NEW FRAUD REPORTING RULES
Leading ID Fraud Expert Offers Advice As New Fraud Reporting Rules Come Into Force On 1st April 2007
London 28th March 2007 – 1st April 2007 will see a change in the way cheque, plastic card and online bank account fraud should be reported. Instead of reporting to the police, the victim should contact the relevant financial institution in new rules as part of the Fraud Act 2006. Leading ID Fraud expert, Equifax, is offering advice to consumers on the advent of these new rules coming into force.
“The new Fraud Act provides real teeth in the fight against identity fraud” confirmed Neil Munroe, External Affairs Director, Equifax. “The so-called victimless crime, which in 2006 claimed over 50,000 victims, has finally been recognised for the distress it causes. And the new rules for reporting fraud – to the financial institution first rather than the police – are crucial in speeding up the process of dealing with this insidious offence.”
The basic principle underlying the change is that banks and financial institutions will become the first point of contact for victims of cheque, plastic or e-banking fraud. For example, if they believe their card has been skimmed and there are transactions on their statement that they do not recognise. No longer, except in exceptional circumstances, will financial institutions direct customers to the police.
To support this change in the rules, the Home Office is providing central points of contact in each police force in England, Wales and Northern Ireland where banks and financial institutions can report fraud cases.
“The new Fraud Act should make things harder for criminals to commit ID fraud” continues Neil Munroe. “The law will mean even if a victim does not report a crime, the actual act of using someone else’s identity will be treated as a criminal act”.
Equifax’s Credit File Advice Centre has heard from thousands of ID fraud victims, many of whom have expressed how frustrating it is that the perpetrator is not brought to justice. In fact a recent survey from Equifax revealed that 94% of consumers questioned felt that more needed to be done to deal with ID fraud.
To further help in the fight against ID fraud, there are a number of services consumers can sign up to. Equifax’s monitoring service which will alert consumers to any fraudulent activity in their name. If consumers have already fallen victim to the crime they can sign up to the Protective Register. This means that a notice will be placed on their credit file indicating that data has been stolen and that they may therefore be at risk of identity fraud.
Munroe concludes “Hopefully with the new Fraud Act and other measures undertaken by the credit industry it will provide peace of mind to both victims and those who worry about falling victim. And let’s hope it will also work as a deterrent to other would-be fraudsters”.
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