Not upheld: Account administration errors complaint against Foundation for Credit Counselling trading as Stepchange Debt Charity

Decision detail

Summary

Mr Y complained to Stepchange about difficulties adding two debts to his existing DMP, long phone wait times, and online access issues. During a call on 14 May 2025, Stepchange identified that Mr Y's budget showed a £89 monthly deficit and suspended his direct debit accordingly, with Mr Y agreeing to review his figures and call back. Mr Y subsequently experienced long phone queues and did not wait, and later reported online access problems. The ombudsman found Stepchange's actions were fair and reasonable, as they could not add debts while Mr Y was in budget deficit, the suspension was justified, and Stepchange made reasonable efforts to assist with online issues. The complaint was not upheld.

The Ombudsman's reasoning

The ombudsman found that Stepchange's requirement for Mr Y to call to add debts was a reasonable standard process, particularly given that his budget showed a deficit. The suspension of the direct debit was fair because his budget demonstrated he could not afford the payments. While the ombudsman acknowledged Mr Y's frustration with phone wait times, he could not hold Stepchange responsible for Mr Y's decision not to wait in the queue. Regarding online access issues, Stepchange's investigation and offer to continue assisting was deemed reasonable, with any ongoing issues requiring a new complaint.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website