SCAM victims tricked into sending money to fraudsters from their accounts will see compensation sliced under plans confirmed today.

Customers who unwittingly transfer cash to con artists had been due to receive reimbursement of up to £415,000 under new rules coming in days.

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But now payouts have been given a ceiling of £85,000 when rules take effect on October 7, the Payment Systems Regulator (PSR) confirmed today.

The change comes after a “lobbying campaign” from some firms in the payments industry,” according to Rocio Concha, director of policy and advocacy at consumer group Which?.

She added: “People don’t fall victim to scams because they’re careless, but because they’re ruthlessly manipulated. 

“As the disastrous consequences of this decision for scam victims become apparent, the regulator must carefully monitor its impact and be ready to intervene with better protections for victims along with stronger financial incentives for banks and payments firms to tackle fraud.” 

Fraud is broadly split into authorised and unauthorised.

People who are tricked willingly giving cash or providing consent to fake payments are classed as authorised fraud.

Victims were tricked into giving away £459.7m through authorised push payment (APP) fraud, according to financial figures from industry body UK Finance. 

Purchase scams are the biggest driver of authorised fraud with people buying in advance for bogus goods or fake services that never materialise, usually through social sites such as Facebook.

Unauthorised fraud, on the other hand, is where criminals typically steal financial information to take out products in victims’ names.

Victims of APP fraud currently receive 62% of cash back after being scammed compared to 98% of unauthorised targets.

The new rules were part of efforts to tackle this issue to make sure victims are fairly reimbursed.

Up until now, banks have just signed up to a voluntary reimbursement code.

In a statement the PSR said new requirements will provide “world-leading protections” to people who fall victim to scams.

The body added: “This was a carefully balanced decision – which provides significant protection to fraud victims and strikes an appropriate balance having regard to the PSR’s innovation and competition objectives and making sure that payment systems work well for everyone.”

More than 99% of APP claims will be covered by the £85,000 reimbursement cap, according to the PSR.

A final policy statement to explain the reasoning for the decision is due to be published next week.

The Financial Ombudsman Service (FOS) revealed that scam-related complaints have recently reached their highest level since at least early 2018.

In the first quarter of this financial year (April 1 to June 30), consumers lodged 8,734 gripes about fraud and scams.

More than half were in related to authorised push payment scams.

HOW TO PROTECT AGAINST SCAMMERS

More than three quarters of authorised fraud starts online.

When handing over cash for goods or services found online that you haven’t yet received you should be extra vigilant for scams. 

Fraudsters often use popular events such as the recently announced Oasis concerts, to prey on victims.   

Buy from reputable sources and sites to protect yourself.

Alarm bells should be ringing if prices are too good to be true.

Take the time to carry out extra checks on unknown sources. 

Fraud cases that originate through phone calls make up fewer cases but losses are often far larger. These are typically when criminals impersonate banks or other trusted sources.  

It’s ok to reject, refuse or ignore requests for cash. Usually it is criminals that will try to pressure or rush you into payments.

If you are in doubt over a caller’s identity, call a trusted company or organisation phone number to check. 

A SHOPPER has revealed a cheap hack for making Starbucks at home for a fraction of the price using an unexpected item.

The coffee lover shared their secret Lidl alternative to buying a current Starbucks fan-favourite that can be made at home.

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The product is the Italiamo pistachio spread, which can be bought in Lidl for £2.99.

The cream spread has become a viral sensation, made up of 45% pistachio nuts and available to buy in 190g jars.

It comes as people are raving about the latest pistachio addition to the 2024 winter Starbucks menu.

The Iced White Chocolate & Pistachio Oat Shaken Espresso is priced at £4.35 for a tall size.

One creative shopper took to the Couponing and Bargains UK Facebook group chat to share their original recipe: “Off the back of the Lidl pistachio spread hype… I bring you Starbucks pistachio latte dupe!”

She explained that you need to “use half a teaspoon (or more if you want stronger flavour) of spread, then pour in your hot milk, stir, and add coffee.

“I added brown sugar syrup to enhance the sweetness of the pistachio but it’s just as good on its own!”

