{"id":92848,"date":"2023-06-14T07:00:00","date_gmt":"2023-06-14T07:00:00","guid":{"rendered":"https:\/\/cloudnewshub.com\/?p=92848"},"modified":"2023-06-14T07:00:00","modified_gmt":"2023-06-14T07:00:00","slug":"tsb-calls-on-meta-to-intervene-and-protect-users-from-fraud-losses-of-250m-this-year","status":"publish","type":"post","link":"https:\/\/cloudnewshub.com\/?p=92848","title":{"rendered":"TSB calls on Meta to intervene and protect users from fraud losses of \u00a3250m this year"},"content":{"rendered":"
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TSB has called on social media giant Meta to do more to prevent online fraud that emanates in its platforms, which it said could see UK consumers lose \u00a3250m to scammers this year.<\/p>\n

The UK high street bank\u2019s CEO Robin Bulloch has written to Meta calling on it to introduce fraud prevention measures because 80% of the money the bank has refunded is to customers defrauded by scams originating on the social media firm\u2019s platforms.<\/p>\n

Bulloch told Meta \u2013 which owns Facebook, Instagram and WhatsApp \u2013 that it must put in \u201ctech interventions\u201d to prevent users of its platforms falling victim to fraud.<\/p>\n

TSB said: \u201cProjections from industry data and current fraud levels show that without the tech interventions required to protect consumers from fraud, scams originating on Meta platforms could account for up to \u00a3250m of push payment losses to UK households in 2023.\u201d <\/p>\n

Scams such as Authorised Push Payment (APP) fraud occur when consumers are tricked into making payments to fraudsters through platforms such as fake websites and messages, which often emanate from social media. TSB estimates that more than 70,000 purchase fraud cases took place on Facebook Marketplace in 2022. <\/p>\n

APP fraud caused losses of $789.4m to UK citizens in 2021, which could rise to $1.56bn by 2026, according to a report from payments software supplier ACI Worldwide<\/a> and analytics firm GlobalData<\/a>.<\/p>\n

Despite the banks using the latest security systems in place and adhering to strict regulations, fraudsters manage to commit these crimes because the payments are authorised by the account users, meaning they get through bank security systems. But it is the banks that are mandated to reimburse customers. Earlier in June, the Payment Systems Regulator made it mandatory for victims of authorised push payment (APP) fraud to be reimbursed within five days<\/a>.<\/p>\n

Paul Davis, director of fraud prevention at TSB, said <\/b>Meta needs to face up to its responsibility. \u201cIt has a duty of care to the millions of customers who use its platforms, which is more important when we see innocent people lose life-changing sums every day. <\/p>\n

\u201cToday, we have written to Meta demanding it puts in place the tech interventions urgently required to stem the tide of fraud and protect the many consumers who put faith in its services.\u201d <\/p>\n

The banking sector is united on the need for tech firms to do more to stop online fraud. In May, Lloyds Banking Group called on the tech sector to control the \u201csocial media Wild West\u201d<\/a> to help reduce fraud. The bank said it has invested hundreds of millions of pounds in advanced security systems to protect its customers, alongside employing thousands of staff dedicated to fighting fraud.<\/p>\n

\u201cRelying on the banking sector alone to detect scams and provide refunds means those platforms where most of the fraud starts have no incentive to stop it. [We are] calling for technology and telecommunications companies to do more to stop scams at source and play their part in refunding victims of fraud, which originates on their platforms,\u201d said a Lloyds banking group statement.<\/p>\n

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<\/i>TSB\u2019s recommendation to Meta<\/h3>\n

The bank\u2019s advice to Meta is as follows:<\/p>\n