People will be able to see their own bank’s performance on bank transfer scams
The Payment Systems Regulator wants to hear views on guidance for firms who will be required to publish data on their performance on APP scams.
People will be able to see how well their bank or building society might treat them if they were tricked into transferring money to a fraudster, under a regulator’s plans.
The Payment Systems Regulator (PSR) has published its latest consultation on guidance to support firms with providing the correct data when they report their information on authorised push payment (APP) scams to the regulator.
The regulator wants to hear views on guidance for firms who will be required to publish data on their performance on APP scams.
Reporting will continue to develop over the coming months, to make sure there is a clear picture of how financial institutions are performing, the PSR said.
Data will be collected and published on a six-monthly basis, with the first submission by firms due in May 2023.
For the first time, when banks start to publish their data, people will be able to judge whether theirs is doing enough to protect them from fraud
The PSR will collate the data and then publish the first report by October 2023.
It said this will mean that, for the first time, everyone will be able to see how well financial institutions treat people should they fall victim to an APP scam.
Currently, many banks have signed up to a voluntary reimbursement code for blameless victims of bank transfer scams and some account providers operate their own fraud refund guarantees.
Consumer campaigners have raised concerns about inconsistencies over how the voluntary reimbursement rules are being applied.
Kate Fitzgerald, head of policy at the PSR, said: “People should know how well their banks and building societies will protect them if they were ever to fall victim to an APP scam. Our reporting requirement is one of a suite of measures we have proposed that will help tackle the problem of APP scams.
“For the first time, when banks start to publish their data, people will be able to judge whether theirs is doing enough to protect them from fraud. This means everyone will be able to decide which organisation is going to give them the best protection and service.”
The latest consultation from the PSR closes on February 23 2023 and the reporting requirement will be given formally in March 2023.
The PSR has also been consulting on proposals for mandatory reimbursement for victims of scams where more than £100 is stolen.
The Lending Standards Board (LSB), which oversees the voluntary code, said this week that more responsibilities will be placed on account providers receiving payments suspected to be fraudulent.
Banks are expected to meet the LSB’s new requirements by December this year.