Not upheld: Account administration errors complaint against Marsden Building Society

Decision detail

Summary

Mr B, as Administrator of his late father's estate, complained that Marsden Building Society failed to explain a discrepancy on his father's account statement showing an opening balance of £111,680.47 in 2010, when the previous year's closing balance was only £55,770.50. Marsden investigated and concluded the opening balance was recorded incorrectly. The ombudsman reviewed the statements, transaction records, and evidence of the account closure, finding that the 2009 closing balance plus interest credited in November 2010 reconciled to the balance before the final authorized withdrawal, with no transactions between these dates to account for the discrepancy. The ombudsman concluded the opening balance on the 2010 statement was incorrect due to administrative error and did not uphold the complaint.

The Ombudsman's reasoning

The ombudsman applied a balance of probabilities test to determine which version of events was more likely. By comparing the 2009 closing balance (£55,770.50) with the 2010 opening balance (£111,680.47), and noting no intervening transactions, the ombudsman concluded the 2010 opening balance was incorrect. The fact that the 2009 closing balance plus interest credited on 23 November 2010 equaled the balance before the withdrawal, combined with the late Mr B's signed Closure Authority and the absence of any evidence of his concern about the discrepancy, supported Marsden's position that the opening balance was a typing or administrative error.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website