by TerranceBoyce
Thu Mar 06, 2014 4:24 am
Actually 'Alan', and I'm not taking issue with you, but I think that the banks pulled off a major coup with the 'faster payments system' when they managed to divest themselves of responsibility for making sure that the beneficiary name and account number on electronic transfers match. That alone has opened up a vast system defect that fraudsters can exploit and banks 'sold' the system to the public and government on the basis that it would enable the quicker transfer of money but the benefits to the bank as regards being able to disregard responsibility for unmatched payments going through their system is vast.
The simple fact is that if no one making payment can have any certainty as to the identity of who they're paying, then the whole financial system could become unstable if this defect is exploited to any great extent. Just imagine the effect if fraudsters can introduce fraudulent account numbers to replace those of major utility companies, local tax authorities or HMRC. Even if they could only get away with it for a week, the rewards would amount to millions, perhaps tens of millions and the victim has no way to even identify the criminal, let alone prosecute him. Banks and the law actually protect the criminal by providing him with impenetrable anonymity.
The fact is that if banks have no responsibility to check that account numbers and names match, it effectively turns every UK bank account in to a numbered bank account which have long been known to form the basis of massive international fraud. At the same time that numbered bank accounts have been driven out of the banking system a perfect alternative has been fashioned by a change in the regulations.
In case anyone thinks that I'm raising issues that are fanciful I can provide links to news stories where this weakness in the banking system has already been used to defraud HMRC of money in the form of tax refunds and one totalled over half a million pounds, and it was only uncovered by accident.
To be quite honest criminals haven't worked out fully how to exploit the system because they're failing to catch on to other weaknesses that would make their frauds far more effective, but I have no doubt that they'll work it out for themselves soon enough as the rewards for doing so are so great.
As regards ad sites, people have to understand just how unreliable all online sites are, and those that are most infested with scams should be avoided completely. This doesn't just relate to vehicle sales but also romance and employment sites, because even a job site ostensibly operated by the UK government has been exposed by an MP as being bedevilled with fraudulent adverts.
The consumer should vote with their feet as no commercial enterprise can succeed without customers.
The simple fact is that if no one making payment can have any certainty as to the identity of who they're paying, then the whole financial system could become unstable if this defect is exploited to any great extent. Just imagine the effect if fraudsters can introduce fraudulent account numbers to replace those of major utility companies, local tax authorities or HMRC. Even if they could only get away with it for a week, the rewards would amount to millions, perhaps tens of millions and the victim has no way to even identify the criminal, let alone prosecute him. Banks and the law actually protect the criminal by providing him with impenetrable anonymity.
The fact is that if banks have no responsibility to check that account numbers and names match, it effectively turns every UK bank account in to a numbered bank account which have long been known to form the basis of massive international fraud. At the same time that numbered bank accounts have been driven out of the banking system a perfect alternative has been fashioned by a change in the regulations.
In case anyone thinks that I'm raising issues that are fanciful I can provide links to news stories where this weakness in the banking system has already been used to defraud HMRC of money in the form of tax refunds and one totalled over half a million pounds, and it was only uncovered by accident.
To be quite honest criminals haven't worked out fully how to exploit the system because they're failing to catch on to other weaknesses that would make their frauds far more effective, but I have no doubt that they'll work it out for themselves soon enough as the rewards for doing so are so great.
As regards ad sites, people have to understand just how unreliable all online sites are, and those that are most infested with scams should be avoided completely. This doesn't just relate to vehicle sales but also romance and employment sites, because even a job site ostensibly operated by the UK government has been exposed by an MP as being bedevilled with fraudulent adverts.
The consumer should vote with their feet as no commercial enterprise can succeed without customers.
CAR ADVERTS - If a car seller mentions escrow - he's scamming you Never ever for any reason pay anything until you have seen and inspected the vehicle
