People with mental health conditions who are victims of fraud are less likely to get their money back than those without such conditions, according to Which?
The consumer group surveyed more than 1,000 fraud victims and found that six in 10 (58%) with a diagnosed mental health condition got some or all of their money back.
Nearly seven in 10 (68%) fraud victims without mental health issues were reimbursed.
People with mental health problems were about twice as likely to not have enough money for essentials (29%) and to be in debt (26%) as a result of fraud compared to victims without mental health problems (15% and 12% respectively). .
One in three (31%) fraud victims with a mental health condition had to borrow money from friends or family, compared to one in five (18%) without a diagnosed mental health condition.
People with a mental health condition were twice as likely to borrow money from a bank (11% compared to 5%).
One fraud victim told Which?: “I feel stupid and ashamed to be scammed. It has affected how I see myself and has led to bouts of depression and anxiety.”
Another said: “It has completely destroyed my sanity as I had fraud happen to me three times in one year. I’m still paying for it mentally and financially.”
Under recent proposals from the Payment Systems Regulator (PSR), banks will be forced to refund anyone who loses more than £100 in bank transfers or payment fraud, save in exceptional circumstances.
Which? he said this should mean that the vast majority of victims receive a full refund, ending the “refund lottery” they face.
Many banks now subscribe to a voluntary code to reimburse victims of wire transfer scams, and some have their own refund guarantees.
Rocío Concha, which one? director of policy and advocacy, said: “Our survey shows that fraud victims experiencing mental health problems are being shortchanged, with devastating effects on their well-being and finances.
“New rules to make bank transfer fraud reimbursement mandatory cannot come soon enough. They should be backed up with strong enforcement measures for any bank that flouts them and doesn’t treat their customers fairly.”
