Not upheld: fraud - unauthorized account opening and cheque payment complaint against TSB Bank plc

Decision detail

Summary

Miss R complained that TSB allowed a third party to fraudulently open an account in her name and paid a cheque into that account. The ombudsman found it lacked jurisdiction to consider the account opening complaint because Miss R was not an eligible complainant under DISP rules, as she was neither a customer nor potential customer of TSB. Regarding the cheque payment, the ombudsman determined TSB reasonably allowed the valid, in-date cheque to be paid into the account as it was not reasonably aware of the fraudulent account opening at that time. The complaint was not upheld.

The Ombudsman's reasoning

The ombudsman applied the DISP rules and determined Miss R was not an eligible complainant regarding the account opening because she was neither a customer nor potential customer of TSB, as she did not authorize the application. Regarding the cheque payment, TSB reasonably allowed a valid, in-date cheque in Miss R's name to be paid into an account in her name without being aware of the fraudulent account opening.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website