Not upheld: Fraud reimbursement (APP scams) complaint against HL Partnership Limited

Decision detail

Summary

Mr I complained that HL Partnership failed to properly handle a 2019 re-mortgage, during which he alleged his ex-partner forged his signature and fraudulently altered property ownership. Mr I claimed HL Partnership should have detected inconsistencies and made direct contact with him as a joint borrower. The ombudsman found that while HL Partnership should have contacted Mr I directly, there was no evidence this omission caused financial loss, as Mr I was aware of the re-mortgage and nothing suggested fraud to HL Partnership. The ombudsman also found HL Partnership was not responsible for the property ownership issue, which was handled by a solicitor. The complaint was not upheld.

The Ombudsman's reasoning

Although HL Partnership should have made direct contact with Mr I as a joint borrower, the ombudsman found no evidence that this failure caused financial loss. Mr I was aware of the re-mortgage and had provided documents to his ex-partner. The ombudsman found nothing in the documentation that would have alerted HL Partnership to potential fraud or lack of consent. Re-mortgaging at the end of a fixed rate period is sensible practice, and Mr I, being aware of the original mortgage, would likely have agreed to proceed. HL Partnership was not directly involved in the property ownership change, which was handled by a solicitor, so it cannot be held responsible for related legal costs.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website