The consumer standard of caution is a set of requirements which all customers are expected to meet. If any component is not met due to the customer’s gross negligence, then an exception will apply and a payment service provider will be entitled to reject an APP Scam reimbursement claim.
Under the consumer standard of caution, customers are expected to meet the following requirements:
- to have regard to any specific interventions, such as warnings, given by their payment service provider or competent national authority (such as the police);
- to promptly report the scam to their payment service provider upon learning or suspecting of falling victim to a scam;
- to comply with appropriate information requests from their payment service provider to support the assessment of the claim; and
- to report to the police or allow their payment service provider to do so on their behalf, if required.
Where the victim was a vulnerable customer at the time the payment transaction was authorised, the consumer standard of caution exception will not apply.