We are notifying our customers of a new industry scheme that comes into force in October 2024.
This communication explains the new scheme and what it means for our customers
If you have any questions, you can contact us via the channels in this communication or visit our website www.thehanley.co.uk
What is Authorised Push Payment (APP) Fraud?
Authorised Push Payment (APP) fraud occurs when a person or business is tricked into sending money to a fraudster's account. The victim authorises the payment, believing they are sending money to a legitimate recipient, but in reality, the funds go to a fraudster. Unlike traditional fraud, where transactions may be unauthorised or occur without the account holder’s knowledge, APP fraud involves the victim being deceived into willingly initiating the transfer.
How Does APP Fraud Work?
APP fraud typically involves tactics to manipulate the victim into transferring money. Common methods include:
1. Impersonation Scams: Fraudsters pose as trusted individuals or entities, such as banks, government officials, or company executives, to convince victims that urgent payments are needed.
2. Investment Scams: Victims are lured by promises of high returns on investments and persuaded to transfer money to fraudulent investment schemes.
3. Purchase Scams: Fraudsters advertise non-existent goods or services online, enticing victims to pay upfront, only for the promised items never to be delivered.
What is the Authorised Push Payment Fraud Reimbursement Scheme?
This new scheme comes into force on October 7th 2024, and will apply to all eligible claims from this date onwards.
The scheme is designed to offer protection to victims of this type of fraud by reimbursing monies paid out due to being tricked by someone into making a payment that turned out to be a scam.
Scope of this Scheme
The reimbursement requirement applies to individuals, microenterprises and charities, where an APP scam payment is made using Faster Payments or CHAPS in the UK and sent to a relevant account in the UK (relevant account means an account that is held in the UK and can send or receive payments using the Faster Payments Scheme or CHAPS).
Are There Limits to the Scheme?
Yes- there will be a maximum amount per claim this is subject to change and review
The claim could be subject to a maximum excess of £100 per claim
The scheme applies to payments made on or after 7 October 2024.
A customer must have raised their claim within 13 months of the final payment made to a fraudster as part of the same scam, otherwise no claim can be made.
Are There Exclusions to the Scheme?
Yes- the scheme only applies to payments that are authorised by the account holder using electronic payments made by Faster Payments or CHAPS
If you have been Grossly negligent i.e. ignored repeated messages, not adhered to warnings from your payment provider or other third parties such as the police
Time exclusions (e.g., claims made before 7 October 2024 and APP claims submitted more than 13 months after the final payment to the fraudster)
International payments are out of scope
Payments which take place across other payment systems
Payments made using cheques and cash
payments that are not authorised by the customer (‘unauthorised payments’)
Civil disputes i.e. family disputes, disputes between individuals and credit card companies, faulty goods disputes etc.
Where payments are sent or received by credit unions, municipal banks and national savings banks
Under certain circumstances where payments are made to and from accounts with the same provider (on us payments)
What do you Need to Do to Assist
Promptly report the scam to us upon learning or suspecting of falling victim to a scam
Ensure you follow advice given to you by your account provider(s) or relevant third parties i.e. the police
Ensure you take all the required precautions to make sure you are not helping the fraudsters i.e. Checking communications are genuine, careful when clicking on links, check telephone numbers are correct and the person(s) you are speaking to are who they say they are.
Provide information in good time that is requested that helps to support your claim
Report the scam to the police as soon as possible
We may need to contact you and other firms who have been involved in the transactions to gather information and to help with the investigation, this may involve sharing information in connection with the case with those firms.
How do you Raise a Claim and Who Can I Talk to?
You can inform us of any suspected scam or fraud via several different means.
In person at the branch
Telephone: 01782 255000
E-mail: savingsservices@thehanley.co.uk
Every claim will be assessed on a case-by-case basis using information provided by the account holder, other firms involved in the transaction and where relevant a third party such as the police.
Under normal circumstances reimbursement will take place within 5 business days from receipt of the claim.
Some cases will be more complex to investigate and can take up to 35 business days for reimbursement. We will keep you informed.
You can call in the branch or contact us using the details provided above anytime to discuss any concerns you may have or if you require further information
The following are free independent organisations who can provide help and support should you be the victim of a scam or fraud. There are other organisations who may be able to help, check with them to ensure if there are any fees or charges prior to proceeding.
Citizens Advice: www.citizensadvice.org.uk
Action Fraud: www.actionfraud.police.uk
Victim Support: www.victimssupport.org.uk
