Not upheld: scam/fraud - insufficient intervention and reimbursement dispute complaint against MONZO BANK LIMITED

Decision detail

Summary

Mr C complained that Monzo Bank Limited failed to reimburse all funds lost to an alleged investment scam totalling £1,296.60 across six payments made in September 2025. Monzo had refunded 50% of one payment and 100% of another, but Mr C sought full reimbursement. The ombudsman found that the disputed payments were not sufficiently unusual or suspicious to warrant Monzo's intervention, as they were low-value and consistent with Mr C's normal account activity. Additionally, Mr C bore equal responsibility for the loss as he failed to conduct independent research, did not know the company name, and took insufficient protective steps. The complaint was not upheld as Monzo had already done more than was fair to require.

The Ombudsman's reasoning

The ombudsman found that Monzo had no sufficient grounds to suspect Mr C was at risk of financial harm from fraud when the payments were made. The disputed payments were low-value and consistent with Mr C's normal account activity, occurring over a short period. Even if payment 5 should have triggered fraud detection, Mr C bore equal responsibility for the loss because he failed to take protective steps, did not know the company name, and conducted no independent research. Monzo had already reimbursed more than would be fair to require.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website