Not upheld: scam reimbursement / cryptocurrency investment fraud complaint against Barclays Bank UK PLC

Decision detail

Summary

Mr B lost £7,770 to a sophisticated cryptocurrency investment scam after responding to a social media advertisement. He made four payments to wallet addresses provided by scammers who promised investment returns but repeatedly requested additional payments to enable withdrawals. Barclays declined his reimbursement claim. The ombudsman found that Barclays provided proportionate interventions including scam warnings on multiple payment attempts and telephone contact regarding the £4,500 payment. Although the ombudsman acknowledged this was a finely balanced case, it concluded that Mr B's own actions—including continuing to interact with scammers after contacting law enforcement and the genuine company—demonstrated he would not have acted differently with further questioning from Barclays.

The Ombudsman's reasoning

The ombudsman found that Barclays' interventions were proportionate and that the payments were consistent with Mr B's account history. Although the £4,500 payment presented a natural opportunity for further discussion, the ombudsman was not persuaded that additional questioning would have prevented the loss. Mr B had already been presented with relevant cryptocurrency warnings, acknowledged seeing them as 'generic pop-ups', and demonstrated through his actions (providing different payment reasons, continuing to interact with scammers after contacting law enforcement and the genuine company) that he would likely have proceeded regardless. The scam was sophisticated and Mr B's own conduct suggested he was aware of risks but chose to continue.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website