Protecting your business from APP fraud

Learn more about the new reimbursement rules for APP fraud victims, starting in 2024.

What is APP fraud?

Authorised push payment (APP) fraud happens when fraudsters trick individuals or businesses into making payments under false pretences. This type of scam is particularly deceptive and poses serious risks to both consumers and organisations.

What's changing?

In 2024, SumUp implemented a UK reimbursement scheme to protect our SumUp Business Account holders from APP fraud. These changes are part of the latest guidance from the Payment Systems Regulator (PSR) in the UK. Here’s how it works:

  • Eligibility for reimbursement: If your business falls victim to APP fraud, you’ll be eligible for reimbursement, unless you have acted fraudulently or with gross negligence.

  • No blame approach: This scheme ensures a fair, no-blame approach for victims of fraud.

  • Quick resolution: You’ll receive reimbursement promptly, following the regulatory guidelines set by the PSR.

Exclusions and limitations

Before making a claim, it’s important to know the key eligibility criteria:

  • Who can claim: Your business must have fewer than 10 employees and an annual turnover or balance sheet under €2 million. Charities with an annual income below £1 million are also eligible.

  • Faster Payment Scheme (FPS) payments: Only payments made through the UK's Faster Payments system to other UK accounts are eligible for reimbursement.

  • Time limits: This scheme covers payments made on or after October 7th, 2024. Claims must be submitted within 13 months of the final payment to the fraudster.

  • Claims excess: A £100 claim excess may apply.

  • Maximum claim: The maximum amount you can claim for an APP scam is £85,000.

You won’t be able to claim if:

  • The payment was made internationally.

  • The scam involved cheques or cash.

  • The payment relates to a civil dispute.

  • The payment was made via other systems like BACS Direct Debit.

What you can do

To stay protected under the new scheme, it’s important to:

  • Stay vigilant: Be cautious of unexpected payment requests or changes to your supplier account details.

  • Verify payment details: Always confirm new or amended payment instructions via trusted contact methods.

  • Protect your information: Keep your security credentials private and never share them with unauthorised people.

  • Report suspicious activity: Notify us immediately if you suspect fraud.

  • Assist in claims: Provide all necessary information to support your claim.

  • Report scams: You should report the scam to the police, or allow us to do so on your behalf.

How we support you

If you suspect fraud, you can report it easily through the Support page in your SumUp profile or by clicking here.

Complaints and disputes

We’re committed to keeping your business safe. However, if you’re unhappy with the outcome of your claim, you can contact us at [email protected]. If you’re still dissatisfied, you can escalate the matter to the Financial Ombudsman Service (FOS).