Potential Solutions to the Push Payment Fraud Problem

This event has now taken place but you can watch the video recording of it through our Youtube Channel, get to it by clicking the button below

When

Monday, January 25th from 6:00pm until 8:00pm, UK time

Where

Online symposium via Zoom.

Format

There'll be a great line-up of speakers plus ample scope for discussion and debate

Why should you attend

Given that fraud as a whole is reputed to to make up over a third of all crime in the UK; and that only 1% of policing is targeted at dealing with it, there can be no surprise that scamming and the perpetration of fraud is seen as a highly lucrative, low-risk ‘career-choice’ for criminals. Scams and fraud are clearly big and growing problems for society and they impact people from all walks of life. 

Within that, Authorised Push Payment Fraud is a particular problem – in just 6 years, from 2014 to 2019, Authorised Push Payment Fraud (APPF) grew from something that wasn’t even recognised as a serious challenge, to a collection of scams and frauds that amounted to £455m in 2019.  This was a 28% increase on 2018 and a 93% increase on 2017.

An estimated 300,000 victims lost c.£1.3bn in the period 2014-2019, with the top 15% (i.e. 45,000 people) suffering losses that averaged over £22,000.

Our symposium will be led by recognised subject-matter expert Richard Emery and will include input from Peter Gibson MP, Chair of the APPG on Personal Banking and Fairer Financial Services. 

The event covers four major challenges and briefly considers eight other topics. It will be a first class opportunity to be immersed in subject-matter expertise on this subject and it is very likely to leave you wanting the well-considered reforms that will be proposed.

Eight of the banks introduced the Contingent Reimbursement Model (CRM) as a voluntary Code of Practice on 28 May 2019.  Designed to increase protection against APPF and provide reimbursement to victims; it has been nothing less than a disappointment. It needs urgent review, better regulation and 100% coverage.

The Payment Systems Regulator ‘Directed’ nine major banks to implement Confirmation of Payee (CoP).  Although CoP is a very important step forward in fraud prevention it cannot deliver its full potential because of its limited implementation. Fraudsters quickly learn to open accounts with non-CoP banks so their victims cannot benefit from CoP.  This must change.

We assert that the banks have been Grossly Negligent since 2014, in that they have been ‘indifferent to the obvious risk of APPF’ by making their customers rely on unverifiable sort codes and account numbers.  This past failure must not be swept under the carpet.  We propose that the banks establish an Historic Reimbursement Scheme, either by choice or by compulsion.

Instant payments may be very useful, butFaster Payments = Faster Fraud’.  We propose that the banks should delay the first high value payment until 24 hours after a New Payee is created.  Such as change is permitted under the current regulations, contrary to what the banks and UK Finance may tell you.

The eight ‘other topics’ are Bank Identification, Account Opening, Active Account Monitoring, Disclosure of Beneficiary Account Details, Norwich Pharmacal Orders, Complaints About Beneficiary Banks, Repatriation of Stolen Money and Regional Economic Crime Teams.

Altogether, our event will act as the ideal forum in which to have candid yet constructive debate about what could and frankly should be done to protect the public from the scourge of Authorised Push Payment Fraud. 

Richard Emery’s presentation will cover four major challenges and will  briefly consider eight other topics.

 

Here's the programme and timings so far...

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