The Payments Association has published a report looking at where liability should sit for APP fraud that begins on digital platforms. It says most fraud begins there, but the liability sits with the payment providers. The PA’s white paper looks at whether current accountability frameworks properly reflect the reality of how fraud develops.
The paper says that in the first half of 2025, 66% of reported cases began on online platforms and there are suggestions that it is concentrated within a small number of platforms, most of which are Meta-owned. Given how often the exposure occurs on these platforms, the paper argues that responsibility for tackling fraud should extend to them and not be only with the payment providers. It looks at how various jurisdictions have acted to reduce and impose liability for frauds, including the Singapore “shared responsibility framework”, and suggests measures that might be generally appropriate. These include actions platforms might take, intelligence sharing infrastructure and actions for regulators.