Partially upheld: failure to provide reasonable adjustments and promised support; inadequate complaint handling complaint against Monzo Bank Limited

Decision detail

Summary

Mr T complained to Monzo Bank Limited about its response to his request for support with loan repayments after his employment status changed. He claimed he was told to default first before receiving help and that Monzo failed to provide promised phone updates despite his vulnerabilities. The ombudsman found that Monzo actually offered appropriate forbearance options on the May 2025 call and was supportive, but upheld the complaint in part because Monzo failed to provide promised callbacks that Mr T had specifically requested as a reasonable adjustment. The ombudsman awarded £200 total compensation for the stress caused by these missed callbacks, while clarifying that complaint handling issues fall outside FOS jurisdiction.

The Ombudsman's reasoning

The ombudsman found that Monzo did not tell Mr T he needed to default first; rather, it offered multiple forbearance options and was helpful and supportive on the May 2025 call. However, Monzo failed to provide promised callbacks that Mr T had specifically requested as a reasonable adjustment for his vulnerabilities, causing him avoidable distress. The ombudsman clarified that complaint handling issues fall outside FOS jurisdiction and cannot be considered. Despite the callback failures, Mr T was ultimately able to manage his repayments and no credit file damage occurred.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website