Not upheld: scam loss - alleged unauthorised payment complaint against National Westminster Bank Public Limited Company (NatWest)

Decision detail

Summary

Mr A complained that NatWest should refund two £500 payments made in April 2021 to a friend's account, claiming the friend converted the money to cryptocurrency and sent it to an investment scam. Mr A did not complain until December 2025 and provided limited evidence including generic screenshots and undated messages. The ombudsman found insufficient evidence to substantiate the scam loss and determined that even if the loss occurred, Mr A authorised the payments and bears liability under the Payment Services Regulations. NatWest had no obligation to intervene as the payments were moderate, consistent with Mr A's spending patterns, and made to a known friend's account. The complaint was not upheld.

The Ombudsman's reasoning

The ombudsman found insufficient evidence to substantiate that the payments were actually lost to a scam, particularly given the lack of documentation showing the friend forwarded funds to scammers, absence of crypto statements, and incomplete message history. Even if the scam loss were established, Mr A authorised the payments under the Payment Services Regulations and is liable in the first instance. NatWest had no obligation to intervene as the payments were moderate, in-character, and made to a known friend's account with no suspicious indicators. Post-complaint, recovery was impossible as the money had already been sent to scammers via cryptocurrency, falling outside the CRM Code.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website