The PSR previously consulted on various measures to prevent APP scams and protect people who may fall victims of this type of online fraud in November 2022.
The new consultation aims to see better protection for everyone from APP scams and, to do so, the previous consultations tackled important themes, including a requirement on financial institutions to report on the value, number, and reimbursement rates to victims facing this type of online crimes.
This round of consultation aims for PSR to seek views on guidance for PSPs who will be required to publish data on their performance on APP scams. At the same time, the UK payments regulatory body mentions that the reporting will continue to develop in the following months of 2023, to provide a clearer image of financial institutions’ performance in the area.
According to the PSR, Authorised Push Payment (APP) scams happen when a person or an institution (business) is tricked into sending money to a fraudster posing as a genuine payee. A recent survey showed that APP scams caused GBP 250 million in losses in the first half of 2022, in the UK alone.
By providing the right regulatory tools for PSPs, these institutions can help people stay alert and ahead of fraudsters. At the same time, people should have access to relevant data regarding how well their banks and building societies will protect them if they become the victims of an APP scam.
Based on the transparency and accuracy of the data, people can further identify which organisation will provide them the best protection and which ones need to raise the bar. Based on the transparency and accuracy of the data, people can further identify which organisation will provide them the best protection and which ones need to raise the bar.Based on the transparency and accuracy of the data, people can further identify which organisation will provide them the best protection and which ones need to raise the bar.
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