APP Fraud Reimbursement UK: Get Your Money Back From Your Bank

If you were tricked into sending money by UK bank transfer on or after 7 October 2024, your bank must normally reimburse you, up to £85,000, under the Payment Systems Regulator's APP fraud reimbursement requirement. Authorised push payment (APP) fraud is when a scammer persuades you to send the money yourself, for example by posing as your bank, the police, a builder or a romantic partner. You claim through your own bank, it should usually pay within 5 business days, and the Financial Ombudsman Service is there, free, if it refuses.

What counts as APP fraud

APP fraud is different from unauthorised fraud. In an APP scam you make the payment yourself because someone lied to you. In unauthorised fraud, someone else uses your card or account without your permission, such as a thief spending on a stolen card.

The PSR's consumer guidance describes APP fraud as covering UK bank transfers, where money moves from one UK bank account to another over the Faster Payments system or CHAPS.

Common forms include safe account scams, where a caller claiming to be your bank or the police tells you to move your savings; purchase scams for goods that never existed; investment and romance scams; and invoice scams, where a fraudster sends fake bank details for a real bill.

The reimbursement rules at a glance

The requirement comes from the Financial Services and Markets Act 2023, section 72, which told the Payment Systems Regulator (PSR) that it "must impose a relevant requirement" for reimbursement in qualifying cases. The PSR imposed it for Faster Payments, and the Bank of England did the same for CHAPS. Both took effect on 7 October 2024.

The 50:50 split is between the bank that sent your money and the bank that received it. That is the banks' arrangement, not yours. You deal only with your own bank, which the PSR calls the sending payment service provider.

Who pays you, and how fast

Your own bank or payment firm handles your claim and pays you, even though the scammer's account was somewhere else. The PSR expects reimbursement within 5 business days of the claim.

In certain circumstances the bank can stop the clock, typically to gather information. Even then, the PSR consumer page says the firm must reach an outcome within 35 business days.

The £85,000 limit and the £100 excess

The PSR set a maximum of £85,000 for Faster Payments and the Bank of England set the same figure for CHAPS. The PSR says this covers over 99% of claims. A bank can choose to repay more than the limit.

If you lost more than £85,000 and the bank does not repay the excess over the limit, you can raise that part of your case with the Financial Ombudsman Service.

Banks have the option of applying a claim excess of up to £100. Some may choose a lower figure or none. No excess can be applied to a vulnerable customer.

When a bank can refuse

The PSR policy allows only two exceptions to reimbursement. The first is first-party fraud, where the customer has acted fraudulently. The second is gross negligence, known in the rules as the consumer standard of caution exception.

The PSR's consumer page says gross negligence "is a high bar". If your bank relies on this exception, ask it to explain in writing why it says your conduct met that standard.

Neither the gross negligence exception nor the excess can be used against a customer the bank believes is vulnerable. If anything about your health or circumstances made you more vulnerable, tell your bank.

What the scheme does not cover

The PSR policy excludes several kinds of payment.

The civil dispute exclusion matters for anyone who paid a real but poor trader. If a legitimate business took your money and then failed to deliver or did bad work, that is a consumer dispute, not APP fraud.

Where money moved in several steps, whether it is covered depends on which steps went through Faster Payments or CHAPS. The PSR gives the example of a consumer who sends funds to their own account at a crypto exchange and then pays a fraudster in cryptocurrency: that falls outside the requirement.

How to claim, step by step

1. Contact your bank straight away. Use the number on the back of your card or in your banking app, not one given to you by the caller. Tell the bank you have been the victim of an APP scam and want to claim reimbursement.
2. Give the details. Note the dates, amounts, the account the money went to, and any messages, emails or call logs. Keep everything.
3. Report the crime. In England, Wales and Northern Ireland, report to Report Fraud at reportfraud.police.uk or on 0300 123 2040. Report Fraud replaced Action Fraud on 4 December 2025 and the phone number did not change. In Scotland, call Police Scotland on 101. Reporting gives you a crime reference number.
4. Claim within 13 months. The clock runs from the final payment in the claim. Sooner is better.
5. Tell the bank about any vulnerability. If the bank accepts you were vulnerable in relation to this scam, it cannot apply the excess or the gross negligence exception.
6. Escalate if refused. If the bank declines, pays only part, or does not answer, follow the Ombudsman route below.

If someone has also stolen your personal details, take the steps on our identity fraud page too, including checking your credit files.

