UK Banks Promise Three Months' Extra Funding For Fraud Payouts

UK banks have agreed to fund reimbursement for fraud victims for an additional three months, although consumer groups have labelled the measure a “stopgap” and called for regulatory intervention.

Industry group UK Finance announced on Thursday that seven banks had agreed to fund payouts to victims of authorised push payment (APP) fraud where neither party is deemed to be at fault until March 31 next year.

APP fraud occurs when individuals or businesses are tricked into transferring funds to an account held by a fraudster, and cost UK consumers more than £350m in 2018.

Request a Free Trial

As a trusted source of regulatory intelligence for the global payments industry, we enable organisations to manage the growing volume and velocity of regulatory risk with confidence, empowering more informed and effective decision making, in an efficient and cost-effective way.

Take a Trial