The media reports that Revolut refused to reimburse thousands of customers in the United Kingdom after how they were defrauded.
According to journalists, many of the mentioned consumers have turned to the UK’s Financial Ombudsman Service (FOS) for help. These actions are related to the search for the possibility of compensation for damages against the background of the lack of a satisfactory response from Revolut in the context of the relevant issue.
The media also published FOS data, according to which the number of new customer complaints about fraud increased by 35% in the second half of last year. It means information detected from Revolut clients. It is worth noting that there is no relevant data for a later period yet.
The mentioned figure is higher than that of any of Revolut’s competitors in the United Kingdom and local lenders. It is worth noting that London is currently fighting against authorized push payments fraud, or APP fraud. This type of fraud involves criminals tricking users into sending a payment to another account outside their control. In the United Kingdom, local regulators intend to roll out new rules requiring banks and financial companies to reimburse victims of specified fraud. At the same time, industry representatives argue that the new rules will be ineffective and expensive.
It is worth noting that anti-fraud tools that impose very serious and significant liability measures on banks and financial companies in terms of material consequences can potentially eventually become a negative factor for consumers. Lenders and firms, in an effort to minimize the likelihood of crimes and ensure their own protection from losses, may limit the possibility of making push payments or completely abandon this service. For users, the implementation of such a scenario will mean slowing down the process of making payment transactions.
A spokesperson for Revolut said in a media comment that the company takes fraud and the threat of customers being targeted by criminals incredibly seriously.
As we have reported earlier, Revolut CEO Demonstrates Optimism About UK Bank License Approval.
Serhii Mikhailov
Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.
