Not upheld: Cifas marker loading for suspected fraud complaint against Starling Bank Limited

Decision detail

Summary

Mr P complained that Starling Bank unfairly loaded a Cifas fraud marker after his account application was declined in September 2023. The marker related to a utility bill with discrepancies that Mr P submitted as part of his application. Mr P claimed he obtained the document from his landlord in good faith and, as someone new to the UK, was unfamiliar with UK administrative practices and did not personally create or alter the document. The ombudsman found that the utility bill contained multiple implausible discrepancies with no reasonable explanation other than to improve the chances of account approval, and concluded that Mr P must have been involved and should have verified the document's accuracy. The complaint was not upheld, and no remedy was ordered.

The Ombudsman's reasoning

The ombudsman applied the Cifas standard of proof, which requires reasonable grounds to believe fraud or financial crime has been committed with clear, relevant, and rigorous evidence. The ombudsman found multiple discrepancies in the utility bill that had no plausible explanation other than to improve the chances of account approval. Although Mr P claimed he did not create or alter the document and relied on his landlord's documentation in good faith, the ombudsman found it implausible that a third party would alter the document without Mr P's involvement, and that a reasonable person would know whether they had lived at an address for the period noted on the bill. The ombudsman concluded Mr P was involved and bore responsibility for checking the accuracy of information provided.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website