Escalating to the Financial Ombudsman Service

The Financial Ombudsman Service is a free service, set up by Parliament, that settles complaints about financial businesses. The Ombudsman says a firm must reply to a complaint about a fraud or scam within 15 business days, with its final response. Only in exceptional circumstances beyond its control can it instead send a holding reply explaining the delay, and it must then send its final response within 35 business days (FCA rule DISP 1.6.2A). Under DISP 2.8, you can refer the complaint once that time has passed, or sooner if the firm sends you its final response.

You must normally refer the complaint within six months of the date the firm sent its final response, provided that response told you about the six-month limit. Separate outer limits also apply: six years from the event, or if later, three years from when you knew or ought to have known you had cause to complain. There are limited exceptions.

For complaints referred to the Ombudsman on or after 1 April 2026, it can award up to £455,000 where the firm's conduct happened on or after 1 April 2019, and up to £205,000 for older conduct. These limits are reviewed each April. Some older sources, including the PSR's own consumer page, still quote an older £430,000 figure, which applied to complaints referred between 1 April 2024 and 31 March 2025.

Beware recovery room scams

Scam victims are often targeted a second time. The FCA warns that recovery rooms "approach investors who have been scammed or had failed investments, offering to help them get their money back for an upfront fee."

The FCA says that if you have been asked to pay a fee or provide your bank or card details, you should end all contact immediately and not pay. It also notes that a report of fraud can be shared only between law enforcement agencies, never with a private business running a recovery room, and that neither the FCA, the Government, law enforcement nor law firms contact consumers from webmail addresses such as gmail.

You do not need a paid firm for an APP claim. The claim goes through your own bank, and the Ombudsman is free.

Is the PSR still in charge?

Yes, for now. The Government plans to consolidate the PSR into the Financial Conduct Authority, and the PSR's website says the two regulators are working together on the transition, so you may find a PSR matter is handled by FCA staff.

The legislation to do this, the Financial Services and Markets Bill [HL], has completed its House of Lords stages and, as of 25 October 2026, was awaiting second reading in the House of Commons. Until it becomes law and takes effect, the PSR still exists and the reimbursement requirement described here is unchanged.

Scotland, Wales and Northern Ireland

The reimbursement requirement is set by UK regulators for UK Faster Payments and CHAPS transfers, so the same claim rules apply whichever part of the UK you live in. The Financial Ombudsman Service handles the escalation.

What differs is police reporting. Report Fraud covers England, Wales and Northern Ireland. If you live in Scotland or the crime happened there, report it to Police Scotland on 101.

For more on your rights as a buyer, see the UK consumer rights hub. For the criminal side, see fraud offences.

Frequently Asked Questions

Will my bank refund me if I was scammed into making a bank transfer?

In most cases, yes, if the payment was made by Faster Payments or CHAPS on or after 7 October 2024. Under the PSR reimbursement requirement your bank must reimburse you up to £85,000 unless you acted fraudulently or with gross negligence. It may deduct an excess of up to £100, but not if you are vulnerable.

How long does my bank have to pay me back?

The PSR expects reimbursement within 5 business days of your claim. If the bank stops the clock to investigate, it must reach an outcome within 35 business days.

Is there a time limit for an APP fraud claim?

Yes. Your bank can refuse a claim made more than 13 months after the final payment. Report it as soon as you can.

What is the maximum APP fraud refund?

The limit is £85,000 per claim for both Faster Payments and CHAPS. A bank can choose to pay more. If more was lost and not repaid, you can take that to the Financial Ombudsman Service.

Does APP reimbursement cover card payments?

No. It covers UK bank transfers over Faster Payments and CHAPS. For card payments, look at chargeback, or a section 75 claim if you paid by credit card.

What does gross negligence mean for an APP claim?

It is one of only two exceptions to reimbursement, and the PSR describes it as a high bar. It cannot be used against a vulnerable customer.

Where do I report APP fraud?

In England, Wales and Northern Ireland, report to Report Fraud at reportfraud.police.uk or 0300 123 2040, which replaced Action Fraud on 4 December 2025. In Scotland, call Police Scotland on 101. Contact your bank first and fast.

What if my bank refuses my claim?

Complain to the bank. It has 15 business days to reply, or 35 business days in exceptional circumstances if it sends a holding reply. Once that time has passed, or once you have its final response, you can refer the complaint to the Financial Ombudsman Service for free. You normally have six months from the final response to do that.

Should I use a company that offers to get my scam money back?

You do not need to. The claim is made to your own bank and the Ombudsman is free. The FCA warns that firms asking for an upfront fee to recover lost money are often recovery room scams.

Has the FCA replaced the PSR?

Not yet. As of 25 October 2026 the Government plans to merge the PSR into the FCA and a Bill is before Parliament, awaiting second reading in the Commons. The PSR and its reimbursement rules remain in place.