Question to the HM Treasury:

To ask the Chancellor of the Exchequer, if he will make it his policy to require that payment card processing companies cross-reference cardholders' names in addition to existing address verification checks for telephone cardholder not present transactions.

Regarding telephone cardholder not present transactions, the Financial Conduct Authority (FCA) expects that payment service providers (for example, payment card processing companies) should have procedures and safeguards in place to protect customers from the risk of fraud. Payment service providers are subject to several requirements to combat fraud and financial crime under legislation, including under the Payment Services Regulations 2017, the Financial Services and Markets Act 2000, the Money Laundering, Terrorist Financing and Transfer of Funds (Information to the payer) Regulations 2017, and the FCA Handbook. Furthermore, in cases of unauthorised payment fraud (i.e., where a cardholder did not authorise a particular payment), the victim is usually able to claim a full refund from their bank.

The Government and financial regulators are engaged with industry on whether there is more that can be done to prevent payments fraud, and keep policy under review.