How to Claim Lost Money in Faster Payments Fraud

Introduction 

Faster Payments has changed the way we transfer money in the UK. It allows people to move funds almost instantly, making life easier for businesses and individuals. But while this speed is convenient, it has also created serious risks. Fraudsters have been taking advantage of Faster Payments to trick people into transferring money to criminal accounts. Many victims feel helpless when their money disappears in seconds, yet there are ways to fight back. This blog explores real case studies of victims who managed to claim lost money Faster Payments fraud and rebuild their financial confidence. 

Case Study 1: A Retired Teacher Scammed Through a Fake Bank Call 

Mrs. Wilson, a retired teacher from Manchester, received a call one morning from someone claiming to be from her bank’s fraud department. The caller knew her name, address, and partial account details, which made the situation sound convincing. He told her that criminals were trying to access her savings and that she needed to transfer money into a “safe account” immediately. 

Within minutes, she used Faster Payments to send nearly £12,000. Later, when she realised it was a scam, the money had already vanished. At first, the bank refused to refund her, saying she had “authorised” the payment. But with the help of consumer advice groups and persistence, Mrs. Wilson was able to claim lost money Faster Payments fraud under the voluntary reimbursement code. This case showed that even vulnerable people can get their money back if they fight for their rights. 

Case Study 2: A Young Professional Targeted Through a Fake Investment Opportunity 

James, a 28-year-old IT worker, saw an advert online for a cryptocurrency investment that promised high returns. The website looked professional, with testimonials, certificates, and a live chat. Excited about growing his savings, James transferred £7,500 through Faster Payments into the account details he was given. 

Within days, the website stopped responding, and his login no longer worked. He realised it was a scam. Initially, the bank said it was his responsibility since he willingly made the payment. However, James filed a complaint and explained how professional the fraud looked. He also showed that the scam was part of a wider criminal network reported to the Financial Ombudsman. Eventually, the bank accepted partial responsibility and refunded £5,000. His case proved that documenting every detail helps claim lost money Faster Payments fraud even when the bank resists. 

Case Study 3: A Small Business Owner Deceived by Invoice Fraud 

For small businesses, invoice fraud has become a serious threat. Sarah, who runs a catering company, received what looked like a regular invoice from one of her trusted suppliers. The email looked identical to her supplier’s usual format, including logos and bank details. The only difference was that the bank details were altered by criminals. 

Believing the invoice was genuine, she transferred £18,000 via Faster Payments. A week later, her actual supplier asked why the invoice hadn’t been paid. That was when Sarah discovered she had been tricked. She quickly reported it, and after an investigation, her bank recovered a portion of the funds. The Financial Ombudsman later ruled in her favour, forcing the bank to repay the rest. This shows that even businesses can claim lost money Faster Payments fraud if they report quickly and provide clear evidence. 

Case Study 4: A Student Scammed by a Fake Job Offer 

Mark, a university student, was desperate for part-time work. He applied for a job through an online portal and was offered a role as a “payment processor.” The so-called employer asked him to receive money into his account and forward it to another account using Faster Payments. Mark believed he was doing legitimate work, but soon he realised he was being used as a “money mule.” 

When his account was frozen, he faced losing £3,000 of his own money that he had transferred as part of the scam. At first, the bank refused to refund him because they said he was complicit. However, with legal help, Mark proved that he was a victim and not a willing participant. His persistence allowed him to claim lost money Faster Payments fraud and also avoid long-term damage to his banking record. 

Key Lessons from These Cases 

These stories highlight a few important lessons. First, acting quickly is essential. Reporting the fraud as soon as it is discovered increases the chance of recovering funds. Second, keeping evidence such as emails, screenshots, and phone numbers used by scammers can strengthen your case. Third, persistence matters. Banks may initially refuse refunds, but by filing formal complaints or involving the Financial Ombudsman, victims can often claim lost money Faster Payments fraud successfully. 

The Role of the Contingent Reimbursement Model Code 

In 2019, UK banks introduced the Contingent Reimbursement Model (CRM) Code, which provides guidelines on how victims of Faster Payments fraud should be treated. If customers are not to blame, they may be eligible for reimbursement. However, not all banks signed up for the code, and not all victims are covered. The case studies above show how the code works in practice and why it is important for victims to push their claims. 

Practical Steps for Victims 

If you have been scammed, there are several practical steps you should take immediately. First, contact your bank as soon as possible and explain what happened. Second, request that they contact the receiving bank to freeze the funds if possible. Third, if the bank refuses to help, file a formal complaint. Finally, if you still do not receive support, escalate the matter to the Financial Ombudsman. These steps increase your chances to claim lost money Faster Payments fraud and avoid further harm. 

Final Thoughts 

Faster Payments has made life easier for millions, but it has also created opportunities for criminals. Victims often feel embarrassed or blame themselves, but these case studies prove that recovery is possible. With persistence, clear evidence, and knowledge of consumer rights, many people have managed to claim lost money Faster Payments fraud and rebuild their financial security. 

If you or someone you know has fallen victim to such scams, remember that you are not alone. There are legal rights, consumer protections, and support networks available. The key is not to give up. Every story of recovery helps shine a light on the issue and protects others from falling into the same traps.