Not upheld: customer service failures, account handling, communication failures, administrative errors complaint against Clydesdale Bank Plc trading as Virgin Money

Decision detail

Summary

Mr M complained to the FOS about multiple customer service failures by Virgin Money, including conflicting information on overpayments, poor call handling, card suspension without notification, unexpected account closure, call disconnections, arrears notices despite payment arrangements, and security concerns regarding credit card numbers in correspondence. Virgin Money acknowledged service failures and had previously compensated Mr M approximately £2,000 since January 2023 and written off an outstanding credit card balance of £1,693 in June 2025. The ombudsman found that while service failures had occurred, Virgin Money had already provided sufficient redress and declined to uphold the complaint or order further compensation.

The Ombudsman's reasoning

The ombudsman acknowledged service failures but determined that Virgin Money had already provided substantial redress through prior compensation of £2,000 and the write-off of a legitimately owed debt of £1,693. The ombudsman assessed the overall impact of failings rather than individual complaint points in isolation, and concluded that further compensation was not warranted given the significant financial benefits already provided to Mr M.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website