News & insights

PSR Consultation on APP Scam Reimbursement for CHAPS Participants

Written by Insight & Partnership Team | May 8, 2024 3:24:00 PM

The PSR proposes to direct banks and other payment firms operating through The Clearing House Automated Payment System (CHAPS) to reimburse their customers who have been victims of APP scams.

The reimbursement rule for fraudulent transactions made through the Faster Payments Scheme (FPS) comes into force on 7th October 2024. The new consultation aligns with the Bank of England’s previous announcement to introduce similar requirements for CHAPS transactions.

The consultation closes on 31st May 2024.