Not upheld: account restriction and KYC review process; complaint about excessive information requests and contact method complaint against Santander UK Plc

Decision detail

Summary

Ms R complained that Santander restricted her account and conducted an excessive KYC review in May 2025, causing her to miss an online course she was scheduled to attend. She argued the review was disproportionate given she had completed a thorough KYC review in 2024, that Santander should have contacted her via email or secure message rather than phone, and that she should be reimbursed for the course cost and compensated for distress. The ombudsman found that Santander's KYC review was necessary for regulatory compliance, that the extended call duration was largely due to Ms R's own concerns and queries, and that Ms R had declined a call back option in favour of resolving the issue immediately. The complaint was not upheld and no remedy was awarded.

The Ombudsman's reasoning

The ombudsman found that Santander has important legal and regulatory responsibilities to conduct KYC checks and ensure customer information remains current throughout the relationship. The FCA sets detailed guidelines but allows each business autonomy in how they meet these requirements. Santander's decision to conduct a further KYC review in 2025, despite a recent 2024 review, was reasonable and proportionate to its regulatory duties. The ombudsman noted that while the call lasted longer than initially estimated, this was primarily due to Ms R raising concerns and querying the process rather than Santander's conduct being unreasonable. Ms R was offered a call back but chose to remain on the call to resolve the account restriction immediately. The ombudsman determined this was Ms R's choice and not unfair treatment by Santander.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website