Bank Transfer Fraud UK — How APP Scams Work and How to Protect Yourself

Authorised Push Payment fraud — where you are tricked into transferring money to a criminal's account — is one of the most financially devastating scams in the UK. Unlike card fraud where banks can often recover money, bank transfer fraud is much harder to reverse.

What is APP Fraud?

Authorised Push Payment fraud occurs when a criminal tricks you into voluntarily transferring money to their account. Because you authorise the payment yourself it was historically harder to recover than unauthorised fraud. However new PSR rules introduced in 2024 require UK banks to reimburse most APP fraud victims up to £85,000.

The Most Common Bank Transfer Scams

How Fraudsters Know Your Banking Details

Criminals use personal data from data broker websites to make bank impersonation calls seem convincing. When they call and know your name, address and sometimes your bank branch it is because they purchased this information. They then use these details to build trust before requesting a transfer.

Protecting Yourself from Bank Transfer Fraud

1. Your bank will never ask you to transfer money to a safe account — this is always a scam. Hang up and call your bank on the number on the back of your card.

2. Verify independently — if you receive a call asking for a transfer hang up and call the organisation directly using a number you find independently — not one they give you.

3. Use the 159 service — calling 159 connects you directly to your bank's fraud team. If you receive a suspicious call hang up and call 159 immediately.

4. Check payee details carefully — most UK banks now use Confirmation of Payee which checks the account name matches the sort code and account number. Always verify this before transferring.

5. Remove your personal data from broker sites — fraudsters use your data to make calls convincing. Silent Erase removes your data from 500+ broker sites automatically.

New Bank Reimbursement Rules

As of October 2024 the Payment Systems Regulator requires UK banks to reimburse APP fraud victims up to £85,000 within 5 business days in most cases. Both the sending and receiving bank share the cost. This does not apply if you ignored warnings from your bank or were grossly negligent.