Not upheld: scam - refusal to refund authorised payment complaint against Santander UK Plc
Financial Ombudsman decision DRN-6341240 of 2026-05-08T00:00:00+00:00. scam - refusal to refund authorised payment complaint against Santander UK Plc. Outcome: Not upheld.
Decision detail
| Reference | DRN-6341240 |
|---|---|
| Decision date | 2026-05-08T00:00:00+00:00 |
| Firm | Santander UK Plc |
| Product | current account |
| Claim type | scam - refusal to refund authorised payment |
| Outcome | Not upheld |
| Remedy | None - complaint not upheld |
Summary
Ms S complained that Santander should refund £10,000 she lost to an investment scam after being tricked into transferring funds via an EMI to an account controlled by a scammer. Although Ms S was deceived about the payment's destination, the ombudsman found the payment was authorised under the Payment Services Regulations 2017 because she consented to it and authenticated it with an OTP. Santander had no duty to intervene as the payment appeared to be to an account in Ms S's name, was not unusually high compared to her regular activity, and a scam warning was provided. The complaint was not upheld.
The Ombudsman's reasoning
Under the Payment Services Regulations 2017, the payment was authorised because Ms S consented to it and it was correctly authenticated, regardless of whether she was fully aware of its destination. Consent is an objective test. Santander had no duty to intervene as the payment appeared to be to an account in Ms S's name via an EMI, was not so unusual compared to her account activity, and a proportionate scam warning was provided. The firm processes high volumes of transactions and must balance fraud prevention with allowing legitimate account use.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| Santander UK Plc, all decisions | 14,445 | 22% |
Source
Read the original decision on the Financial Ombudsman Service website