Monday, March 4

New rules for compensation to victims of bank fraud in the UK: what you need to know

Pinterest LinkedIn Tumblr +

Victims of bank fraud in the UK may not be compensated

Today, one of the main threats on the Internet is fraud. Attackers lie in wait for users at every step, luring away personal data by any means. The most common type of Internet fraud is the theft of funds from a user’s bank card, so the issue of compensation is always relevant.
People are urged to be more attentive on the Internet, not to follow suspicious links, use complex passwords, and not to give their bank card data to strangers. But this type of fraud continues to develop at a rapid pace, and it’s very difficult to keep track of new schemes of deception. Scammers often take advantage of both users’ inattentiveness and weak data protection of banking systems. Government agencies in many countries are trying to combat online fraud, but do not always make the right decisions.
Due to a number of innovations in Britain, victims of fraud may be left without compensation. The Payment Systems Regulator (PSR) has taken a decision that will allow customers who have suffered from fraud to be denied damages of under £100. This may seem a relatively small amount, but anyone can fall victim to fraudsters – both people with money and those on low incomes. For the latter, it can be a serious blow.

compensation to victims of bank fraud

The British bank TSB has responded to the innovation. TSB has a guarantee system that reimburses 98% of fraud cases. Bank representatives are urging the regulator to reconsider its decisions. Among other things, they demand to abandon the fee of £35 per application, arguing that such a fee would negatively affect low-income citizens.
Paul Davis, director of fraud prevention at TSB, says the bank welcomes steps to prevent fraud. However, he says TSB believes that many people in the country cannot afford to lose £100 to fraud. Davis argues that in the current economic climate, Britons need to be protected from the more advanced scammers who operate on social networks.
In this way, the bank hopes to influence government agencies and the regulator in particular. Representatives of the TSB management hope that they will be able to change the decision in favor of possible victims of fraud.
The argument could be the obvious fact that the “epidemic of fraud” is observed not only in Britain, but around the world. This means that users can fall victim to fraudsters in any segment of the web, and the threat is not limited to local sites. Accordingly, the possibility of falling into the trap of a fraudster increases manifold. If the regulator does not respond to the bank’s statement, thousands of Britons may suffer losses without the possibility of compensation.

Share.

Comments are closed.