Big banks agree to compensate fraud victims
Barclays, HSBC, Lloyds and RBS have all agreed to do more to protect customers who've been scammed out of their hard-earned money by cold-hearted con artists.
This is a massive victory for those who've suffered at the hands of these evil, money-grabbing criminals who simply swan off into the sunset with peoples life savings.
To put it into context, £148m was lost through bank fraud in 2018 - that's more than £1m every day.
Previously, banks would often refuse to pay compensation to customers if neither the bank nor the customer were at fault - but this left a massive grey area and cost tens of millions of pounds to people each year.
So, if somebody contacted an individual and posed as a bank worker, and that individual honestly believed they were talking to a bank worker and, as a result, moved all their money into what turned out to be a fictional account, the bank could refuse to pay out as, technically, neither the bank nor the customer were to blame.
But this has all changed, and banks will pay money into a 'victim's pool', so when fraud does occur, the victim can have their cash replaced.
Stephen Jones, head of trade body UK Finance, told the Treasury Committee that the scheme would be an interim measure until a permanent solution could be agreed with watchdogs.
He said: "If a customer has done what they are required to do, they will be reimbursed.
"If we look at the 2018 data, assuming that 2019 is the same, we think the banks will probably be reimbursing somewhere between £30million and £40million more out of the authorised push payment victim pool as a result of the code in “no blame” scenarios."
Your bank or the police will never contact you asking for bank details or any personal information over the phone. If you get a phone call like that, it's a scam.
If you're in doubt, hang up and contact the police or your bank immediately to double check.
Never give out any personal details over the phone, or online.
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