Not upheld: Fraud reimbursement (APP scams) complaint against National Westminster Bank Public Limited Company

Decision detail

Summary

Mr M paid a roofer £24,420 for roof replacement work in February 2025. The roofer initially agreed to remove moss but then claimed the roof was unsafe and required replacement. Although the roofer completed the work, it was of poor quality, caused damage to other property, and Mr M believes he was scammed. NatWest refused to refund the payments, characterizing it as a civil dispute. The ombudsman upheld NatWest's decision, finding that the circumstances do not meet the Payment Systems Regulator's definition of an APP scam, as both parties intended the payments to be for roofing work. The poor quality of work and property damage constitute a civil dispute over goods and services, which are specifically excluded from scam reimbursement rules.

The Ombudsman's reasoning

The ombudsman applied the Payment Systems Regulator's definition of an APP scam, which requires that either the recipient was not who the consumer intended to pay, or the payment was not for the purpose the consumer intended. The ombudsman found that Mr M made the payments for the purpose of paying for roofing work, and the roofer also intended to carry out roofing work. While the roofer's conduct was unprofessional and the work was of poor quality, this constitutes a civil dispute over goods and services rather than fraud or dishonesty as defined in the Reimbursement Rules. The ombudsman noted that a scammer would typically do minimal work, but here substantial work was completed, suggesting the roofer did intend to complete the work.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website