Table of Contents
Many online scams target consumers these days and their numbers are not likely to decrease.
From fake online shops to phishing hacks, online scams can take different forms.
Many crooks also disguise themselves as honest service providers and prey on people’s money and trust.
So, what can you do if you become the victim of a scam?
What happens to your money once you make a transfer, and the scammer disappears?
Here are a few useful tips and facts on this topic.
What to Do If You Lose Money to Scammers
Did you realize someone simply stole money from your bank account?
This is possible if you registered it on a phishing website.
Alternatively, you could have paid a fraudster who never gave you anything in return.
Here is what you should do right after you identify the fraud:
- Contact your bank right away. Let them know what happened and which transaction was the fraudulent one.
- Highlight that this was an unauthorized transaction you were not informed of or a fraudulent one.
- Change your account login details immediately if you believe your account was hacked. This goes both for the website you believe led to the theft and your internet banking account.
When talking to the bank, explain what’s happened and ask if you can get a refund.
Additionally, report the scam to the relevant authorities.
What You Shouldn’t Do
Conversely, there are a few things you should avoid in the aftermath of a scam. Even if these are the first that come to your mind:
- Don’t panic and start getting into a fight with the scammer
- Avoid replying altogether, even if the scammer is pushy
- Don’t wait for too long to report the incident
- Don’t make further payments even if the scammer threatens or promises you a refund
Practical Approaches to Getting Your Money Back
Ask for a chargeback
This is the ideal solution in case money vanishes from your account.
Some banks allow clients to ask for a chargeback.
You may ask for one if you made a payment to the wrong account or a fraudulent one.
Nonetheless, there is usually a limited time frame to do this.
So, contact your bank immediately and ask if it’s possible to get a chargeback.
Work with a fund recovery company
This is another solution that may or may not be available in your country.
If such specialists exist, it’s worth contacting them.
These firms specialize in different types of fraud. From fraudulent bank transfers to illicit platform payments or cryptocurrency payments, they cover it all.
After you provide them with more details, they’ll start investigating your case.
These companies rely on financial experts who know the laws and cybersecurity specialists.
If they manage to find the scammer, they will pressure that person to retrieve your money.
A Little-Known Solution Available in the UK
Few consumers know there is another legal solution to get a refund for scams, at least in the UK.
This solution looks like a well-kept secret the banks don’t really want people to know about.
Thousands of consumers fall victims to online scams each year.
Consequently, the amounts of money they’re entitled to as a refund would be significant.
Hence, it’s understandable why banks don’t promote this solution.
However, it is also worth highlighting that this potential solution isn’t free. People who fell for a scam need to pay more than £100 to access it.
This is the fee that enables UK consumers to receive a document.
The valuable document allows them to understand if and how they can make a refund request.
The Code of Practices
This might seem like a novelty, but it isn’t. In fact, the procedure has been available since 2017.
That year, the industry code established rules on how payment providers need to protect clients from fraud.
The document in question is called the British Standards Institution’s (BSI) code of practices.
However, it is currently not available online and you can get it by paying a fee.
In the code, you can discover when payment providers owe you a refund for fraud.
In short, the code states that financial institutions should exercise care regarding their customers.
It describes how banks have a legal obligation to protect their clients against fraud.
Therefore, they should apply strict measures to detect and prevent fraud.
For example, they can track unusual spending increases or large withdrawals that might indicate fraud.
Such measures can also include transfers to foreign banks, which are often linked to online fraud.
Over the past years, this document has helped fraud victims get refunds from their banks.
Unfortunately, it seems that not enough people are aware of it. Moreover, this comes at a time when online fraud has become more intense than ever.
A time when authorities need to adopt stricter rules to protect citizens.
This article is property of Clearwater Management. All rights reserved.
