Partially upheld: safeguarding referral and duty of care; inadequate customer support and handling complaint against Monzo Bank Limited trading as Monzo

Decision detail

Summary

Miss M complained that Monzo Bank made an unjustified referral to social services regarding her wellbeing, using language about mental health concerns (including references to 'paranoia or delusional thinking') that she felt was unwarranted and caused her distress, cost, and injury to her and her family. This was not the first referral by Monzo to social services. Monzo defended its actions as a reasonable exercise of its duty of care, based on escalating concerns since March 2025 and a pattern similar to 2024 referrals. The ombudsman found the referral itself was reasonably made based on well-documented concerns, but upheld the complaint in part because Monzo failed to handle Miss M's initial call appropriately, provide adequate follow-up support, and later gave her incorrect information about the referral. The ombudsman awarded £300 compensation for these failures but declined to require deletion of records or compensation for the broader consequences of the referral.

The Ombudsman's reasoning

The ombudsman found that Monzo's referral to social services was reasonably made based on well-recorded concerns about Miss M's wellbeing, escalating concerns since March 2025, and a pattern similar to 2024. Monzo has a duty of care to escalate concerns it cannot deal with. The referral information was reasonable and involved no specific account details. However, Monzo failed to handle Miss M's call of 22 July 2025 appropriately, providing insufficient follow-up and support. The agent was not always empathetic or helpful, there was a delay before social services contacted Miss M, and Monzo later provided incorrect information about having made the referral. While the ombudsman understood Miss M's distress about the language used in the referral, it was not expressed as definitive and it was appropriate for social services to make its own assessment. Monzo is not responsible for the actions of social services or the consequences of the referral itself.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website