On-Demand: 12 Months of APP Fraud Reform

12 months on from the launch of the Payment System Regulator’s (PSR) groundbreaking APP fraud split reimbursement model, and much of the impact is well documented.

The financial services industry has seen a shift towards higher volume, lower value scams. Victim reimbursement has become faster.

The initial concerns around a significant rise in claims have not yet fully materialised, but we are seeing an increase quarter-on-quarter, and neither has the expectation that consumer behaviour would fundamentally shift, with customers becoming noticeably less risk-averse.

But what has the impact been on banks and other PSPs? And what are the key strategic considerations for the next 12 months?

We met with NatWest and UK Finance to explore:

• What new gaps are fraudsters seeking to exploit since PSR rules took hold?
• How are organisations balancing the need to protect themselves from fraud with their duty to support vulnerable customers and comply with Consumer Duty?
• Mule treatment strategies and how firms are reporting on fraud while trying to avoid de-banking genuine victims.