Singapore Unveils 2025 Anti-Scam Act—How It Protects Your Money Like Never Before

Scams have become an alarming issue worldwide, and Singapore is stepping up its efforts to protect its citizens from falling victim to financial fraud. In 2025, the country introduced the Protection from Scams Bill, a legislative breakthrough designed to tackle the growing number of scams targeting individuals and businesses. This law empowers authorities to take decisive action, including freezing bank accounts, to stop scams in their tracks. In this article, we’ll break down what the Anti-Scam Act 2025 is all about, how it works, and how it enhances security for Singaporeans.

Singapore Unveils 2025 Anti-Scam Act

Singapore’s Protection from Scams Bill 2025 is a landmark move in the fight against financial fraud. By empowering the Singapore Police Force to freeze accounts suspected of being involved in scams, the law offers a quick and effective response to protect victims from losing their money. Along with this, the country’s broader anti-scam strategies—such as enhanced banking security and public education campaigns—are making it harder for scammers to succeed.

For anyone living in Singapore, the Protection from Scams Bill provides an additional layer of security, ensuring that their finances are safer than ever before.

What Is the Protection from Scams Bill?

In 2025, Singapore’s lawmakers introduced the Protection from Scams Bill to empower the Singapore Police Force (SPF) to act swiftly in preventing scams from causing further harm. This law is a crucial addition to the country’s already robust approach to combating financial fraud, which has been steadily on the rise in recent years.

The key feature of this legislation is the ability of the police to issue Restriction Orders (ROs). These orders allow authorities to temporarily freeze bank accounts that are suspected of being involved in scam-related activities. This measure is designed to stop scammers from transferring stolen funds or liquidating accounts before victims even realize they’ve been defrauded.

The Scope of the Protection from Scams Bill

This law applies not only to digital scams, which have been the most common in recent years but also to traditional scams that involve face-to-face interactions. Examples of digital scams include phishing, online impersonation, and fake investment schemes. As scammers become more sophisticated, digital fraud has taken center stage. However, the Protection from Scams Bill’s flexible framework ensures that it can be used to prevent both types of fraud.

How Does the Law Work?

When a scam is suspected, law enforcement authorities can apply for a Restriction Order (RO) on an individual’s bank account. The RO allows for freezing the account for up to 30 days. If the police need more time to investigate, they can renew the order up to five times.

This proactive approach gives authorities time to analyze the situation, alert the victim, and prevent further financial loss. Once the investigation is complete and the scam is confirmed, further legal steps can be taken to pursue the fraudsters and recover funds.

Who Will Be Affected by the New Law?

The law primarily affects individuals and entities engaging in digital financial transactions. For example, people who frequently use online payment platforms, digital wallets, or banking apps could see their accounts frozen if they are targeted by scammers.

Additionally, banks play a critical role in this new law. The seven major retail banks in Singapore are the primary institutions covered by this law. These banks must work closely with law enforcement to freeze accounts, halt transactions, and report suspicious activities. As a result, these banks must also update their systems to accommodate the new rules, ensuring that scams are detected and acted upon as quickly as possible.

Why Is This Bill Important?

The Protection from Scams Bill comes at a critical time. In 2024, Singapore saw over 26,500 scam cases involving financial losses exceeding S$385 million. Many of these cases involved victims who were tricked into voluntarily transferring money to scammers. The impact on victims was not just financial but emotional, as many were left feeling violated and uncertain about their future financial security.

This new bill addresses this gap by providing law enforcement with the necessary tools to intervene before a victim’s finances are completely drained. By freezing accounts swiftly, the bill reduces the risk of irreversible financial loss and gives authorities time to investigate and track down the perpetrators.

Guide to Understanding How the Protection from Scams Bill Works

1. Scam is Reported

When a scam is suspected, it can be reported to the Singapore Police Force or ScamShield, the country’s official anti-scam initiative. Once the scam is detected, investigators begin their inquiry.

2. Issuing a Restriction Order (RO)

Based on the investigation, the police can issue a Restriction Order (RO) to the relevant financial institutions. This order freezes the suspected scammer’s account to prevent further transactions.

3. Freezing the Account

Once the RO is issued, the bank must comply by freezing the account immediately. The victim’s funds will be protected for a period of 30 days, with the option to renew the freeze up to five times if further investigation is needed.

