Not upheld: inadequate communication of account block/restriction complaint against Lloyds Bank PLC

Decision detail

Summary

Mr B complained that Lloyds Bank failed to effectively communicate a security block placed on his credit card account following a declined transaction on 1 September 2025. Mr B claimed he did not receive an SMS or voicemail notification from Lloyds and that there was no indication of the block on his online banking platform, leaving him unable to use the card for approximately 17 days. The ombudsman found that Lloyds did attempt to contact Mr B via phone call and SMS, which constituted reasonable communication in a security-risk situation. The ombudsman determined that the failure to receive these communications was likely due to Mr B's international roaming status and voicemail deletion practices rather than Lloyds' error, and concluded that Lloyds was not obligated to use alternative contact methods. The complaint was not upheld and no compensation was awarded.

The Ombudsman's reasoning

The ombudsman found that Lloyds attempted to contact Mr B through two different methods (phone call and SMS), which was sufficient communication in a security-risk situation. While Mr B did not receive these communications, the ombudsman determined on the balance of probabilities that Lloyds did attempt contact and that the failure to receive the messages was likely due to factors at Mr B's end (international roaming, voicemail deletion practices) rather than Lloyds' error. The ombudsman concluded that using calls and texts in security situations is reasonable as they are the fastest contact methods, and that Lloyds was not obligated to use alternative methods such as email or in-app notifications.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website