Protecting you is our priority
On 7 October 2024 new fraud rules will come into effect in the UK. Learn more about what they mean for you.
What’s happening?
The Payment Systems Regulator (PSR) is introducing new rules so that all banks and building societies have a consistent approach to dealing with customers who fall victim to Authorised Push Payment (APP) fraud. The rules mean you may be eligible for a refund of up to £85,000 if you are tricked into making a fraudulent payment.
What is Authorised Push Payment fraud?
Authorised Push Payment scams happen when someone fraudulently tricks someone else into making a payment by Faster Payments or CHAPS to a fraudster. For example, they might claim to be from your bank and ask you transfer money to a new account to keep it safe.
What do the new rules mean for me and my savings?
From 7 October, if you fall victim to APP fraud, Saffron Building Society will:
• Refund eligible fraud claims up to a maximum of £85,000
• Put the money back in your account within 5 working days of your claim being successful. For more complex cases, this can take up to 35 working days.
Under the new rules banks can ask you to pay an excess of up to £100 per fraud claim, however Saffron Building Society won’t apply this excess to any claims.
What don’t the new rules cover?
Importantly, there are circumstances where you will not be eligible for reimbursement under the new rules. It is important you understand these exceptions:
• Payments that aren't Faster Payments or CHAPS. For example, these could be cash withdrawals, BACS, cheques and international payments
• Payments made into an account you control outside of Saffron Building Society. For example, this could be a current account that is linked to your Saffron savings account (i.e your nominated bank account)
• Where you’ve paid for something that hasn’t turned out as you expected it – this is deemed a purchase or civil dispute
• Payments sent or received by credit unions, municipal banks or national savings banks
• Fraud cases that are more than 13 months old at the time you report it
• Any claims for payments made before 7 October 2024
• If you were involved in committing the fraud.
What else must I know?
These new rules are designed to protect innocent victims of fraud. However, we might not be able to refund you if you don’t take common-sense precautions when transferring money.
The Payment Services Regulator has defined what this means in its Consumer Standard of Caution. You can read their guidance document here.
The four main principles you must be aware of are:
• Pay attention to any warnings or guidance given by us prior to making your payment, for example; to check the identity of the payment recipient before making the payment
• Report the fraud quickly after you have become aware of it
• Share with us all necessary information for the fraud claim investigation
• Report the fraud to the police, or allow the building society or bank to report it on your behalf
We’ll take into account your personal circumstances at the time the fraudulent payment was made, including the steps you’ve taken under the Consumer Standard of Caution. We’ll also consider any other information we’ve received, for example, from the sending or receiving bank, or from the police.
How can I avoid being a victim of payment scams in the first place?
By remaining vigilant, you can help avoid being a victim of a scam. Here are three key things to remember:
• Check the recipient's details
When you make a payment, you should make sure that you’re paying the right person. A fraudster might tell you to send money to an account by email, text, or phone. To check the name, account number and sort code are genuine, always get them from a website or document you trust and ensure they match the recipient you were expecting to pay. If in doubt, call or visit the intended recipient to check the details before you make the payment.
• Use another payment method
Fraudsters will often ask you to pay for goods and services by bank transfer. This is because they know that it makes it harder to recover the money. You could be dealing with a scammer if they won’t let you pay by card or any other way that protects your money, like PayPal.
• Never feel rushed to make a payment
Scammers put you under pressure to make the payment quickly. Take your time and if in doubt, don’t make the payment.
If you would like more information on how to protect yourself from this type of fraud, visit the Take Five to Stop Fraud website here.
How do I make a claim or find out more?
You can make a claim by;
• Calling us on 0800 072 1100
• Emailing us: saffron.direct@saffronbs.co.uk
• Visiting one of our branches
• Writing to us at: Saffron Building Society, Saffron House, 1a Market Street, Saffron Walden, Essex, CB10 1HX
• Sending a secure message via internet banking
• Using our Web chat via www.saffronbs.co.uk
• Messaging us through our website via our Contact us page
To find out more about the APP fraud rules, visit the Payment Systems Regulator’s web site by clicking here.
What is the deadline for submitting an APP fraud claim?
You must submit your claim within 13 months of the final fraudulent payment.
Will there be any changes to my account?
In addition to implementing these new rules across our staff and systems, we’ll be updating the Savings Terms & Conditions that apply to your account to reflect these new fraud rules. You will receive notification of the new Terms & Conditions no later than 9 April 2025. You can still make a claim under the new rules from 7 October 2024.
