Financial fraud figures increase by over 25% as a result of UK banking scams

In 2015, remote banking fraud increased the most, and costs customers over £168 million, reports Financial Fraud Action UK.

Financial fraud costs customers and UK institutions around £755 million in 2015 – this is an increase of 26% compared to 2014. Banking fraud saw the largest increase out of all other types of financial fraud: an increase of 72%. For this type of fraud, scammers pretend to be bank staff to fool people into sending them money using online banking.

In most cases, banks refuse to refund customers by arguing that these payments were made to the fraudsters voluntarily. Victims reported to The Guardian that the police have “not been interested in investigating such cases even though the losses have been as much as £25,000”. Last month, the home secretary, Theresa May, announced the creation of a new taskforce to crack down on fraud in the UK.

You are more likely to be approached by banking fraudsters over the phone than online. Scammers are using increasingly sophisticated tactics to steal money and personal details.

Losses to UK payment cards remain the biggest areas of fraud: totalling £567.5 million in 2015 (an increase by 18% on the previous year).

If you have been a victim of fraud report this to the police on the Action Fraud website (http://www.actionfraud.police.uk/report_fraud) or by calling Action Fraud on 0300 123 2040. Inform your bank as soon as possible, as this makes it more likely that banks will be able to help get your money returned.

Read the rest of The Guardian article here.

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