Guides › Banking Scams and Fraud › Bank Refused to Refund a Scam
Bank Refused to Refund a Scam
If you were tricked into making a UK bank transfer (Faster Payments or CHAPS), most banks must reimburse you under the scheme, up to 85,000 pounds, if you report it within 13 months. A bank can refuse if you were complicit in the fraud or grossly negligent. If your bank refuses, complain to it in writing, then take it to the Financial Ombudsman Service, which is free.
At a Glance
Guide Disclaimer
Free guide only. This is a regulated financial matter, so we give free information and letter templates here but do not take these on as cases. We cannot tell you whether you are eligible for a refund or compensation.
CPUK is not authorised or regulated by the Financial Conduct Authority and is not a claims management company.
Your Rights
What the rules say, with a link to the official source for each.
Bank Transfer Scams
The Reimbursement Scheme
If you were tricked into making a UK Faster Payments or CHAPS bank transfer (an 'APP scam'), the scheme covers payments made on or after 7 October 2024. It covers individuals, very small businesses and charities. source
Maximum Payout
The maximum reimbursement under the scheme is 85,000 pounds, although a firm may choose to pay more. You must report the fraud within 13 months of the payment, but you should report it as soon as possible. source
How Fast Your Bank Must Pay
Your bank should reimburse you within 5 business days of your claim. It can pause that clock while it gathers information, but it must reach a decision within 35 business days. source
The Excess
A bank may apply an optional excess of up to 100 pounds, or none. It cannot apply the excess to a vulnerable customer. source
When You May Not Be Reimbursed
You may not be reimbursed if you were complicit in the fraud or grossly negligent, which the Payment Systems Regulator says is a high bar. The gross negligence exception does not apply to vulnerable customers. source
If Your Bank Refuses
Complaining to the Ombudsman
If your bank refuses or you are unhappy with how it handled a scam, you can complain to the bank and then to the Financial Ombudsman Service, which is free. Its compensation limit is 430,000 pounds, and it can look at cases where losses are over 85,000 pounds. source
Unauthorised Payments
If a payment was made without your permission (an unauthorised payment), contact your bank within 13 months. The money should reach your account by the end of the next business day, together with any charges and interest you paid or lost because of the payment. source
When a Bank Can Refuse
A bank can refuse an unauthorised payment refund only if you authorised the payment, acted fraudulently, or failed to protect your card, PIN or password in a way that allowed the payment. If your card was lost or stolen and you did not report it, you may have to pay up to 35 pounds. source
Time Limits to Know
Miss a deadline and you can lose a right. Check the dates on your own paperwork.
- 13 monthsReport an APP scam or unauthorised paymentWithin 13 months of the payment, but as soon as possible
- 5 business daysBank transfer scam reimbursementWithin 5 business days of your claim, up to 35 business days if the bank needs more information
- Next business dayUnauthorised payment refundBy the end of the next business day
- £85,000Maximum bank transfer scam reimbursement85,000 pounds, for payments from 7 October 2024
Steps to Take
Step 1 of 5
Contact your bank straight away, report the scam and ask it to reimburse you.
Step 2 of 5
Report the scam to Report Fraud (police) and keep the reference number.
Step 3 of 5
If the bank refuses, ask for its decision and reasons in writing, then complain in writing. Our free letter templates can write it for you.
Step 4 of 5
If you are unhappy with the bank’s final response, take it to the Financial Ombudsman Service. It is free.
Step 5 of 5
If you paid by card instead of bank transfer, ask your card provider about a chargeback or Section 75.
(Tap the numbers to reveal steps)
Where to Go If It Is Not Put Right
Your options, in order, and when each one applies.
Your Bank's Complaints Team
Always start here, in writing, once your bank has refused or not replied.
Financial Ombudsman Service
You are unhappy with your bank's final response. It is free, and its limit is 430,000 pounds.
Report Fraud (Police)
Report any scam. Your bank may also ask you to report it.
Card Provider: Section 75 or Chargeback
You paid by card and cannot get your money back from the seller.
Good to Know
Small things that make your complaint stronger.
Ask for a final response in writing. You have 6 months from the date of that final response to go to the Financial Ombudsman Service.
Want Help?
We do not take these complaints as cases, but our free letter templates can write your complaint for you, and the Financial Ombudsman Service is free.
Lead reviewer
Luke Marley
Founder and Lead Reviewer
Luke founded CPUK in 2026 after seeing how hard it is for ordinary people to get problems with companies put right. He oversees our guides and checks them against official sources.
Research by Katie Burt, Co-founder and Operations Lead (17 years in the care sector, including managing services for vulnerable adults), and the CPUK Research Team. Researched with AI-assisted research tools, then checked and corrected by our team.
Last checked: 13 October 2026. We are not paid by the companies we write about. Adverts never affect our guidance. Read our editorial policy.
Sources and official links
- psr.org.uk/information-for-consumers/app-fraud-reimbursement-protections Checked 13 October 2026
- fca.org.uk/consumers/fraudulent-payments Checked 12 October 2026
- reportfraud.police.uk Checked 12 October 2026
- citizensadvice.org.uk/consumer/somethings-gone-wrong-with-a-purchase/getting-your-money-back-if-you-paid-by-card-or-paypal Checked 12 October 2026