Push Payment Fraud - An Update for Banking Litigators

Introduction

APP is still a growing problem. UK Finance (UKF) reported that losses due to APP scams in the first six months of 2023 totalled £239.3m. In recognition of this problem, the UK Government has decided that the burden of loss should be moved from the consumer victim to the banking sector.

Since 2019 there has been a voluntary code under which certain retail banks will reimburse APP victims. However, on 7 October 2024 new mandatory reimbursement rules will come into force so that all retail banks will be obliged to reimburse their customers if they become the victims of APP fraud.

However, will the new rules exacerbate the problem of APP fraud by encouraging careless behaviour - i.e. moral hazard? Will the new rules simply create a new opportunity for fraud?

Whilst banks will not be obliged to pay out in cases of fraud or ‘gross negligence’, how will these terms be evaluated and will disgruntled customers turn to lawyers to seek redress?

Those who work in retail banking or who represent consumers will need to be aware of and ready for these changes.

What You Will Learn

This live and interactive course will cover the following:

• A summary of the new rules
• Who has to pay, when and how much?
• When can banks avoid paying?
• What happens if there is a dispute?

Recording of live sessions: Soon after the Learn Live session has taken place you will be able to go back and access the recording - should you wish to revisit the material discussed.