People who are tricked into transferring money to a fraudster deserve better protection, according to consumer group Which?.

In a challenge to regulators, it said that anyone falling prey to a bank transfer scam had no legal right to get their money back from a bank. It wants them to order banks to offer people the same protection that credit card fraud victims receive. But the banks' anti-fraud group said that a blanket approach would not work. Financial Fraud Action said it was correct for banks to pay compensation on a case-by-case basis, otherwise there was a chance that people would not be careful.

Transfer scams

The consumer group pointed out that banks have security checks on activities where they are liable to reimburse the victim, for example on credit card fraud. It wants similar protection for victims of bank transfer scams. "Unfortunately, as payment systems have developed, consumer protection hasn't kept up," Alex Neill, director of policy and campaigns at Which? told the BBC's Today programme.......Read more here