Fraud Protection

Fraud Protection

Fraud accounts for over 40% of all crime. Over an average year, 1 in 17 adults in England and Wales fall victim to fraud, nearly 3 million people. Businesses are not exempt, and 1 in 5 of them were the victim of fraud. Fraud is prevalent and can happen to any of us.

Fraudsters are highly manipulative and can get us to lower our defences if we are not vigilant. Nobody is immune to fraud, but we can all be more aware of the risks and protect ourselves better.

 

Authorised Push Payment (APP) Fraud

Every year, thousands of people become victims of Authorised Push Payment (APP) scams. These scams happen when someone is tricked into sending money to a fraudster posing as a genuine payee. Often, fraudsters pose as a family member or even your bank or building society.

From 7th October 2024, new rules from the Payment Systems Regulator (PSR) give more support to victims of APP fraud.

They ask us to:

  • Reimburse members who fall victim to an APP scam in full.
  • Split the cost of paying back members with the bank or building society where money has been sent.
  • Provide additional protection for vulnerable members.

What do the new rules cover?

  • Payments made by individuals, microenterprises and charities
  • Payments made using CHAPS, Faster Payments or internal transfers
  • Payments made within the UK
  • Payments made on or after 7 October 2024.

What's not covered?

  • You paid using cash or cheque
  • The payment was made to another account you control
  • There is a civil dispute over the payment
  • The payment was sent/received by a credit union, municipal bank, or a national savings bank account
  • You have acted fraudulently
  • You haven’t met the consumer standard of caution.

It's important to note that other payment types, including card, cash, and cheque have their own protections in place so are not covered by these reimbursement requirements.  

What is the Consumer Standard of Caution?

The consumer standard of caution is a series of steps you’re required to follow before and after making a payment. If an APP scam investigation reveals that these steps weren’t followed, it may result in an unsuccessful claim.

Meeting the consumer standard of caution means that:

  • You must follow our advice to check that your payment is genuine and any of our warnings if we let you know that we suspect the payment you’re making is or could be fraud. You also need to follow any instructions from the police or the National Crime Agency.
  • You must report the fraud as soon as possible and within the APP scam time limit of 13 months.
  • You should provide additional information we may ask for about your claim.
  • We might ask you to report details of the scam to the police or do this for you. You must consent to this where possible and reasonable.

What to do if you think you’ve been scammed

  • Contact us immediately if you think you’ve been the victim of an APP scam. You can do this by popping into your local branch or calling us on 0161 429 6262 Monday to Friday 9am-5pm.
  • Our team will then begin to investigate what has happened and look into reimbursing you for your loss. We may ask for further information, such as documents, messages or screenshots, or suggest the police should be involved.
  • We’ll assess every APP scam claim on a case-by-case basis, looking at the evidence you present along with any information we have.
  • We will keep you updated on timescales as the investigation progresses.
  • Where you are entitled to a refund, we will make this to your account (less an excess of £35).
  • If we make a refund and then discover that you did authorise the transaction or are otherwise liable, we may reverse the refund. We will notify you before we do this.

You must report an APP scam no more than 13 months after the last fraudulent payment was made. And the maximum amount you can claim is £85,000.

 

4-ways to fight fraud

 
Do you know who is contacting you?

Fraudsters will contact people, imitating their bank, other trusted companies, or even a family member or friend. They can be believable if they have managed to get hold of personal information by looking at social media. Earning their victim's trust, they will attempt to convince them to share confidential information, send money or give them access to personal devices.

Always stop to think and check if this person is who they claim to be.

If you are unsure about a call or message:

  • Do not rush into a decision – be certain before sending money, personal details or access to your device.

  • If in doubt, end the call.

  • Fraudsters can mimic phone numbers, so the number on your caller ID is not always proof of who they are.

  • Check that the contact details are correct by contacting the organisation directly.

  • If you get a message from a family member asking you to send money, use known contact details to check if it is a legitimate request.

 
Do you normally trust offers and click on links?

Fraudsters know we love a bargain, so they offer discounts, pressure a quick decision and reinforce FOMO (fear of missing out) to get people to pay for a fake deal. They urge people to click links in messages that can take them to a fake website where they can steal money and personal details or take control of their device.

If you see a tempting offer:

  • Do not rush into a decision – take time to stop, think and check if the message, offer or advert is genuine.

  • Do not click a link in a message you are not 100% sure of. Go directly to the organisation's website if you are unsure.

  • Stay on trusted websites and use their recommended payment methods.

  • Do not pay by bank transfer or virtual currency.

  • Be 100% sure before you send any money or personal details.

Do you use the same password for all your accounts?

Some people use the same password for all their accounts, like email, bank account and social media, as it's easier to remember. But if a fraudster can access it, they can access all their accounts with just one password.

Make sure to use a different password for each account. If you find it difficult to remember passwords, you can use a password manager or Three Random Words to help you remember them. 

Never choose a password containing personal information such as names, places and numbers, but make sure each password is secure and hard to guess.

 

Do you use 2-step verification?

Strong passwords for email and bank accounts are one step in keeping secure, but there is always a risk that a fraudster could stumble across them, and nothing can stop them from attempting to steal money and other personal details.

Setting up 2-step verification (2SV) on your most important accounts, such as email and social media, will ask for more information to prove your identity when logging into an online account. It is one of the most effective ways to protect your online accounts from criminals.

For more information, please visit: stopthinkfraud.campaign.gov.uk

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