Not upheld: Account administration errors complaint against Lloyds Bank Plc

Decision detail

Summary

Mr J complained to Lloyds Bank Plc after discovering he had been charged £238.75 and £379 in service charges for withdrawing cash from his business account over the counter. He had transferred money from his personal account to his business account because he did not hold a debit card for his personal account and the withdrawal amounts exceeded cash machine limits. Lloyds refunded the larger charge (£379) as a goodwill gesture but maintained both charges were correctly applied under the business account terms and conditions. The ombudsman did not uphold the complaint, finding that Lloyds was entitled to impose the charges and acted fairly by refunding the larger amount.

The Ombudsman's reasoning

The ombudsman found that Lloyds was entitled to charge for cash withdrawals from the business account in accordance with the agreed terms and conditions. While the ombudsman acknowledged Mr J's frustration and understood his reasons for using the business account, there was no evidence that Lloyds acted unfairly or unreasonably. The ombudsman considered that Lloyds took Mr J's concerns into account and refunded the larger of the two charges as a fair and reasonable outcome.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website