Upheld: ATM cash dispensing error and failure to provide evidence complaint against Santander UK Plc

Decision detail

Summary

Mrs M complained that Santander declined to refund her £240 after an ATM malfunction in April 2025 prevented her from receiving the full amount of her second £250 withdrawal. Santander initially raised the dispute against the wrong transaction and later claimed the ATM provider confirmed the machine balanced. The ombudsman found that Santander failed to provide direct evidence from the ATM provider and that subsequent evidence showed the ATM was in surplus and had retained notes. Combined with Mrs M's account activity showing the withdrawal was consistent with her usual patterns, the ombudsman upheld the complaint and directed Santander to refund £240 plus 8% interest.

The Ombudsman's reasoning

Under relevant regulations, the business must prove that a payment transaction was completed correctly. The ombudsman found that while the figures did not align exactly, the evidence of rejected notes in the machine and the ATM being in surplus persuaded the ombudsman that there were potential errors with the machine and that cash was not dispensed when it should have been. Combined with Mrs M's account activity showing the withdrawal was consistent with her usual patterns, the ombudsman concluded it was more likely than not that Mrs M did not receive the full £250.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website