Members reacted to the post saying they “will be trying this” and that it was a “game changer”.

The recipe requires just one teaspoon of spread (roughly 15g), making 13 homemade luxury coffees per jar – that is 23p a cup.

This means you could save £2.76 on buying a Starbucks coffee, making a saving of 92%.

Prices do vary at the coffee chain from site to site.

However, no matter where you live you will be making a considerable saving.

Members also took the chance to share their own DIY ideas, offering cheesecake and pastry recipes, or recommending buyers try adding the spread to porridge.

Other pistachio spreads are available online, but if buying from Ocado, its Borna Foods smooth pistachio butter would set you back £8.50.

It always pays to compare prices so you know you’re getting the best deal.

We couldn’t find a similar product anywhere online at other supermarket retailers.

To find the Lidl closest to you, or see whether the product is available in your local store, use the Store Locator tool on the supermarket’s website.

Prices can also vary day to day and by what deals are on at the time, plus remember you might pay for delivery if you’re ordering online.

Making coffees at home is always a cheaper alternative, and can save you huge cash over time.

According to Wholesale Coffee Co, Brits spend on average £5.50 per week on coffee, which is £286 a year.

People who bought Starbucks coffee 3 times a week would spend approximately £51 a month, which is a whopping £612 across the year.

By spending a little more on your favourite home coffee ingredients, you could satisfy the same cravings and have your pockets feeling fuller in no time.

Other ways to save money on coffee

Join Costa Club

If you become a Costa Club member, you can access free drinks faster by getting a free drink every 5 purchases.

Non-Costa Club members get a free drink every 10 coffees bought.

But remember – incentives such as these are made to encourage buyers to spend more money, so don’t use it as a reason to splash more cash on hot drinks than you usually would.

Tesco Clubcard Scheme

Tesco’s Clubcard  holders can get cheaper prices on over 8,000 items thanks to Clubcard Prices, such as the Costa Barista Creations sachets which are reduced to £1.75.

With this deal, you can make a range of Costa items from home, such as the Salted Caramel, Maple Hazel and Gingerbread Latte.

Morrison’s Cafe

There are a range of deals in Morrison’s cafes which means you can enjoy coffee dates for a reduced price.

It offers a Cake and a Hot Drink for the price of £4, and customers can also enjoy free refills on self serve drinks.

The conditions of this deal varies between store and location.

Other supermarkets such as Sainsbury’s and Asda offer kids to eat for £1, and in Tesco kids can eat free if bought alongside an adult purchase.

To find out the conditions of your local supermarket cafe, visit their website.

Additional vouchers can also be accessed through Clubcard and Nectar voucher schemes, or on websites such as Groupon.

Do you have a money problem that needs sorting? Get in touch by emailing money-sm@news.co.uk.

Plus, you can join our Sun Money Chats and Tips Facebook group to share your tips and stories

Advisers have been urged to put themselves in their clients’ shoes during the protection advice process for a successful outcome.

The call was made on the second day of the week long Income Protection Action Week (IPAW) organised by the Income Protection Task Force.

The online Q&A webinar chaired by the IPTC co-chair Jo Miller alongside adviser and wealth coach Matt Chapman explored via a series of role plays the common mistakes advisers make while engaging with clients and the resulting lost opportunities.

The first role play shows a scenario where an adviser is more focus on Income Protection (IP) product rather than the client’s need and the language used employed industry jargon and terminology.

Chapman cautioned that advisers should focus on need rather than product and should aim to use simple language “to keep things relatable”.

He said advisers need to create that “core need in the first place” and “relate it back to the customer goals.”

The second role play shows an advice process devoid of passion and lack of engagement with the client.

Chapman urged advisers to “humanise” the IP advice conversation.

He said: “The humanising of the conversation is what gets the customer bought into the concept because you’re really demonstrating why it’s important and what you’re doing is in the client best interest rather than just going through a monotone presentation that’s boring.”

He added that using storytelling is “imperative” to “bring the emotion alive for the client and overcome their optimism bias”.

“We can all recount genuine stories where we have seen customers suffered hardships or go through difficulties. Everyone out there watching this probably know someone that has experienced serious illness or die prematurely.

