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MSP calls on banks to sign up to customer protection code

Stewart Stevenson MSP
Stewart Stevenson MSP

A north-east MSP has called for banks to sign up to the Customer Protection Code to save users from payment scams.

Stewart Stevenson, MSP for Banffshire and Buchan Coast, is urging finance bosses to join the scheme which aims to help people get money back in certain instances of fraud.

The code, which came into force in May, makes it easier for victims of authorised push payment (APP) fraud to get their money back and avoid life-changing sums of money being lost.

Recent figures from UK Finance shows that £354million was lost to bank transfer fraud in 2018, with only £83million of it recovered.

Mr Stevenson has written to the chief executives of several banks which are yet to sign up to the code, including Post Office Money, Tesco Bank and Co-operative Bank.

His letter urged them to offer a greater level of protection by implementing the code.

Mr Stevenson said: “The launch of the APP voluntary code in May marked a significant moment, bringing a new level of security from scammers.

“Individuals across Scotland must be protected from fraudsters and it’s incredibly concerning that not all bank and building societies guarantee refunds to APP fraud victims yet.

“All too often, victims of APP fraud are losing money to this type of crime and so I’m calling for urgent action from banks to help protect those affected.”