Not upheld: unsuitable product / failure to recommend alternative savings products complaint against Santander UK Plc

Decision detail

Summary

Mr G, represented by his Power of Attorney, complained that he held over £100,000 in a Santander current account earning interest on only the first £20,000, and that Santander should have done more to ensure he received a reasonable return and was aware of alternative savings options. Santander declined to uphold the complaint, stating it does not provide financial advice and customers are responsible for managing their own accounts. The ombudsman found that Santander provided clear information through monthly statements and marketing materials about the account's interest rate and alternative products, and could not reasonably assume Mr G's financial objectives without evidence of dissatisfaction. The complaint was not upheld.

The Ombudsman's reasoning

The ombudsman found that Santander provided clear, fair and not misleading information through monthly statements and marketing materials about the account's interest rate and alternative savings products. While the Consumer Duty sets higher standards, it came into force on 31 July 2023 and was not retrospective; Mr G's account predated this. The ombudsman concluded Santander could not reasonably assume Mr G's specific financial objectives without evidence of dissatisfaction, and Mr G's active use of the account suggested he was satisfied with it. Even if Santander should have done more, the fact that Mr G did not move money into savings when he opened an ISA in October 2024 suggests he would not have done so even with more proactive support. Age alone does not indicate vulnerability.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website