Navigating the Evolving Landscape : The Data Protection and Digital Information Bill 2023-24
The Data Protection and Digital Information Bill 2023-24 represents a transformative shift in the evolving legislative landscape governing data protection. Introduced in the House of Commons, the bill aims to create a comprehensive and adaptive regulatory framework for the digital era. It builds on the 2022-23 session's Data Protection and Digital Information (No. 2) Bill, receiving Royal Assent in June 2023. As organisations prepare for the paradigm shift, proactive strategies and compliance measures become crucial. The bill signifies a forward-looking approach, fostering transparency, protecting individual rights, and fortifying digital landscapes for a resilient and secure future.
Unravelling SD20 : Insights for Faster Payments
Specific Direction 20 (SD20), introduced by the Payment Systems Regulator (PSR) in December 2023, outlines a reimbursement mandate for victims of Authorised Push Payment (APP) scams in the Faster Payments Scheme. This directive, effective from October 7, 2024, necessitates full reimbursement from all Payment Service Providers (PSPs). While SD20 aligns with the broader goal of combating financial fraud, challenges arise, particularly for Electronic Money Institutions (EMIs) and smaller PSPs. Proactive risk mitigation, robust fraud prevention measures, and strategic planning are imperative for industry players to navigate the regulatory landscape, fortify resilience, and ensure compliance with SD20.
Empowering Futures: CFIT Open Finance Coalition’s Vision for Financial Transformation
The Centre for Finance, Innovation, and Technology's (CFIT) Open Finance Coalition envisions a transformative financial landscape beyond Open Banking. The initiative aims to empower individuals and SMEs by providing a holistic view of financial ecosystems. Anticipating a 1.5% GDP surge in the UK by 2030, Open Finance is positioned as an economic growth catalyst with an estimated annual benefit of £27.8 billion through personal data sharing. For SMEs, the focus is on overcoming credit access challenges and improving cash flow management. The coalition identifies over 30 datasets crucial for financial transformation, emphasising the data revolution's significance.
Unveiling Confirmation of Payee: A Step-by-Step Guide to Setting Up Confirmation of Payee for your Financial Institution
This guide provides a strategic roadmap for financial institutions aiming to enhance payment security through Confirmation of Payee (CoP) implementation. Highlighting its pivotal role in combatting APP fraud, the guide outlines key steps: building a business case, engaging crucial bank teams, and deciding on a build versus buy strategy. It advocates an API-first approach for seamless integration, emphasises data integrity through cleansing, and underscores the importance of clear communication channels and proactive customer education. It offers a concise, strategic approach to fortify financial transactions, ensuring heightened security and upholding the industry's trustworthiness.
Strategic Imperatives for Banks in Tackling the Dual Challenge of APP Fraud: Sending and Receiving Fraudulent Payments
Payment Systems Regulator (PSR) initiated transformative measures to address the surging threat of Authorised Push Payment (APP) fraud within the UK's faster payments system. This article delves into the complex landscape banks face in sending and receiving fraudulent payments. With APP fraud causing over £480 million in losses to 200,000 consumers in 2022, the PSR's forthcoming rules, effective October 2024, introduce a paradigm shift. The PSR's three-pronged approach focuses on consistent reimbursement, enhanced victim protection, and incentivising proactive fraud prevention. Banks grapple with operational challenges, emphasising the need for collaboration, enhanced capabilities, and adaptability in navigating the evolving regulatory landscape.
Exciting Transparency Initiative – PSR APP fraud performance data!
For the first time, the Payment Systems Regulator (PSR) unveils a ground-breaking transparency initiative, sharing comprehensive data on Authorised Push Payment (APP) fraud. This data allows users to assess their banks' performance in reimbursing victims and handling fraudulent transactions, empowering informed decisions. The report recognises leaders like TSB and Nationwide, praising their commitment to customer protection. It delves into various metrics, revealing trends, challenges, and priorities across different financial institutions, shedding light on the complex landscape of APP fraud in the UK.
FCA’s findings from review with a focus on APP Fraud
The Financial Conduct Authority (FCA) released a report recently titled, “Anti-fraud controls and complaint handling in firms,” with particular attention paid to Authorised Push Payment (APP) fraud. This study included current account providers, challenger banks and payment firms among its participants. While the FCA identified effective control frameworks and best practices, it also identified various […]
Insights from the Future of Payments Review Report- Open Banking’s Role in Shaping Tomorrow’s Economy
Explore insights from Future of Payments Review Report, delving into dynamics shaping the UK's future payments landscape. The success of contactless payments and the growth of digital wallets highlight the nation's leadership in digital adoption. However, challenges persist, such as merchant dissatisfaction with card costs, a consumer protection gap in Open Banking, and the absence of a unified National Payments Vision. A balanced, consumer-centric approach is the need of the hour, calling for seamless experiences, Open Banking advocacy, and regulations fostering innovation. In our ever-evolving financial landscape, let's strive for efficiency, inclusivity, and security in shaping a digital economy.
Elevating the Fight Against APP Fraud: Crafting a Robust Business Case for Confirmation of Payee
Amid the dynamic landscape of digital banking, Confirmation of Payee (CoP) emerges as a strategic imperative, transcending mere compliance. As the Payment Systems Regulator (PSR) mandates reimbursement requirements for APP fraud victims in 2024, the urgency to adopt CoP becomes apparent. Unveil how this robust shield against fraud translates into tangible Return on Investment, fortifying trust, exceeding regulatory standards, and orchestrating an operational symphony. Crafting a business case for CoP is not just a necessity; it's a pivotal step in fortifying your institution in a dynamically evolving financial landscape.
Alarming Increase in UK Fraud Cases: A Call to Action
The UK faces an alarming surge in fraud cases, with consumers losing £580 million in H1 2023. Instances of romance scams and identity theft rose sharply, while APP fraud increased by 22%. Despite a 35% drop in impersonation cases, digital deception via online platforms and telecommunications remains prevalent. Collaboration across sectors, involving tech and social media companies, is crucial to combat fraud, raise awareness, and ensure consumer protection. The rise of social media as a deception medium underscores the urgent need for comprehensive measures and collective responsibility.