Not upheld: unclear and misleading information about transaction status complaint against Zopa Bank Limited
Financial Ombudsman decision DRN-6197771 of 2026-05-07T00:00:00+00:00. unclear and misleading information about transaction status complaint against Zopa Bank Limited. Outcome: Not upheld.
Decision detail
| Reference | DRN-6197771 |
|---|---|
| Decision date | 2026-05-07T00:00:00+00:00 |
| Firm | Zopa Bank Limited |
| Product | credit card |
| Claim type | unclear and misleading information about transaction status |
| Outcome | Not upheld |
| Remedy | Zopa's offer of £20 compensation is fair and reasonable; the ombudsman leaves it to Mrs A to decide whether to accept. |
Summary
Mrs A complained that Zopa provided unclear information about a card payment to merchant M, stating it had been declined when in fact the merchant had placed a temporary hold on the funds. The transaction was never completed and the funds were never deducted from her account, resulting in no financial loss. Zopa acknowledged its explanations were unclear and offered £20 compensation. The ombudsman found the transaction was processed correctly and Zopa's compensation offer was fair and reasonable, particularly as the firm subsequently clarified the position to Mrs A.
The Ombudsman's reasoning
The ombudsman determined that the payment was neither declined nor refunded, but rather subject to a temporary merchant hold, which is not uncommon practice. Mrs A suffered no financial loss as the funds were never deducted from her account. While Zopa's initial explanations lacked clarity, the firm subsequently clarified the position to Mrs A. The ombudsman found that Zopa's £20 compensation offer was fair and reasonable recognition of the failure to provide clear initial explanation, particularly given that the firm did ultimately clarify matters.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| Zopa Bank Limited, all decisions | 545 | 27% |
Source
Read the original decision on the Financial Ombudsman Service website