Not upheld: cheque stopping and payment authorization complaint against Barclays Bank UK PLC

Decision detail

Summary

Mrs B complained that Barclays Bank UK PLC failed to stop a cheque she had been coerced into signing for a higher amount than she was comfortable with. She claimed she called Barclays on 28 December 2025 to cancel the cheque, but Barclays records showed she called on 30 December 2025, by which time the cheque had already cleared. The ombudsman found Mrs B liable for the authorized payment under the Payment Services Regulations 2017, as she had signed the cheque and Barclays was unaware of the coercive circumstances. The ombudsman concluded Barclays acted fairly in reimbursing the stopping fee and paying £100 compensation, and did not uphold the complaint.

The Ombudsman's reasoning

Under the Payment Services Regulations 2017, Mrs B is liable for authorized payments as she signed the cheque, even though she felt pressured. Barclays was not aware of the coercive circumstances and had no reason to consider the payment suspicious or out of character based on account statements. The payment amount did not represent high risk. Barclays could not stop the cheque when Mrs B actually contacted them on 30 December 2025 because it had already cleared that day. Barclays acted fairly in reimbursing the stopping fee and paying compensation for any confusion.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website