International APP Scams Surge Despite UK Reforms

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UK Banks Pressured to Improve International Anti-Fraud Measures Following Surge in Overseas APP Scams

UK banks and payment service providers are being urged to strengthen their anti-fraud systems for international transfers following a marked increase in authorised push-payment (APP) scams involving money sent abroad. Despite the introduction of new rules in October 2024 requiring UK banks to refund customers manipulated into making domestic payments, total losses from APP fraud fell by only 2% to £450 million last year. Notably, the proportion of scam losses attributed to international payments almost doubled to 11%—reflecting an upward trend in cross-border fraud cases (source).

“Fraudsters are constantly evolving their tactics, so it is disheartening but unsurprising to see a rise in the number of cases in which scammers trick their victims into sending money abroad,” a representative from consumer group Which? commented. “Banks and payment firms should enhance their anti-fraud controls for international payments, and the independent review of the mandatory reimbursement scheme in October should take note of these emerging trends.”

  • APP scam cases: Down 20% to just under 186,000 in 2024
  • Total losses: £450m in 2024, a 2% decrease
  • International payments: Accounted for 11% of losses (nearly double previous year)
  • Purchase scams: 71% of all APP frauds reported in 2024
  • Investment scams: Losses rose 34% to over £144 million

Since October 2024, UK banks must reimburse victims of APP scams for domestic transactions, contributing to a fall in home-grown cases. However, this measure does not currently extend to international transfers, prompting calls for broader consumer protection and an updated compensation framework. The Financial Conduct Authority (FCA) is expected to review the mandatory reimbursement scheme in light of these developments.

For more details on secure payment methods and protection against fraud:

For further reading, see the original source at The Guardian.

About Charlie Davids

Charlie Davies has over 15 years of experience in the online gambling space. Starting out as a poker player, he gradually moved into writing to help players better understand casinos, apps, and payment methods. Today, Charlie focuses on mobile-first gambling, with a passion for making complex topics simple and trustworthy. Whether it's withdrawal speeds or casino reviews, he brings clarity from a player’s perspective.
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