Fraudulent banking transactions: Tell the FSA Consumer Panel your views

Former_MSE_Wendy

[title=http://images2.moneysavingexpert.com/images/dp/wtd_underline.gif] What's this about?[/title]
The FSA Consumer panel is charged with representing consumers to the regulator, the Financial Services Authority, and we've offered it space to ask questions and get feedback from you on issues to help with its work.


It would like to ask you about unauthorised transactions on your bank account (when you have money fraudulently taken from your account without your consent) ...

• Have you had someone take money from your bank account without your knowledge?
• When was this?
• What was your bank's response when you raised this with them?
• Did your bank refund the money taken?
• If you did get your money back how long did it take?
• Was the bank helpful in its response?
• What could, or should it have done better?

To feedback to the panel simply click reply

[title=http://images2.moneysavingexpert.com/images/dp/wtd_underline.gif] Why answering is worthwhile[/title]
The FSA consumer panel has a direct voice towards the regulator. By talking through your experiences both good or bad, it's a step towards getting things changed where needed and reinforcing good practice where it works. Although the Panel can't reply to individual comments or take up individual complaints it would appreciate your views.

One investigation MoneySavers helped with last year was into mortgage arrears, see the Mortgage Arrears Research (pdf) summary.

Important Note: Please keep to the specific topic requested, the aim is to get the info through directly, off topic posts will be deleted.

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Stargirl29

My partner and I are both with A&L and have both had fraudulent transactions although my partners were the most recent.

He noticed on a Wednesday that some money had gone out of his account without his consent, he rang the bank and informed them. His card was cancelled and he had the money back in his bank the next day. They were fantastic, and did some research into where the transactions originated from and seemed to find where it came from as it showed up on his bank statement within a few days.

They were just as organised with mine, I can't rate them highly enough!

sidsmum

So far, our bank has phoned us if our cards showed unusual transactions were coming in for payment. That is the Co-operative Bank and its internet offshoot Smile.

chattykathyblue

About 5 years ago just over £4000 disappeared from our LloydsTSB current account. Although we eventually got all our money back we were never satisfied with the bank's attitude. There was a presumption that it was something we had done wrong for instance given our passwords or pin to someone else! Lloyds offered us a free overdraft straight away but my beef with them was that we trusted our money to be safe with them and wanted reinstated into our account. This happened after their 'investigation' was over. No explanation of what happened was ever given to us despite numerous requests. How do we know it wasn't an 'inside' job?

littleorangelobster

I've had a terrible recent experience with A&L.

I received a Paypal receipt for a transaction I'd not made - actually pointing out I already had a Paypal account so clearly I'd not logged in to do it - and within 2 minutes was on the phone to A&L to get it stopped.

First CS rep refused to stop the transaction as 'it's already cleared' (it hadn't left my account yet and the payment had been made no more than 5 minutes before), was hugely argumentative and refused to put me through to the fraud department. Finally put me through to lost and stolen to get the card stopped, and the lady there was even less helpful and more argumentative, as was her superior who frankly was nothing short of useless. This was despite my being able to demonstrate that the payment was totally out of the ordinary (I use my cc for all 'normal' payments).

Payment was subsequently reversed; however the reversal was reversed two days later! In amongst all this I had a letter - not a phone call, when they certainly had my number - more than a week after the initial phone call, advising me that 'there's been some suspicious activity on your account...'

The payment's since been reversed again, but I've had to sign a letter to confirm that it was fraudulent, stating the payment would be reversed if the letter wasn't returned within 14 days of the date on the letter. Surprise surprise, the letter didn't show up until 10 days after the date on the letter...

While I have the money back for now, I'm very worried that it's going to disappear again at any moment because I've not met the latest arbitrary loophole I've not been informed of. While A&L's fraud team themselves have been alright, I feel like I've been treated like a liar by the others I had the misfortune of dealing with, simply for attempting to resolve an obvious fraud that anyone using their eyes would see was not legitimate.

(This is a little bit vague for space reasons, but I have a log of all the specific details; if it's of interest to anyone 'in the know', please PM me.)

the_gasman_2

I was recently duped of almost £2000. It was the bank (Natwest) that contacted me before I had realised the money was gone, which I have to say impressed me lots. I spoke to the police on several occassions who gave me a crime number which I passed onto the scammed retailers and the banks fraud team. The retailers were extremely helpful and thankful of the information I could give them and they reciprocated with info that they thought maybe of use to me including a copy of an irate phonecall made to customer services threatening to sue them for not delivering items to store.. Obviously the scammer didnt want to give his home address out. Needless to say he had created a whirlwind of disruption with my card. Having failed to have the items delivered to his addresses, he had them sent to me under a different name. So now I had these items to send back as well as all the phone calls to customer services, police and bank.

