Upheld: service failure, lost documents, inadequate investigation, record-keeping failure complaint against Bank of Scotland plc trading as Halifax

Decision detail

Summary

Mr A and Mrs B complained that Halifax lost forms they had signed during a branch visit to change their joint account to a sole account, and failed to investigate properly. After an eight-week delay, Halifax offered £30 compensation, which the complainants rejected. Halifax subsequently accepted fault and offered £200, with an investigator recommending an additional £100. The ombudsman upheld the complaint and awarded the additional £100 compensation (totalling £300), finding that while the forms were likely lost due to human error, Halifax's service and investigation had fallen short of acceptable standards.

The Ombudsman's reasoning

The ombudsman found it more likely than not that the forms did not end up on the system as a result of human error. While the ombudsman understood the complainants' frustration about the lack of a stronger audit trail, there was insufficient evidence to determine what specifically happened to the forms. The ombudsman considered the £300 total compensation (£200 already paid plus £100 additional) to be fair given the distress and inconvenience caused by the service failure and delayed investigation.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website