Santander has observed that some customers are finding ways around new measures aimed at preventing bank transfers for Facebook Marketplace payments when a customer has not inspected the item in person.
The bank reports that these new fraud protection measures, introduced before Christmas, have successfully stopped over 1,800 customers from potentially falling victim to scams related to purchases. These rules were implemented after Santander customers reported nearly £6.5 million in losses to Facebook Marketplace scams last year, marking an increase of almost 50% compared to the previous year.
Dynamic fraud warnings on mobile and online banking prompt customers making transfers for purchases on Facebook Marketplace to answer a series of tailored questions. If customers indicate they haven’t seen the item in person, the bank halts the transaction and encourages them to either view the item personally or opt for a more secure payment method, such as a debit or credit card.
Between December 5, 2023, and May 13, 2024, Santander prevented 1,899 customers from completing their purchases after they admitted not seeing the items in person. However, 7,950 customers were initially blocked from making payments but later confirmed that they had inspected the items, allowing the transactions to proceed. Of this group, 240 customers subsequently reported being victims of a purchase scam.
During that time frame, a total of 439 individuals fell victim to scams on Facebook Marketplace, resulting in losses of £284,000—an average of £647 per person. Notably, 263 of the 439 customers affected had altered their initial responses.
Chris Ainsley, head of fraud risk management at Santander, stated: “Fraudsters can be incredibly manipulative. In just a few months, hundreds of customers attempted to bypass our fraud prevention measures by changing their responses, highlighting the pressure these criminals exert on unsuspecting victims.”
He added, “If you’re purchasing something on Facebook Marketplace or similar platforms and haven’t seen the item in person, are being urged to make a payment via bank transfer, or are advised to mislead your bank about the transaction, exercise caution. These are clear warning signs of a purchase scam.”