Not upheld: unauthorized processing of personal data and unauthorized claims processing complaint against Consultation Claims Ltd

Decision detail

Summary

Mr B complained to the Financial Ombudsman Service after Consultation Claims Ltd (CCL) processed a motor finance mis-selling claim using his personal data without his consent, which had been obtained from lead generator D. CCL upheld Mr B's complaint and offered an apology, deactivated the claim, and removed his details from their system, but Mr B sought significant financial compensation and regulatory changes. The ombudsman found that CCL had acted unfairly by failing to verify that the lead generator had appropriate data protection systems in place, but concluded that CCL's response adequately remedied the harm by returning Mr B to his proper position. The ombudsman distinguished between CCL's responsibility and the separately regulated lead generator's responsibility, and declined to award additional compensation, noting that the FOS role is to address impact, not punish businesses or effect regulatory changes.

The Ombudsman's reasoning

The ombudsman accepted that CCL acted unfairly by processing a claim with data obtained without consent, but found that CCL's response (apology, claim deactivation, and data removal) adequately returned Mr B to the position he would have been in had CCL acted fairly. The ombudsman distinguished between CCL's responsibility and D's responsibility as the lead generator, noting that D's role in sharing data without consent was a separate matter. The ombudsman concluded that CCL's swift response to the complaint was fair and proportionate, and that monetary compensation was not warranted as CCL had already addressed the impact of their specific failing.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website