Whilst The Payments System Regulator announced it will consult on ways to compensate those who are duped into sending cash online to fraudsters it really does pay to try to be one step ahead.
Double checking the sort code and account number only with the intended recipient (that you know to be true) will help ensure you do not fall foul to a fraudster masquerading as the legitimate solicitor, builder, shop etc.
As I understand it the Sort Code and Account Number are only cross-checked by a bank when making a transfer and not routinely the name. So if you are planning on paying ABC Limited £20k for building works and you apparently receive an email or text from them asking you to make payment in their name but to a different sort code and account number this should send alarm bells ringing!
Making a big payment to a builder, solicitor or friend through online banking? Double-check the account number and sort code before you hit send, because you are still unlikely to get any money back if it goes straight into the hands of a criminal, despite moves by the regulator to crack down on what is known as push-payment fraud. The Payments System Regulator announced this week that it will consult on ways to compensate those who are duped into sending cash online to fraudsters. It also wants to make it harder for them to open bank accounts to collect their illegal earnings.