Love’s Costly Con
Brits lost £108m to heartless romance scammers in 2024 as the FCA urges banks to sharpen fraud defences
Romance scams drained £108 million from unsuspecting Brits in 2024, according to the Financial Conduct Authority (FCA), which is now urging banks and payment firms to step up their efforts to protect customers. These scams, which rose 9% last year, see fraudsters weaving false romantic or friendly connections—often through dating apps and social media—to manipulate victims into sending money. In one shocking case, a victim lost more than £428,000; another made over 400 payments to a scammer, parting with £72,000 before the deceit was uncovered.
The FCA warns that detecting these scams is uniquely challenging, as victims are often emotionally manipulated and unwilling to believe they’re being defrauded. Nearly half even conceal the true purpose of their payments when questioned. While many firms are tackling the problem effectively, the regulator found frequent missed warning signs, urging better-calibrated monitoring systems and stronger staff training to spot suspicious activity. The message is clear: smarter systems and more vigilant human intervention are vital to breaking the emotional and financial grip of romance fraud.
Romance fraud is a vicious crime. All too often it is the vulnerable that fall victim. The impact - financially and personally - can be devastating. We recognise the challenge banks and payment firms have in combating this complex crime and this review aims to help them stay one step ahead of the criminals. Steve Smart, executive director, enforcement and market oversight, FCA
This week’s Payments:Unpacked is brought to you by our Confirmation of Payee (COP) and Verification of Payee (VOP) partner - SurePay.
VOP is just the beginning
Verification of Payee (VOP) is now live across the Eurozone!
Under the EU’s Instant Payments Regulation, all banks and PSPs are now required to verify payee details before executing payments.
Over the past year, SurePay has supported institutions across Europe – from Belgium and France and Germany to Malta – in going live with VOP. SurePay’s solution has helped ensure smooth, secure and timely implementation.
But implementation does not stop here.
Many banks are still working out how to handle bulk payments.
That is why SurePay offer a fully compliant VOP Portal for batch verification, available to any PSP or bank in Europe. Learn more about VOP Bulk Checks: https://www.surepay.eu/verification-of-payee-api/building-blocks-of-vop-bulk-verification-in-white-label-portal/
Meanwhile in the UK SurePay are seeing growing traction as more PSPs re-evaluate their CoP contracts. Whether due to changing requirements or evolving expectations, many are actively considering a switch. SurePay are here to support that transition too. www.surepay.co.uk/switch-provider
For SurePay, VOP is just the beginning.
The real opportunity? Turning a compliance requirement into a smarter, safer, and more user-friendly payment experience.
Blending Debit Simplicity with Credit Freedom
Klarna is expanding beyond flexible payments into everyday banking with two new UK products - Klarna Balance and the Klarna Card.
Klarna Balance lets users store and spend e-money while earning cashback, and the Klarna Card combines debit simplicity with credit flexibility, powered by Visa and accepted globally.
Backed by new FCA approval, Klarna aims to “put trust back in banking.” After a rapid U.S. rollout — 1 million card sign-ups in 11 weeks — the company’s global deposits have surged from $9.5bn to $14bn, signalling its bold move to rival traditional banks.
Strengthening Switzerland’s Banking
Exploring how Phase 2 of SIC Instant Payments will leverage key insights from Phase 1 to strengthen trust, efficiency, and innovation in Switzerland’s banking ecosystem
What does the National Payments Vision mean for UK payments?
In July 2025, the UK regulatory authorities unveiled the next steps for the UK’s National Payments Vision, outlining plans to create a trusted, world-leading payments ecosystem powered by next-generation technology.
Read a new article from Lloyds Bank exploring the delivery of this ambitious model, and the impact it will have on the payments landscape in the UK.
Switch My Bank - Live Stubstack
In trying to avoid a ‘millennial pause’ the Substack Live lag on this video meant that the first few seconds of this video are missing - the video is about the UK’s Current Account Switching Service and the introduction quoted 2012 Shadow Chancellor Ed Balls stating that you were more likely to get divorced than change you bank account
Global Payments Delayed
The G20’s ambitious plan to make cross-border payments faster, cheaper and more efficient is set to miss its 2027 deadline, according to the Financial Stability Board.
Originally launched in 2021, the initiative aimed to cut the cost of global retail payments to under 1% and ensure 75% of payments cleared within an hour. However, officials now admit that complex infrastructure, fragmented regulations, and the sheer number of jurisdictions involved have slowed progress.
Payment experts blame outdated systems, inconsistent regulatory frameworks, and the dominance of legacy banks for the delays, calling for greater global coordination, real-time settlement, and modern infrastructure to replace the costly, friction-filled networks still in use.
Despite setbacks, emerging technologies such as ISO 20022 and blockchain-based networks are seen as key to finally achieving the G20’s vision of seamless, low-cost international payments.
Are Pre-Verification Solutions Making a Real Difference?
Or are we just scratching the surface?
SIBOS Predictions - Were They on the Money?
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