Scammers are becoming very sophisticated in their tactics. People often find themselves victims to fraudulent schemes, leaving them vulnerable and unsure of their options. A common question people ask is “will Barclays refund scammed money for funds lost in these scams?”
Common Types of Scams
Scammers employ various tactics to deceive individuals, often targeting those unaware of the signs of fraud. Unfortunately, this means that the most vulnerable members of society are often the easiest targets. It is important to stay vigilant which is why in this article, we’ll highlight some of the most common scams that our customers should be aware of:
Crypto Scams
Cryptocurrency scams are fraudulent schemes designed to deceive individuals into giving away money. Common scams include fake giveaways, fake Initial Coin Offerings and phishing.
Impersonation Scams
With impersonation scams, the clue is in the name. Scammers impersonate well-known organisations, often your bank or mobile provider, to steal personal information or trick victims into transferring money.
Investment Scams
These scams lure victims into investing in non-existent or worthless products, typically promising high returns with little risk. With investment scams, we have noticed that they tend to target unsuspecting individuals looking to grow their savings.
Romance Scams
Romance scams typically involve the scammer building a personal relationship with the victim, often through an online profile. Over time, the scammer gains the victim’s trust and eventually requests money.
Do Barclays Always Refund Scammed Funds?
Barclays may refund scammed money, but this depends on various factors.
For instance, in the Philipp vs Barclays case, the Supreme Court ruled that Barclays was not liable to refund a victim who lost over £700,000 in an investment scam because the bank argued that the customer was at fault for not spotting the scam earlier.
In another case, a victim (referred to as Miss B) lost more than £79,000 in an investment scam. Initially, Barclays refused to refund the money, but after further investigation, the bank agreed to reimburse her for 50% of the funds.
The outcome of your claim will depend on whether Barclays believes it took reasonable steps to protect you and whether you followed the correct procedures when reporting the scam.
Am I Eligible for Compensation if Barclays Failed to Prevent a Scam?
If you’re wondering if Barclays will refund scammed money in cases where they may have failed to protect you, eligibility for compensation will depend on specific circumstances. New UK banking regulations that came into effect in October 2024 do make it easier for people to claim reimbursement from their banks. Under the new rules, banks are required to investigate claims thoroughly and ensure that they act fairly and transparently when assessing a customer’s eligibility for a refund.
Investigation – Barclays will assess if you followed proper procedures and took reasonable precautions to protect your information.
Eligibility Assessment – They will check if they could have identified or prevented the scam.
Timescales – Investigations typically take a few weeks to months, but complex cases may take longer. If rejected, you can escalate to the Financial Ombudsman Service (FOS) or seek legal advice.
CEL Solicitors Will Fight to Recover Your Funds
If Barclays rejects your claim or you’re unhappy with their decision, CEL Solicitors can help you recover your lost funds. We specialise in assisting victims of scams and financial fraud, guiding you through the process of reclaiming your money.
For example, we recently helped a couple in their sixties recover £30,000 lost in a fraudulent investment scheme by investigating the scam and filing a financial complaint on their behalf.
We offer a free, no-obligation chat and work on a no-win, no-fee basis—so there’s nothing to lose. You’re not alone, and you’re certainly not to blame. Contact us today or call 0330 822 3755.