“I think it’s about reverting to those stories, even probing the customer as to whether they know someone in that situation. Often that’s enough to spark that thought in their mind about what happened to that family when that situation occurred. They will see the benefit of what you’re recommending.”

The third role play showed a “patronising and pushy” adviser whose method is far removed from the rules of the FCA’s Consumer Duty.

Chapman said he hope this type of conversations are not taking place because the adviser in that scenario misunderstand their role.

“We see this a lot where you’ve got advisers who believe that the value of what they do is that they know something the customer doesn’t know. And they will chat to you in a condescending way.”

And the fourth role play looked at an adviser who brings up protection as a “bolt on option”.

He said he dealt with this category of advisers as part of his coaching work.

A COUPLE were shocked after a trip to their local shop saw them charged nearly £70 for a pizza.

Angela, 65, and Graham Harrington 66, went to the Broadcut Sainsburys in Fareham, Surrey, on Saturday to grab some wine and a few other items when they were handed the massive bill for more than £170.

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The pair then saw a 14in veggie pizza had cost them a whopping £69.82.

The couple, both retired with 10 grandchildren, were doing a “smart shop” on Angela’s phone, but Graham said, “it wasn’t so smart”.

When they got to the checkout, they were baffled at the £170 bill.

Angela said: “We’ve only got 12 bottles of wine at £10.50 each, with a 25% discount, and a few other items which went through fine.”

A 14” deep pan veg pizza drove the price up with its £69.82 price tag. “Where that came from we’ve no idea. We would never buy a vegetarian pizza. It was really really strange”, said Angela.

She added: “We didn’t buy any pizzas whatsoever. We called the staff member over and said ‘this doesn’t seem right.’”

The staff member quickly fixed it, but “everyone was looking amazed because they don’t sell pizzas at that price,” she said.

“It seems to be the talk of Sainsbury’s now, and when we went in there again today, they said, ‘Oh, here she is’.”

Angela said the staff “were astonished” and “had no idea what could have gone wrong; there was no explanation for it”

The couple were also astonished at the pizza’s price tag, adding: “How many people is that for?”

Angela warned: “If we hadn’t have looked to check that bill or if anyone else was doing their weekly shop, they could easily have paid the bill.

“You don’t know what else could have been added to your shopping without your knowledge.

She added: “When I told friends and family they thought it was quite funny and weird.

“But I have been warning people to check their shopping before they pay for it because you don’t know what might be on there”.

Angela confirmed the event hadn’t deterred them from Sainsbury’s.

The Sun has contacted Sainsbury’s for comment.

It comes after Sainsbury’s stunned shopper once again but this time, due to the arrival of iconic Christmas food on the shelves.

Sainsbury’s shoppers couldn’t believe their eyes when it appeared that mince pies were already on sale.

They took to X, formerly known as Twitter to share their discovery.

One customer wrote in the caption: “Stock up on your mince pies (take in Sainsbury’s a few days ago, so it was actually August!!!!).”

Another shopper who also took to X, wrote: “On Sept 1 I walked into my local Sainsbury and what did I see on the shelves?

“Mince pies – freaking…minced…pies.

“Bloody hell Sainsbury’s it’s not even October yet.”

Sainsbury’s is currently selling a pack of six 320g mince pies for £1.70 online.

Systematic Investment Plans (SIPs) are a popular and convenient way to invest in mutual funds. But how do you decide how to allocate your investment across different asset classes? Enter the 70:20:10 rule, a powerful framework for asset allocation within your SIP strategy.

Understanding Asset Allocation

Asset allocation refers to the strategy of dividing your investment portfolio across different asset classes like equity, debt, and real estate (though SIPs typically focus on the first two). This helps diversify your risk and potentially improve your investment returns.

The 70:20:10 Rule Explained

The 70:20:10 rule is a simple yet effective asset allocation strategy for SIP investors. Here’s how it breaks down:

70% in Equity SIPs

This portion of your investment goes towards equity funds that invest in stocks. Equity funds offer high growth potential but also come with higher risk due to market fluctuations.

