Not upheld: delay in removing adverse credit file information following fraud complaint against National Westminster Bank Public Limited Company (NatWest)

Decision detail

Summary

Mr S complained that NatWest took too long to remove adverse information from his credit file following a fraud incident in summer 2025 that fully utilised his £2,000 overdraft. NatWest agreed to refund the fraudulent transactions and remove the default from his credit file, processing the removal on 19 September 2025. However, Mr S was unhappy that the adverse information remained visible on his credit file for up to six months. The ombudsman found NatWest's response reasonable, as the delay in the default reflecting on the credit file was not due to any error by NatWest but rather the standard timeframe for credit file updates to process.

The Ombudsman's reasoning

The ombudsman found that NatWest acted reasonably and efficiently in responding to Mr S's fraud complaint by agreeing to reimburse the disputed transactions and removing the default from his credit file. While acknowledging the frustration caused by the delay in the default reflecting on the credit file, the ombudsman found no evidence that NatWest made an error or caused delays in processing the removal. The ombudsman noted that credit file updates can take several months to process, which is a standard industry practice, and therefore NatWest was not at fault for the delay.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website