Types of impersonation fraud covered by the PSR scheme
Police impersonation
Callers claim to be police officers, typically saying your account has been compromised or that you need to move money to a “safe account” for an investigation. No police force ever asks you to move money.
Bank fraud team impersonation
Fraudsters clone your bank’s phone number and claim to be the bank’s fraud department. They create urgency around fraudulent transactions and direct you to transfer funds to a new “secure” account.
HMRC impersonation
Fake HMRC callers threaten immediate arrest for unpaid tax, demanding immediate payment via bank transfer. HMRC never threatens arrest by phone and never demands bank transfers on initial contact.
Courier fraud
A “police officer” calls saying your bank card is compromised and will send a courier to collect it. They may also ask you to transfer money. Banks and police never collect bank cards via courier.
Your legal right to a bank refund under the PSR scheme
The Payment Systems Regulator (PSR) mandatory reimbursement scheme, in force from 7 October 2024, requires UK banks to refund APP fraud victims up to £85,000 per claim. Impersonation fraud is specifically recognised as a high-risk APP fraud category. Your bank can only refuse if you were grossly negligent — a very high bar that being deceived by a convincing impersonator does not meet.
Call your bank’s fraud line immediately
Use the number on the back of your card. Report the transfer as APP fraud / impersonation scam. The bank may be able to recall the payment if it was recent.
Submit a formal PSR reimbursement claim in writing
Follow up your call with a written claim to the bank’s fraud department. State explicitly: “I am making a formal APP fraud reimbursement claim under the PSR mandatory reimbursement rules effective 7 October 2024.”
Report to Action Fraud
Report at actionfraud.police.uk or call 0300 123 2040. Get a crime reference number to support your bank claim.
Escalate to FOS if the bank refuses
If your bank rejects your PSR claim, escalate to the Financial Ombudsman Service (FOS) for free within 6 months of their final decision. The FOS has been strongly critical of banks that reject impersonation fraud claims without adequate investigation.
Frequently asked questions
How to recognise impersonation fraud as it happens
The most powerful protection is recognising the pattern in real time. Every impersonation scam, regardless of who the fraudster claims to be, relies on the same psychological levers. Knowing them helps both in avoiding a scam and in demonstrating to your bank that you were the victim of a sophisticated deception — not negligence.
Manufactured urgency
"Your account is being emptied right now." "You must act in the next ten minutes." Genuine institutions never pressure you to move money instantly. Urgency exists to stop you pausing to think or to verify.
The "safe account" myth
No bank, police force, or government body will ever ask you to move money to a "safe account" for protection. This phrase is the single clearest signature of impersonation fraud.
Secrecy instructions
Fraudsters often tell victims not to discuss the matter with branch staff or family — sometimes claiming a "confidential investigation". Isolating the victim from anyone who might intervene is deliberate.
Spoofed numbers and details
Caller ID can be faked to show your bank's real number. Knowing your name, address, or last transactions does not prove a caller is genuine — this data is often obtained from earlier data breaches.
The first 24 hours: what to do immediately
Call your bank's fraud line now
Use the number on the back of your card, not any number given by the caller. Report it as APP fraud / impersonation. A fast report gives the best chance of recalling funds before they are moved on.
Write down everything while it is fresh
The exact times of calls, what was said, the names used, any reference numbers, and the account you were told to pay. This contemporaneous note is valuable evidence for your reimbursement claim.
Report to Action Fraud
Get a crime reference number from actionfraud.police.uk or 0300 123 2040. It supports your bank claim and any later escalation to the Financial Ombudsman.
Do not accept a quick "no"
If the bank initially declines, that is not the end. Under the PSR mandatory reimbursement rules, being deceived by a convincing impersonator is not "gross negligence", and the Financial Ombudsman has repeatedly upheld complaints where banks rejected impersonation claims too readily.