On the upside, The bank simply returned the money and told me they would take it from there, although they suggested speaking to the police. The police simply had better things to do and were not bothered and simply logged the details. I was told not to worry about what had happened and that this happens everyday. I now have a new card and await the next time I am ripped off.

Finally, last month my partner was ripped off for £550 she bought a remote control boat for dropping bait, allegedly. As a person who hates fishing you can imagine her attitude when asked , "If she was sure she hadn't bought it".

Luckilly for her the shop keeper smelled a rat and withheld the goods. Another success and both my Partner and shopkeeper. I have to say though that the Halifax building society were not too helpful and my partner was made to feel that she was the criminal. It took them 5 days to re-credit the funds and 7 days for a new card...

We now check accounts daily...:beer:

minuettoallegretto

I have frequently had items double-authorised on my Mint card, meaning that the balance is not available to spend elsewhere. When I've phoned about this, they have ranged from extremely helpful to extremely unhelpful, the most recent stating that it wasn't their problem, they would clear the second authorisation, but leaving me with the clear information that if that transaction subsequently went through, I would be over my credit limit and my card would be stopped. I found this upsetting, so now check my balance at least every other day - a true sign of a sad person!

Mark_In_Hampshire

MSE_Wendy wrote: »

It would like to ask you about unauthorised transactions on your bank account (when you have money fraudulently taken from your account without your consent) ...

• Have you had someone take money from your bank account without your knowledge?
• When was this?
• What was your bank's response when you raised this with them?
• Did your bank refund the money taken?
• If you did get your money back how long did it take?
• Was the bank helpful in its response?
• What could, or should it have done better?

This is mildly laughable. I can't resist:

Have you had someone take money from your bank account without your knowledge?

Yes

When was this?

On several occasions when I used to use direct debit - never since, though I did have one DD mandate appear on my account one day which was set up by someone else, and cancelled it before anything got paid;

What was your bank's response when you raised this with them?

"Nuffin to do wiv us. You need to speak to the payee"

Did your bank refund the money taken?

On occasions where money was taken yes. On occasions where the fraudulent DD failed, I remained liable for the bank charges even though I did nothing.

If you did get your money back how long did it take?

Same day

Was the bank helpful in its response?

No, not really

What could, or should it have done better?[/QUOTE]

The direct debit system needs designing - in particular, there needs to be a way to stop a direct debit using some kind of unique number to identify it, and a means of making sure the payee can't just set it up again without permission. The system is designed to ALLOW that, not PREVENT it.

The whole system is designed for the convenience of the payee and to make money for banks. It is deliberately insecure leaving the consumer with no real rights, as nobody is really responsible.

crocy1

• Have you had someone take money from your bank account without your knowledge?
• Yes
• When was this?
• 2006 and 2009 twice
• What was your bank's response when you raised this with them?
• First time they called me as there was irregular activity going on. The second time I noticed money missing and called, they cancelled my card, recredited my account with a pending enquiry and the third time a retailer took three amounts out of my account for 1 cooker and I called, they cancelled my card so the 3rd amount did not come out. When my fee came regarding going over my overdraft they took it off for me as I never go over my over draft,
• Did your bank refund the money taken?
• Yes
• If you did get your money back how long did it take?
• Either straight away (pending an enquiry) or within 2 weeks
• Was the bank helpful in its response?
• Very
• What could, or should it have done better?
• Nothing it was great

jondaro

Hi there, i got caught out in a now well known scam which the banks in fact aid in it's success; goes like this, a very proffessional ad for branded electrical goods / gadgets appears in both local and national papers, prices about 20% below retial so it doesnt appear too spurious; you ring to order, get told the credit card function is down and to send direct to a named bank account , (in my case a mr Maliki using a natwest account)and given the sort and ac no; do this and lo and behold the goods never appear; when you chase it up with your bank, hsbc in my case, they check and yes on enquiring tell me that the money transfer was accepted by Nat west, even though the actual account was for a mrs smith, an innocent party who was also caught up in this scam as she had a small fortune clear thru her account and be subsequently transferred on. My question is firstly why does a bank accept a transfer when the payee clearly doesnt match the receiving acccount and why have they refused to refund me? Apparently close on £4 million quid was scammed in tyhe case I was caught up in. Loss to me £58; response by the banks; Priceless!


Be warned!
J

pjc1066

I dealt with missing money from my mothers account. From the time it happened to the bank denying responsibility, having had to write to CEO it took 6 months, they never offered any proof that it was my Mothers Fault - then had to take it to the ombudsman and unfortunately in this period my Mother passed away. Ombudsmen would not look at this as they stated I needed to supply a probate license even though due to the amount in the estate by Law I did not require it, Complained to independent assessor who stated Ombudsman was following FSA guidelines. Called FSA who did not want to deal direct with me and referred me back to Ombudsman. Now given up as cost and time for probate a year on will not guarantee a refund. System is a sham and massively in favour of the banks