You are here: Home - Saving & Banking - News -

More protection for people who send money to the wrong account

Written by:
People who accidentally send payments to the wrong account can expect to get their money back in 20 working days under new rules being adopted by banks and building societies.

The new procedures go beyond the voluntary code lending institutions signed up to in 2014, which standardised timescales for investigating payment errors.

Although the improvements cannot guarantee a customer will get their money back, they mean that for the first time, in straightforward cases where the recipient doesn’t dispute the return of funds, the money will be returned within 20 working days.

wrong payment

The changes apply to all banks and building societies that connect directly to Faster Payments, which processes virtually every mobile, online and telephone banking payment, or Bacs Payment Schemes, which is used by the majority of UK workforces.

Craig Tillotson, chief executive of Faster Payments, which oversees the new procedures, said: “Mobile, online and phone banking customers now send well over a billion payments every year. The most important advice is to make sure you get the sort code and account number correct when sending any payment but, if you do make a mistake, today’s announcement means more help is on offer, while also ensuring the recipient of funds is treated fairly too.”

The government welcomed the changes.

Harriett Baldwin MP, Economic Secretary to the Treasury, said: “More people than ever are banking online, taking advantage of being able to make payments 24 hours a day, seven days a week, so it’s vital that everything possible is done to prevent mistakes from happening. Today’s announcement is another good step forward, ensuring money gets back to the right place with less hassle than before, while also protecting the rights of everyone who receives a payment. We will continue working with the banking industry to make things better for customers.”

Fat fingers? What to do if you send money to the wrong account

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

The savings accounts paying the most interest

If one of your jobs this month is to get your finances in order, moving your savings to a higher paying deal i...

Coronavirus and your finances: what help can you get?

News and updates on everything to do with coronavirus and your personal finances.

Everything you need to know about being furloughed

If you’ve been ‘furloughed’ by your company, here’s what it means…

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

Read previous post:
safe haven, safe haven asset class, gold, investing in gold
Protecting your investments: how safe are ‘safe havens’?

With a volatile start to 2016 for global stock markets and investor confidence at a near all-time low, a 'safe...