Not upheld: service failure, poor handling of foreign cheque deposit, lost cheque, inadequate communication complaint against National Westminster Bank Public Limited Company

Decision detail

Summary

Ms O complained about NatWest's handling of a Euros 280 cheque she posted to them while abroad in May 2025. The cheque was lost in transit during security checks, and Ms O was not informed of this, requiring her to make multiple follow-up calls. NatWest eventually credited the sterling equivalent (£242.72) and paid £725.27 in total compensation. Ms O sought additional compensation for secondary expenses including travel costs and unpaid bills. The ombudsman found NatWest provided poor service but determined the compensation was fair because Ms O received the funds within the normal processing timescale and NatWest could not fairly be held responsible for expenses arising from her financial circumstances rather than the service failure itself.

The Ombudsman's reasoning

The ombudsman found that Ms O received poor service throughout the process, with staff failing to adequately assist her and the cheque being lost without proactive notification. However, the ombudsman determined that Ms O received the funds within the timescale that would have been allowed had the cheque been collected and cleared normally (up to 12 weeks). The ombudsman could not fairly hold NatWest responsible for the secondary expenses Ms O incurred (such as travel costs and unpaid bills) as these were not a direct result of NatWest's failure but rather consequences of Ms O's financial position. The ombudsman considered that NatWest's total compensation of £725.27 was fair given the considerable distress and inconvenience caused, and noted that a higher award might not otherwise have been justified given the circumstances.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website