Independent workshops warned of the rise in friendly fraud cases
5 March 2026 
Tyre and vehicle maintenance specialist Point S UK is urging independent garages to be vigilant following a significant rise in chargeback fraud, a deceptive practice it says is increasingly targeting automotive service businesses across the country.
In the scam, also known as “friendly fraud”, customers make a legitimate booking, have work carried out, and pay by card, then contact their bank to reverse the payment. The practice now accounts for up to an estimated 80% of all chargebacks, according to widely cited industry research, and Point S UK is aware that several of its members have already been affected.
For independent garages, the financial damage is multi-layered. As well as reversing the full cost of parts and labour, banks typically charge an additional £28 plus VAT for every disputed transaction. Then businesses face a time-consuming administrative burden when challenging the claim, taking resource away from day-to-day operations.
Garages whose chargeback rate consistently exceeds 1% also risk higher card processing fees or, in the most serious cases, losing their merchant account entirely.
Fraudsters actively target businesses they perceive as having weaker payment controls, making the review and strengthening of internal procedures one of the most effective deterrents a garage can deploy.
Point S UK is encouraging workshops to seek specialist advice on how to best safeguard their payment processes. By staying vigilant and updating procedures, garages can protect their margins, reduce exposure to fraudulent claims, and ensure they remain a secure environment for genuine customers.
Ali Yilmaz, Managing Director of Point S UK said: “This is a growing threat that independent garages cannot afford to ignore. Fraudsters are opportunistic. Businesses that are seen to have robust payment procedures in place are far less likely to be targeted. Every workshop should be aware of the risk and take the necessary steps to protect their business and their margins.”