Upheld: service failure in account opening and complaint handling complaint against National Westminster Bank Plc
Financial Ombudsman decision DRN-6335485 of 2026-05-18T00:00:00+00:00. service failure in account opening and complaint handling complaint against National Westminster Bank Plc. Outcome: Upheld.
Decision detail
| Reference | DRN-6335485 |
|---|---|
| Decision date | 2026-05-18T00:00:00+00:00 |
| Firm | National Westminster Bank Plc |
| Product | current account |
| Claim type | service failure in account opening and complaint handling |
| Outcome | Upheld |
| Remedy | Pay Mr T £50 compensation (if not already paid). NatWest to honour the switch incentive and backdate any lost interest on the savings account if Mr and Mrs T proceed with opening the accounts. |
Summary
Mr T complained that NatWest prevented him from opening a joint account with his wife due to an active profile retained from her previous account closed 18 years earlier. Despite multiple attempts to resolve the issue through online, telephone, and branch services, NatWest failed to resolve the matter promptly and exceeded standard complaint timeframes. NatWest eventually deleted the old profile and offered £50 compensation plus the switch incentive. The ombudsman upheld the complaint, finding the £50 compensation fair given the service failures, though declining to address complaint handling as a regulatory matter.
The Ombudsman's reasoning
The ombudsman found that while the underlying issue with Mrs T's profile was the root cause, Mr T was entitled to fair treatment in his own complaint. NatWest failed to resolve the matter promptly through multiple channels and exceeded standard complaint timeframes. Although complaint handling is not a regulated activity, the service failures in attempting to open the account and the delays in resolution justified compensation. The £50 offer, combined with the commitment to honour the switch incentive and backdate savings interest, was deemed fair and reasonable.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| National Westminster Bank Plc, all decisions | 11,490 | 19% |
Source
Read the original decision on the Financial Ombudsman Service website