Authorised Push Payment Fraud Refund: Your Rights After a Bank Transfer Scam
Since 7 October 2024, an authorised push payment fraud refund is no longer a favour — it’s a legal right. If you were tricked into sending money to a scammer’s UK account, your bank must reimburse you up to £85,000 in most cases, with the cost split 50/50 between your bank and the receiving bank.
Before these rules, victims recovered money mainly when their bank felt generous or had signed a voluntary code. Plenty of people lost life-changing sums with identical stories and got nothing. The mandatory scheme closed that lottery — but you still need to act fast and make the claim properly.
Step One: Call 159, Then Your Bank
The moment something smells wrong — even before you’re sure — stop and dial 159. This free service connects you directly to your bank’s fraud team and works for most major UK banks. Speed matters twice over: your bank may be able to freeze the money at the receiving end before the scammer moves it, and reporting promptly is one of the conditions of the refund scheme.
Then do three things: change your online banking password from a clean device, keep every message, screenshot and phone number connected to the scam, and write down a timeline while it’s fresh. That evidence pack becomes the backbone of your claim.
How the Mandatory Reimbursement Scheme Works
- Cap: £85,000 per claim — enough to cover the vast majority of cases in full.
- Excess: your bank may deduct up to £100, but never from vulnerable customers, and many banks waive it anyway.
- Speed: most valid claims must be refunded within 5 business days; complex cases can take up to 35 days while the bank investigates.
- Deadline: you have 13 months from the payment to claim. Miss the window and the automatic right disappears.
- Scope: Faster Payments and CHAPS transfers between UK accounts. The cost is shared equally by the sending and receiving banks.
What Isn’t Covered (Read This Before You Send Money)
The scheme protects you from criminals — not from bad decisions. Claims can be refused if the bank proves gross negligence, a much higher bar than ordinary carelessness, and vulnerable customers are protected from that test entirely. Outside the scheme: payments you made by card (use chargeback or Section 75 instead), cash withdrawals handed to a courier, international transfers, most crypto purchases, and genuine civil disputes — a builder who did shoddy work is a court matter, not fraud under these rules.
One more catch: if you ignored a specific, personalised warning from your bank about that exact payment, the bank may argue you failed the “consumer standard of caution”. Generic pop-ups you clicked through don’t count — the warning has to be tailored to the transaction.
If Your Bank Says No
Ask for the refusal in writing, with the exact reason. Then complain formally to the bank; if you’re still unhappy after their final response (or eight weeks), take the case to the Financial Ombudsman Service — it’s free, and it overturns bank decisions in a healthy share of cases. Never pay a claims firm a percentage to do this for you; the process is designed for consumers to use directly.
Five Habits That Stop APP Fraud Cold
Refunds are a safety net, not a strategy. Most APP scams share tells: pressure to pay now, a “safe account” story (your bank will never ask you to move money), new payee details sent by text or WhatsApp, and callers who object to you hanging up. Always call back on the number on your card, always use Confirmation of Payee name checks, and treat any instruction to lie to bank staff as proof of a scam — real banks never ask that.
The Bottom Line
Tricked into a transfer? Call 159 immediately, claim under the mandatory scheme, and expect up to £85,000 back within days in a straightforward case. The rules finally favour victims — but the 13-month deadline and the gross-negligence test mean the claim still has to be done properly.
FAQs
Authorised push payment fraud refund: how long do I have to claim?
You have 13 months from the date of the payment to claim an authorised push payment fraud refund under the mandatory scheme. Claims made after 13 months lose the automatic right to reimbursement, although banks may still consider older cases and the Financial Ombudsman can review complaints about how they were handled.
How much can I get back after a bank transfer scam?
The mandatory scheme reimburses eligible authorised push payment fraud up to £85,000 per claim, shared equally between the sending and receiving banks. Your bank may deduct an excess of up to £100, except from vulnerable customers, and most straight-forward claims must be paid within five business days.
Does the refund scheme cover payments to overseas accounts?
No, the mandatory reimbursement scheme only covers payments between UK bank accounts made by Faster Payments or CHAPS. Transfers to overseas accounts, card payments, cash withdrawals and most cryptocurrency purchases fall outside it, though card payments may be recoverable through chargeback or Section 75 instead.
What is the 159 phone number for?
Dialling 159 connects you securely to your own bank’s fraud team when you receive a suspicious call, text or payment request. It is the fastest way to report authorised push payment fraud, freeze further transfers and start a refund claim, and it works for customers of most major UK banks.
Can my bank refuse a refund if I ignored a warning?
A bank can refuse reimbursement if it proves you were grossly negligent or ignored a specific, personalised warning about that exact payment. Generic on-screen warnings are not enough on their own, vulnerable customers are exempt from the standard, and you can challenge any refusal through the free Financial Ombudsman Service.
