Santander - and maybe other banks requiring renewed verification for mobile banking

Section62

https://forums.moneysavingexpert.com/discussion/comment/82135883#Comment_82135883

It reminds me a bit of an episode of Paddington Bear I watched as a kid in the 70s. Paddington goes into a bank and deposits £5. Later he
returns and withdraws his £5, yet because it's not the same note he gave them originally, he complains.

I think I remember that one… doesn't the bank manager (stereotypical - white man, balding, glases, stiff upper-lip) end up giving Paddington some compensation to make him go away?

I've just realised watching this traumatic event may have led to my later-life propensity to complain when banks and other financial service providers stuff up.

GeoffTF

Legally it appears that if you deposit money with a UK bank, the bank becomes the owner of that money and you become an unsecured creditor:

https://hansard.parliament.uk/commons/2010-09-15/debates/10091526000008/FinancialServices(RegulationOfDepositsAndLending)

Nonetheless, if the money is deposited in an easy access account, the bank has to repay you on demand. You have FSCS protection if the bank is not able to do so (unless you are over the limit).

I would not want to be a victim of fraud, even if the bank eventually compensates me. I also do not want organised crime to be given free rein. Money that banks pay in compensation eventually result in lower savings rates or higher borrowing costs (or reduced freebies). I would not want that either.

friolento

I also do want organised crime to be given free rein

I suppose you left off a “not” by mistake? 😉

GeoffTF

https://forums.moneysavingexpert.com/discussion/comment/82136256#Comment_82136256

Yes indeed. I have corrected it.

Chief_of_Staffy

https://forums.moneysavingexpert.com/discussion/comment/82135924#Comment_82135924

I'm at a loss for words, so…

Chief_of_Staffy

https://forums.moneysavingexpert.com/discussion/comment/82136199#Comment_82136199

"Nonetheless, if the money is deposited in an easy access account, the bank has to repay you on demand"

Subject to a list of vague conditions, but broadly speaking, yes.

"I would not want to be a victim of fraud, even if the bank eventually compensates me."

As you admitted earlier, it's no longer your money, so there is no possibility of you being the victim of fraud.

eskbanker

Despite all the legislation, regulation and associated processes, there is still a significant amount of fraud where the victim is undeniably the customer rather than the bank - taking APP scams for example, these totalled circa £500m last year, of which 'only' about 64% was reimbursed to the customer.

Eco_Miser

https://forums.moneysavingexpert.com/discussion/comment/82137294#Comment_82137294

Since the fraudster has reduced the victim's credit at the bank, they are still the victims of fraud. The bank may, or may not restore that credit after an investigation.

GeoffTF

https://forums.moneysavingexpert.com/discussion/comment/82137661#Comment_82137661

The bank is not likely to refund your money instantly, which can be a serious problem for many people. It is also possible that you will be disadvantaged in some other way. I know someone who told me that he had been scammed twice and the bank had put so many restrictions on him that it was impossible for him to do anything. I few months later he told me that he had been scammed a third time.

GeoffTF

APP scams reimbursement dashboard for Q1 2026:

https://www.psr.org.uk/information-for-consumers/app-scams-reimbursement-dashboard/

APP fraud performance data:

https://www.psr.org.uk/information-for-consumers/app-fraud-performance-data/

I use banks that are near the top of the table for compensating victims of APP scams. They are also near the bottom of the table for hosting APP scammers. They are good for honest customers and bad for scammers. Santander scores well on both counts.