On 19 December 2023, the Payment Systems Regulator (PSR) published a policy statement, PS23/4, on authorised push payment (APP) scams reimbursement. In this policy statement the PSR sets out the final detailed parameters of the new reimbursement requirement within Faster Payments and the legal instruments it is using to implement the policy. The PSR also confirms the policy start date of 7 October 2024.
The final detailed parameters of the reimbursement requirement policy include:
- Clarifying the consumer standard of caution exception, which narrows the consideration of gross negligence to four specific circumstances, including the requirement to have regard to interventions, prompt notification, responding to requests for information and police reporting. This exception does not apply to vulnerable consumers.
- Allowing sending payment service providers to apply an excess up to £100 to a claim under this policy, except for claims made by vulnerable consumers.
- Setting the maximum level of mandatory reimbursement at £415,000. This level applies to all consumers.