Upheld: Account administration errors complaint against Sky UK Limited
Financial Ombudsman decision DRN-6052259 of 2026-01-22T00:00:00+00:00. Account administration errors complaint against Sky UK Limited. Outcome: Upheld.
Decision detail
| Reference | DRN-6052259 |
|---|---|
| Decision date | 2026-01-22T00:00:00+00:00 |
| Firm | Sky UK Limited |
| Product | Personal loan |
| Claim type | Account administration errors |
| Outcome | Upheld |
| Remedy | Sky UK Limited to pay £100 compensation to Ms S (if not already paid). Late payment markers between March and May 2024 have been removed from credit file. Postage costs refunded. |
Summary
Ms S complained about Sky's administration of a fixed sum loan agreement after a direct debit payment failed in March 2024, leading to missed payments and adverse credit file markers. Although the initial payment failure appeared to result from insufficient funds in her account, Sky acknowledged it did not reattempt the direct debit as stated on its website and the mandate was cancelled for unknown reasons. Ms S raised concerns about the credit file impact in October 2024, but Sky did not address these promptly. The ombudsman upheld the complaint, finding Sky's removal of late payment markers and £100 compensation to be fair, though unable to conclude that Ms S' claimed property purchase losses were directly caused by Sky's actions.
The Ombudsman's reasoning
The ombudsman found that the initial direct debit failure was likely due to insufficient funds in Ms S' account rather than Sky's actions, based on bank statement evidence. While Sky failed to reattempt the direct debit as stated on its website, the reason for the mandate cancellation was unclear. Sky took reasonable steps to notify Ms S of missed payments through multiple communications. Although Sky could have managed Ms S' credit file concerns better when raised in October 2024, the removal of late payment markers and £100 compensation represents a fair resolution. The ombudsman could not safely conclude that Ms S' claimed financial losses were a direct consequence of Sky's actions.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| Sky UK Limited, all decisions | 62 | 41% |
| Account administration errors, all decisions | 25,844 | 25% |
| Personal loan, all decisions | 22,762 | 30% |
Source
Read the original decision on the Financial Ombudsman Service website