[cameronh90]

In the UK, the bank is also usually responsible for any unauthorised transfer, yet our banks are generally quite digitally enabled.

Some banks solve the transfer authorization issue using an external bit of hardware that you type the transaction details into and it gives you a signature OTP.

[martinald]

I honestly dont know much much longer the banks can continue to refund people for fraud. The scale of it is enormous - £600m last year (which is likely to be the floor of it as I imagine it doesn't all get reported correctly).

If it continues growing (~40% y/y) at this kind of rate then it will soon outstrip any profits from retail banking (which is pretty low margin as it is compared to banks investment and commercial arms).

I wouldn't be surprised if we see UK banks exiting retail banking because of this.

[bee_rider]

I’m not sure how to understand that £600m in the grand scheme of things. If they are making billions of pounds in profit for example, maybe it is just the cost of doing business.

Of course, exponentials being exponentials, if they continue along long enough they always eat the universe.

[pjc50]

UK banking still looks pretty profitable: https://www.theguardian.com/business/2022/oct/25/hsbc-intere...

The banks will be made to keep reimbursing people. They are, after all, in control of the system and the people with most information about what might be fraudulent.