Not upheld: CIFAS fraud marker lodgement - alleged improper reporting complaint against Monzo Bank Limited

Decision detail

Summary

Mr B complained that Monzo Bank Limited improperly lodged a fraud-related marker on the CIFAS database after blocking his account in January 2026. Two payments of £500 each had been received as part of a rental deposit scam, which Mr B initially claimed were a gift, then later claimed resulted from coercion or a job scam. The ombudsman found that Monzo had clear evidence Mr B knowingly received and transferred the fraudulent funds using a money exchange service, with a pattern of similar transactions occurring days earlier. The ombudsman rejected Mr B's varying explanations as implausible and upheld Monzo's decision to lodge the marker in accordance with CIFAS requirements.

The Ombudsman's reasoning

The ombudsman applied the CIFAS marker requirements: there must be reasonable grounds to believe an identified fraud has been committed and the evidence must be clear, relevant and rigorous. The ombudsman found Monzo had clear evidence that Mr B received fraudulent funds from a rental deposit scam and knowingly transferred them using a money exchange service. The pattern of similar transactions on 2 and 4 January suggested ongoing fraudulent behaviour. The ombudsman rejected Mr B's changing explanations as implausible, particularly his claim of coercion via social media without immediately disclosing this to Monzo. The evidence demonstrated Mr B's active involvement in transferring the funds, contradicting his claims of victimhood.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website