Payment providers have failed to reach a deal on how to refund blameless victims of bank transfer scams, according to an industry body.
Pay.UK announced there was currently"no industry consensus" on the financing of a central fund to reimburse those who lost out in so-called authorised push payment fraud. This is when a person or business is tricked into transferring money directly into a fraudster's bank account, often because the criminal is posing as a legitimate organisation such as a bank, the taxman or police.was established by banks in May following complaints - led by the consumer group Which? - over their refusal to compensate those who lost out through no fault of their own.
Pay.UK said that among the banks' wider concerns was that creating a shared, central fund could also dampen individual incentives to invest in fraud controls.