4. Investigation and Resolution

During this period, the authorities will work to identify the scam and the individuals responsible. If the scam is confirmed, they will work with the banks and other stakeholders to recover any stolen funds and pursue legal action against the fraudsters.

5. Lawsuits and Recovery

If the scam is proven to be fraudulent, the authorities will initiate legal proceedings, potentially recovering funds for the victims. The Restriction Order also serves as a tool to identify and penalize those responsible for perpetuating scams.

Real-Life Examples: How the Law Can Make a Difference

To understand how impactful the Protection from Scams Bill could be, let’s consider some examples:

Case Study 1: The Phishing Scam
In one case, a victim received a fake email impersonating a bank representative, asking for login details to “secure” their account. The victim unknowingly provided their credentials, leading to a significant sum being transferred out. If the Protection from Scams Bill were in place, the police could have immediately frozen the account, preventing further transfers and potentially recovering the stolen funds.

Case Study 2: The Fake Investment Scheme
Another example is a fake investment scam, where scammers promised high returns on cryptocurrency investments. The victim transferred money into an account that was later found to be fraudulent. The law would have allowed the authorities to freeze the scammer’s account before the funds could be withdrawn, reducing the victim’s losses.

Implications for Businesses and Financial Institutions

The Protection from Scams Bill places an increased responsibility on financial institutions, particularly banks, to detect and act on suspicious activity. Banks are expected to update their systems to integrate with the new law, ensuring they can respond to Restriction Orders quickly. Furthermore, financial services, including digital wallets and fintech companies, will need to strengthen their own fraud detection systems.

These businesses may also need to train their staff on how to collaborate with law enforcement, implement more stringent account security measures, and improve customer support to assist victims in real-time.

International Context: How Other Countries Tackle Scams

Singapore is not alone in taking action against scams. Other countries like the United States, Australia, and the United Kingdom have introduced similar measures, such as the Scam Protection Framework in Australia or fraudulent transaction reversals in the US. However, Singapore’s quick-response Restriction Orders set it apart by providing a proactive solution to freezing funds before they disappear.

How Victims Can Reclaim Lost Funds

If a person falls victim to a scam, they can follow these steps to increase their chances of recovery:

1. Notify their bank immediately to halt any ongoing transactions.
2. Report the scam to the Singapore Police Force and use tools like ScamShield to trace the scam.
3. Cooperate with authorities to help them trace the fraudster’s bank account.
4. Monitor their accounts closely for any unauthorized activity.

Updates and Future Developments

The Protection from Scams Bill 2025 is just the beginning. As scams become more sophisticated, there is likely to be a continuous evolution of the law. Authorities may extend the reach of the law to include emerging technologies like AI-driven scams or deepfake fraud. Ongoing discussions and updates will likely focus on improving collaboration between countries to tackle cross-border fraud and ensure global scam protection.

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FAQs about Singapore Unveils 2025 Anti-Scam Act

Q1: What is the Protection from Scams Bill 2025 in Singapore?
A: The Protection from Scams Bill 2025 is a law introduced in Singapore to empower the police to take swift action against scams. It allows authorities to issue Restriction Orders (ROs) that freeze bank accounts suspected of being used in scams. This prevents further financial loss by halting transactions during investigations.

Q2: How long can a bank account be frozen under the Protection from Scams Bill?
A: A Restriction Order (RO) can freeze a bank account for 30 days initially, with the option for authorities to renew it up to five times if further investigation is necessary.

Q3: Does the Protection from Scams Bill apply to all types of scams?
A: Yes, the law applies to both digital scams (such as phishing or online impersonation) and traditional scams (such as in-person fraud). It gives authorities the flexibility to address various types of fraudulent activities.

Q4: How does the Protection from Scams Bill help prevent financial losses?
A: By allowing the police to freeze accounts suspected of being involved in scams, the Protection from Scams Bill prevents scammers from transferring stolen funds or liquidating assets before the victims realize they’ve been defrauded, thus stopping further financial damage.

Q5: How can individuals protect themselves from scams in Singapore?
A: To protect yourself from scams, you can use security features like multi-factor authentication and Fraud Detection Apps such as ScamShield. It’s also important to verify suspicious requests for money or personal information and report any suspicious activity to the ScamShield Helpline (1799).

Q6: How can victims recover their lost funds after a scam?
A: Victims should report the scam immediately to their bank and the Singapore Police Force. By working with law enforcement and using tools like ScamShield, victims can help trace the fraudster’s account and recover lost funds if a Restriction Order is in place.