Not upheld: Alleged provision of incorrect information about Cash ISA product features complaint against Leek United Building Society (trading as Leek Building Society)

Decision detail

Summary

Mr C complained that Leek Building Society staff incorrectly advised him that he could withdraw funds from his Cash ISA exceeding his annual subscription allowance and redeposit them later without losing tax-free status. When Mr C attempted to redeposit the funds months later, he was told this was not possible. Leek denied providing such advice and stated it does not offer Flexible Cash ISAs. The ombudsman found on balance of probabilities that a misunderstanding arose rather than incorrect advice being given, noting the simplicity of Cash ISA rules, Leek's regular staff training, and the clear product information available. The complaint was not upheld.

The Ombudsman's reasoning

The ombudsman applied the balance of probabilities standard due to absence of direct evidence and reliance on recollections of conversations. The ombudsman found that the Cash ISA is a straightforward product with simple rules, and given Leek's regular staff training, it was unlikely a staff member would have provided the advice Mr C claims. The ombudsman believed Mr C visited for guidance but concluded a misunderstanding likely arose. The ombudsman reviewed the product information and found it clearly stated the account is 'not a flexible ISA' on the front page of the Key Product Information sheet, making the rules transparent and not hidden.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website