Not upheld: Authorised Push Payment (APP) scam claim / fraud reimbursement complaint against Monzo Bank Limited

Decision detail

Summary

Mr M paid approximately £3,000 to a personal account for patio and driveway cleaning and sealant application work performed by tradesmen who knocked on his door. He later became concerned that the account details differed from those on the invoice and believed he had been scammed. Monzo declined his fraud claim as a civil dispute. The Ombudsman upheld Monzo's decision, finding that Mr M knew he was paying a personal account (as confirmed by the Confirmation of Payee check), some work was completed, and the evidence was insufficient to prove fraudulent intent rather than poor quality work or disorganisation. The complaint was not upheld.

The Ombudsman's reasoning

The Ombudsman applied the APP scam definition which requires either that the recipient was not who the consumer intended to pay, or the payment was not for the intended purpose. Mr M knew he was paying a personal account when he entered the details and the Confirmation of Payee check would have alerted him to this. The payment was for cleaning and sealant work, and some work (cleaning) was undisputedly completed. While the sealant application was uncertain, this could indicate poor quality work rather than fraudulent intent. Paying a personal account rather than a business account could indicate poor organisation rather than fraud. The evidence was insufficient to show fraud was the most likely explanation over other possibilities.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website