Upheld: Card / payment disputes complaint against Barclays Bank UK PLC

Decision detail

Summary

Mr K complained to Barclays in mid-November 2024 about fraudulent transactions totalling £70,000 and requested chargebacks. Barclays only raised a dispute for £3,000 initially and failed to raise disputes for the remaining £67,000 until late December 2024. The £67,000 in disputes were ultimately successful and returned by early March 2025, but Barclays maintained the £3,000 dispute was unsuccessful, claiming Mr K had not provided evidence. The ombudsman found Mr K had submitted evidence in time and upheld the complaint, requiring Barclays to refund the £3,000 and increase compensation from £150 to £400 total to recognise the distress and delays caused by Barclays' mishandling of the disputes.

The Ombudsman's reasoning

The ombudsman found that Barclays' failure to raise all disputes in mid-November 2024 caused several weeks of delay. While the chargeback process itself is run by the card scheme provider and involves inherent time delays, Barclays' initial failure to raise the disputes added unnecessary delay. The £3,000 dispute should have been successful given Mr K had submitted evidence (albeit without a reference number) and the other disputes were successful. Barclays' poor communication and lack of support during this worrying period, combined with their incorrect assertion that Mr K had not provided evidence, warranted compensation. However, the ombudsman noted that some of Mr K's distress was caused by being a victim of fraud rather than solely by Barclays' shortcomings, and therefore did not increase compensation to the level Mr K sought.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website