Not upheld: communication restrictions and service accessibility complaint against Vanguard Asset Management Ltd

Decision detail

Summary

Mr K complained that Vanguard Asset Management Ltd refused to correspond with him by email or post, restricting communication to secure messages only, which prevented him from transferring another pension or arranging contributions due to his work-related inability to access text messages and make phone calls. Vanguard maintained that its service is exclusively online with secure messaging as the standard communication method, as clearly stated in the product terms and conditions. The ombudsman found no wrongdoing, determining that the online-only service model was transparently disclosed at point of sale and that Mr K's personal circumstances, while sympathised with, did not require Vanguard to offer a different service than provided to all customers. The complaint was not upheld, and Mr K was advised he could transfer his pension to another provider without fees if the service did not suit his needs.

The Ombudsman's reasoning

The ombudsman found that Vanguard's service is explicitly marketed and contracted as an online-only service with secure messaging as the primary communication method. The Key Features document and Terms and Conditions clearly set out that documents would be provided online via secure mailbox, and customers must access their account at least quarterly. While the ombudsman sympathised with Mr K's circumstances regarding his work limitations, this did not obligate Vanguard to offer a different service than what it provides to all customers. The fact that Vanguard occasionally corresponded by email regarding the complaint itself did not create an obligation to do so for ongoing pension communications. Mr K retained the option to transfer his pension to another provider without exit fees if the service did not suit his needs.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website