20% in Debt SIPs

This allocation goes towards debt funds that invest in bonds and fixed-income instruments. Debt funds offer lower risk and provide stability to your portfolio.

10% in High-Risk SIPs (Optional)

This is the most aggressive portion and can include investments in sectoral funds, thematic funds, or even a small allocation to gold ETFs (Exchange Traded Funds). This segment has the potential for high returns but also carries significant risk.

Benefits of the 70:20:10 Rule for SIPs

Diversification & Risk Management

By allocating across asset classes, you spread your risk and potentially mitigate losses if one asset class underperforms.

Balance & Growth

The 70:20:10 mix offers a balance between potential growth from equity and stability from debt, catering to your long-term goals.

Flexibility & Customization

This rule is a starting point. You can adjust the percentages based on your risk tolerance, age, and financial goals.

Important Considerations

Risk Tolerance

Are you comfortable with market volatility? A higher risk tolerance might allow for a higher allocation to equity.

Investment Horizon

The 70:20:10 rule is generally suitable for long-term investors. As you approach your goals, you might want to increase your debt allocation for stability.

Financial Goals

Align your asset allocation with your goals. For example, a more aggressive allocation might suit a retirement plan decades away.

Beyond the 70:20:10 Rule

While the 70:20:10 rule is a valuable framework, remember:

Market Conditions

Consider current market conditions when allocating assets.

Professional Guidance

Consult a financial advisor for personalized asset allocation advice based on your unique financial profile.

SIPs and the 70:20:10 Rule: A Winning Combination

The 70:20:10 rule offers a structured approach to asset allocation within your SIP strategy. By combining this framework with the discipline and convenience of SIPs, you can potentially build a well-diversified portfolio and navigate your path towards achieving your financial goals.

Start Your SIP Journey Today!

Don’t wait! Embrace the 70:20:10 rule and the power of SIPs to embark on a confident and informed investment journey. Consult a financial advisor to craft a personalized plan and start building your wealth for a secure future!

Scared. Nervous. Anxious. Confused. Excited.

When I meet with clients, I always ask how they are feeling about their planning, and these are some of the words we hear.

A large part of our job is helping support those emotions. In fact, I believe it’s more important than the actual products we recommend.

Nothing gives me greater pleasure in my role than seeing a client who was originally nervous leave our office calm and with an understanding of how we can support them with their finances.

I have seen a lot of talk recently about AI in our industry – particularly whether it will replace advisers.

My view is that it will support our work, streamline our processes and automate some aspects that haven’t been previously. But, because of emotions, it will never replace us all together.

AI doesn’t understand the nuances of our upbringing, the habits (good and bad) we learned from our parents, the relationships we have with money, societal pressures and how we deal with all that.

The same can be said for do-it-yourself options.

To plug the advice gap, it is important self-service options are available in some scenarios, and for some advice products. However, they will never replace a trusted human adviser – because of emotions.

Does clicking some buttons on a laptop give you peace of mind? Does it take away any nervousness you are feeling? Does that process understand you as an individual and what you are feeling while you select those options? No.

Our role as advisers is far more than a selection of products and funds. It’s almost therapy. Taking the time to listen to people’s experience.

Indeed, feelings is one of the reasons I got into this job.

I come from a working-class background – Isas, Oeics and bonds weren’t commonplace in our house. In fact, they aren’t words I had heard or understood until I was an adult.

The brilliant people I grew up with were concerned with making sure the lights were on and the fridge was full, not what to do with the extra £30,000 they had amassed in savings. People like that have a completely different set of emotions.

Whoever walks into our offices, it is vital we take the time to understand how they are feeling, listen to their experience with money and tailor our approach to suit the varying responses.

The client may need more time to mull things over, they may need more time spent on the premise of investing, they may need a certain loved one present or they may just need to verbalise what they have been feeling and have that accepted as valid.

Looking after people and their finances is a huge privilege. I hope advisers keep that, and the emotions attached to financial planning, at the fore of what they do.

AI can’t do that, nor can self-service options. Personable advisers that listen, empathise and take the time to connect on a human level are invaluable.

Tarnia Elsworth is director at TP Financial Solutions