerian Perdagangan Dalam Negeri, Koperasi dan Kepenggunaan (KPDNKK) : ww.kpdnkk.gov.my
3. Suruhanjaya Koperasi Malaysia : www.skm.gov.my
4. Suruhanjaya Komunikasi dan Multimedia Malaysia : www.skmm.gov.my
5. Suruhanjaya Syarikat Malaysia : www.ssm.com.my
6. Polis Diraja Malaysia : www.rmp.gov.my

How to detect an illegal scheme?

Members of the public are advised to be careful and not fall prey to these schemes. Be alert and look out for the following common features of these illegal schemes:

• The approach by the operators may have been made by mail, telephone, Internet or in person, but the intention is always the same, that is, to take money from unsuspecting victim for goods or services that they have no intention to provide.
• Schemes which promise interest rates, returns or profits, which are much higher than the returns offered by licensed financial institutions for their deposits.
• The promises of high returns are aimed at attracting the members of the public to participate in the schemes and the investors may not be given copies of any documentation including agreements by the operators.
• There is also no assurance that the operators of such schemes can continue to pay the high returns.
• At the beginning of such schemes, the operators are able to use money received from subsequent depositors to pay high returns or to repay the principal amount to the earlier depositors.
• However, the operators could not invest the deposits in equally or more lucrative ventures or investments and therefore unable to sustain the high returns or repayment promised to their depositors.

Please note that these schemes will fail eventually when there are no new deposits being continually received by the operators. At such time, the "get-rich-quick" schemes will collapse and the depositors or investors will lose their investments.

For more example of illegal and suspicious financial entities and activities, please visit Financial Fraud Alert website.