What is a Push Payment Scam?
Push Payment Scams are on the rise. If you have been tricked into sending money to someone, you may be able to claim it back. Authorised push payment scams or APP scams occur when a fraudster pretends to be an organisation or company you already deal with, or a friend or family member and request money be transferred to an account. They are highly cunning scammers and can be difficult to spot.
What is Section 75?
It is now widely known that section 75 of the Consumer Credit Act 1974 provides a protection to consumers who purchase goods or services using a credit card. For purchases over £100 but less than £30,000, section 75 assigns the same liability to the credit card company as the company who sold the goods or services. This means that if the goods or services were misrepresented to the consumer, or the contract was breached, the consumer can pursue the credit card company for the money.
Financial Ombudsman Service
This is an advantage to the consumer, as there is always the risk that a seller has no money to satisfy a debt; a credit card company will always have the ability to settle the debt. In addition, the consumer can pursue the credit company with the Financial Ombudsman Service (the “FOS”), a free service, rather than through the Courts.
Why is my bank involved?
However, there have been developments in the law regarding payments made directly from consumers’ bank accounts. The developing area of law requires that a bank must act with reasonable care and skill in carrying out its customer’s payment instructions. If the bank is put on inquiry that the instructions might be fraudulent, i.e. that the instructions are an attempt to misappropriate its customer’s funds, then the bank is under a duty to refrain from executing those instructions.
What should I do now?
If you have paid money out from your bank account and believe that you have been the victim of a fraud, please contract us for a free 30 minute consultation. It may be the case that you have given up ever getting back that money, but we may be able to help you. Don’t delay and call us today.
Sarah Waddington Solicitors
Sarah Waddington Solicitors do NOT work with any 3rd parties and are not working in partnership with any other companies. If you are told otherwise, please get as much detail as you can and forward it on to us. We will deal with it appropriately.
If you want any assistance please feel free to get in touch with us on 01920 481 499, or request a call back
Finally, remember any genuine solicitor will be extremely careful to manage a client’s expectations. They will be honest and realistic with what could possibly be achieved in regard to your individual case. If someone claiming to be a lawyer or solicitor has been in contact, be sure to do your research and check if they are regulated by the SRA and if the individual is registered as a solicitor.