Not upheld: unauthorized transactions / disputed payments complaint against Monzo Bank Ltd

Decision detail

Summary

Miss B complained that Monzo refused to refund disputed credit card transactions made between 18-19 October 2024 that she claimed she did not authorize. Monzo's technical evidence showed that prior to the disputed transactions, Miss B's card was set up for Google Pay, a process requiring her full card details, app access, and PIN entry. The ombudsman found that given the security requirements involved and Miss B's confirmation that she never shared her PIN or card details, it was unlikely an unauthorized third party could have completed the Google Pay setup. Although Miss B disputed authorizing this setup, the ombudsman concluded she must have done so, and therefore the subsequent transactions using the authorized token were authorized. The complaint was not upheld.

The Ombudsman's reasoning

The ombudsman found that the technical requirements for setting up Google Pay (full card details, app access, and PIN entry) made it highly unlikely an unauthorized third party could have completed this process without Miss B's involvement. While Miss B strongly disputed authorizing the setup, the ombudsman concluded that without a plausible explanation for how someone could access all required information in her absence, Miss B must have authorized the Google Pay token. Once the token was authorized, the subsequent transactions using that token were considered authorized, even though Miss B did not make them personally.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website