Which? warns that criminals are adopting new tactics by pressuring victims into approving payments, blurring the lines between authorised transactions and fraud, and complicating recovery efforts despite evolving reimbursement rules.
Which? has warned that fraudsters are shifting tactics in a way that could leave some card users more exposed, as criminals increasingly pressure victims into approving payments rather than sending money themselves. The consumer group said the pattern resembles authorised push payment, or APP, scams, but with a crucial difference: the payment is made by card and may fall into a more awkward area when people later try to recover their money. UK Finance says APP reimbursement rules now cover transfers made from 7 October 2024, but those protections do not automatically extend to every card-based scam.
The concern is that victims may believe they are stopping fraud when they are actually authorising it. Which? said a common tactic is for a caller to pose as a bank security worker, police officer or regulator, then insist that an account is under attack and that the customer must approve a card payment, share a one-time code or move money to a supposedly safe account. Moneycorp, HSBC UK and other banking guides describe similar patterns in APP scams, where victims are manipulated into sending money they think is being protected.
Which? said the legal route to a refund can be less straightforward when a person has genuinely authorised the transaction, even if a criminal engineered that authorisation through deception. The group said chargeback and Section 75 are aimed mainly at unauthorised payments, non-delivery, faulty goods or misrepresentation, which means some victims may face a harder fight if the money reaches a legitimate company first and is then siphoned off by criminals. ICICI Bank UK and CAF Bank both note that APP rules now set out a formal reimbursement process, but that framework is specific to APP fraud rather than every card-related loss.
Lisa Webb, Which?’s consumer law expert, said the situation was a “critical wake-up call” after years of focus on bank-transfer fraud. The Financial Ombudsman Service said it is still seeing hundreds of fraud cases a week and has noticed more complaints involving debit or credit cards or money moved into accounts that the victim controls. UK Finance and the Financial Conduct Authority both urged consumers to distrust unexpected calls, never share one-time passcodes and hang up before calling their bank back on a trusted number.
Disclaimer: This article is intended to inform and educate, not to recommend or endorse any financial product, investment or strategy. Please consider your own financial circumstances and seek professional advice where appropriate before making financial decisions.
