Not upheld: balance transfer promotion not applied; alleged lack of clarity about promotion terms complaint against Barclays Bank UK PLC trading as Tesco Bank

Decision detail

Summary

Mrs L complained that Tesco Bank failed to apply a 0% interest balance transfer promotion (with 2.99% fee) to her credit card account when she applied in October 2025, and that Tesco were unclear about the promotion terms. Tesco charged her standard interest rates and fees, later explaining that their 0% promotion did not begin until November 2025 (with a 4.99% fee). The ombudsman found no evidence supporting the existence of the October promotion Mrs L recalled, as Tesco's records contained no such offer and Mrs L could not provide documentation. The ombudsman concluded Tesco properly applied standard rates under their agreement and that the £20 compensation and two-month interest waiver already provided were fair remedies for the subsequent misinformation about the promotion start date. The complaint was not upheld.

The Ombudsman's reasoning

The ombudsman applied the balance of probabilities test, finding that Tesco would have records of any advertised 0% interest promotion in October 2025, and the absence of such records supports that no such promotion existed at that time. While Mrs L's inability to provide evidence is understandable, the burden falls on Tesco to demonstrate what was available, and they could not. The ombudsman concluded that Tesco's standard rates and fees were properly applied under their agreement terms, and the subsequent misinformation about the November promotion, while disappointing, did not influence Mrs L's original decision. The £20 compensation and two-month interest waiver were deemed adequate remedies.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website