Lloyds credit card customers are hit by mass fraud after data breach

THOUSANDS of Lloyds Avios Rewards credit card customers have fallen victim of fraud after the bank has been hit with a suspected data breach.

Rogue payments running into hundreds of pounds have been made in customers’ names without their consent or knowledge. Cardholders are now being urged to check their statements.

The Lloyds cards, which give users Avios points when they spend, appear to have been used in a number of fraudulent payments – many in America. Head for Points, a frequent-flyer website, raised the alarm after a number of credit card holders reported problems. Some victims claim never to have used the card, saying they took it out purely for the bonus Avios points.

Lloyds said it had not identified the cause of the fraud but it is thought to be exploring a range of options, including an online hack or an insider data theft. It admitted that the number of people affected was in the low thousands, but said it would refund any fraudulent payments in full.

A Lloyds Bank spokesman said: “A very small number of Lloyds Bank Avios Rewards American Express credit card customers have been affected by recent fraudulent activity.

“This has affected less than one per cent of customers who hold these cards and we have introduced additional controls to provide further protection. We apologise to customers for any inconvenience caused.”