What is bank app fraud?

What is Bank APP Fraud? Understanding Authorised Push Payment Scams

Fight scams smarter and faster, without paying unfair recovery fees.

Published on 29 October 2024

Updated on 8 Apr at 9:43 am

Share this article

Every year, thousands of people across the UK fall victim to Authorised Push Payment (APP) fraud, losing millions of pounds to increasingly sophisticated scammers. If you’ve been affected, you’re not alone—and you may be entitled to reimbursement.

What Exactly is Bank APP Fraud?

Bank APP fraud occurs when someone tricks you into voluntarily transferring money from your account to theirs. Unlike traditional fraud where transactions happen without your knowledge, in APP fraud, you authorise the payment yourself because you’ve been deceived about who you’re paying or why.

The crucial distinction here is that you didn’t intend to send money to a fraudster—you believed you were paying a legitimate person or organisation.

Key Facts About APP Fraud

It’s increasingly common: Over £485 million was lost to APP fraud in 2023 alone
Anyone can be a victim: From tech-savvy young professionals to retirees
New rules provide protection: From October 7, 2024, banks must reimburse victims up to £415,000 in most cases
Time limits apply: You must report the scam within 13 months

6. Impersonation Scams

Beyond banking, scammers may pose as:

They typically claim you owe money, are due a refund, or need to resolve an urgent issue.

Common Types of APP Scams

Fraudsters are constantly evolving their techniques. Here are the most common types of APP scams you should be aware of:

1. Bank Impersonation Scams

Scammers pose as your bank, often claiming there’s a security issue with your account. They typically:

Red flag: Your bank will never ask you to move money to another account for security reasons.

2. Investment Scams

These involve promises of high returns on investments that don’t exist, including:

Victims are often groomed over weeks or months, with initial small “investments” showing returns before larger sums are requested.

3. Romance Scams

Fraudsters build romantic relationships online, then exploit emotional connections to request money for:

These scams can be particularly devastating as they combine financial and emotional harm.

4. Purchase Scams

These involve paying for goods or services that never arrive or are not as described:

5. Invoice and Payment Diversion Fraud

Fraudsters intercept communications between you and a legitimate business, then:

6. Impersonation Scams

Beyond banking, scammers may pose as:

They typically claim you owe money, are due a refund, or need to resolve an urgent issue.

7. Job and Employment Scams

These involve fraudulent job offers where victims are tricked into:

How Banks Should Protect You

Under the new FPS Reimbursement Rules (effective October 7, 2024), banks and payment providers now have greater responsibility to:

Implement effective fraud warnings
Design secure payment journeys
Detect and prevent suspicious transactions
Reimburse eligible victims promptly
Cooperate with other banks to recover stolen funds

When You Can Claim Reimbursement

You’re generally eligible for reimbursement if:

How APP Claims Can Help You

If you’ve been a victim of APP fraud, recovering your money shouldn’t be another uphill battle. APP Claims specialises in helping victims navigate the complex reimbursement process on a No Win, No Fee basis.

Our Expert Process

1. Free Initial Assessment: We’ll evaluate your case to determine if you have valid grounds for reimbursement
2. Evidence Collection: We help gather and organise all necessary documentation
3. Formal Claim Submission: We prepare and submit a comprehensive claim to your bank
4. Negotiation: Our experts deal directly with financial institutions on your behalf
5. Escalation if Necessary: If your bank refuses a valid claim, we can escalate to the Financial Ombudsman Service (FOS)

Why Choose APP Claims?

Specialist Knowledge: We understand the new reimbursement rules inside and out
Higher Success Rate: Our expertise leads to more successful outcomes
No Upfront Costs: We only get paid if your claim succeeds
Stress Reduction: Let us handle the complex process while you focus on recovery
Maximum Compensation: We ensure you receive the full amount you’re entitled to

Starting Your Claim

Taking the first step is simple:

Act Quickly

Remember, while you have 13 months to make a claim, evidence becomes harder to gather as time passes. The sooner you start the process, the better your chances of recovery.

Protect Yourself in the Future

While we’re here to help you recover what you’ve lost, prevention is always better than cure:

Take your time with financial decisions, especially when pressured
Verify payment details through official channels before large transfers
Be suspicious of unexpected calls, even if they appear to come from legitimate numbers
Use secure payment methods that offer protection
Remember that high returns always come with high risks

Your Recovery Starts Here

Being a victim of fraud is not your fault—sophisticated scammers use psychological tactics that could trick anyone. With APP Claims, you don’t have to face the aftermath alone.

Contact us today for a free, no-obligation assessment of your case, and take the first step toward getting your money back.

The expert team at APP Claims is ready to fight for the compensation you deserve.

Tags: Editor’s Pick, post example 1