Not upheld: scam refund claim - insufficient evidence of loss complaint against Monzo Bank Limited

Decision detail

Summary

Mr C complained that Monzo Bank Limited failed to refund funds he lost after being scammed through a romance scam involving cryptocurrency investment. Mr C met someone on a dating site, developed a relationship, and was persuaded to invest in cryptocurrency. Between February and March 2024, he made payments from his Monzo account to legitimate cryptocurrency providers and then transferred funds to what he believed were genuine trading platforms. When he could not withdraw his funds, he contacted Monzo, which refused to refund him. The ombudsman did not uphold the complaint because Mr C failed to provide sufficient evidence demonstrating that he had actually lost funds as a result of a scam, rather than a failed investment. The screenshots of transactions he provided lacked identifying details and were partially undated, and he could not provide evidence for the second alleged fake trading platform.

The Ombudsman's reasoning

The ombudsman determined that while Monzo has responsibilities to protect customers from fraud and scams, these responsibilities are predicated on there being evidence of an actual scam and loss. The ombudsman found that although Mr C made payments to legitimate cryptocurrency providers, there was insufficient evidence that these funds were subsequently moved to scammers' platforms. The screenshots provided lacked identifying details and were partially undated, and no evidence was provided for the second alleged fake trading platform. Without satisfactory evidence of a scam loss, it would not be reasonable to hold Monzo liable.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website