Yes Bank Investigates $0.28 Million Forex Card Fraud in Latin America

Yes Bank announced on February 26, 2026, that it has uncovered fraudulent transactions totalling approximately USD 0.28 million associated with its multi-currency prepaid forex card. The bank issued this card in collaboration with BookMyForex. The fraudulent activities targeted 15 merchants located within a specific Latin American country, identified in reports as Brazil, and occurred during the early hours of February 24, 2026, from 3:30 am to 8:30 am Indian Standard Time (IST).

According to the bank's internal investigation, a surge in denied transactions triggered its fraud monitoring system. In total, transactions linked to about 5,000 customers were approved fraudulently. The investigation highlighted attempts to exploit specific Bank Identification Numbers (BINs) to authorise these transactions.

To mitigate the impact of the fraud, Yes Bank confirmed that their monitoring and control mechanisms successfully declined 688 unauthorised transaction attempts, reportedly safeguarding approximately USD 0.1 million from further loss. The bank stated it is collaborating closely with the card network provider to initiate chargebacks, aiming to prevent financial loss for affected customers.

One notable aspect of this incident was the absence of mandatory two-factor authentication for e-commerce transactions in the country implicated in the fraud. This lack of authentication measures has raised serious concerns regarding transaction security. Following the incident, Yes Bank has taken precautionary steps by restricting e-commerce transactions originating from Brazil.

In its statement, Yes Bank underscored its commitment to monitoring the situation and collaborating with all relevant stakeholders to protect customer interests. The bank continues to assess and respond to the evolving circumstances surrounding this incident, assuring clients of their efforts in safeguarding their accounts and funds.