Barclays Bank has announced plans to enable customers to “turn off” their debit card for online purchases or set a daily limit for cash point withdrawals. The bank hopes this will help reduce scams. Barclay’s app now includes the option to reduce ATM withdrawal limits. Customers are also able to block their debit card from remote purchases at certain times. The aim is to block any opportunity for fraudsters to go on a spending spree, were they to trick somebody out of the card details.
The bank’s app also now includes an option to reduce daily ATM withdrawal limits, from the typical level of £300. Barclays has 24 million UK customers, of which about five million have the app.
According to Financial Fraud Action, in the UK last year, fraud losses across all payment cards, remote banking and cheques in was £769m. This represented an increase of 2% from the previous year, and there were a total of 1.9 million cases of fraud during 2016.
Online shopping scams often result in significant losses for victims, when banks are not able to take action before payments go through.