Not upheld: service delays and transfer processing failures complaint against IG Trading and Investments Limited

Decision detail

Summary

Mr S complained to IG Trading and Investments Limited about delays in transferring stock, claiming the delays caused significant financial loss due to volatile share prices. IG admitted service failures, apologised, and offered £250 compensation. The ombudsman upheld this offer as fair for the inconvenience and frustration caused, but rejected the financial loss claim due to lack of evidence that Mr S intended to sell the shares immediately. The transfer took 17 days (4 days longer than the revised expected timeframe), and while Mr S chased IG multiple times, this was insufficient evidence of intent to sell. The ombudsman concluded the £250 offer was reasonable compensation for the service failures.

The Ombudsman's reasoning

The ombudsman accepted IG's admission of service failures and focused on whether the £250 offer was fair. While delays were not disputed and share prices were volatile, the ombudsman found no persuasive evidence from the time that Mr S intended to sell the shares immediately upon transfer. The fact that Mr S chased IG was insufficient evidence of intent to sell, as he may have simply wanted to complete the transfer process. The transfer took only 4 days longer than the revised expected timeframe, and considering the overall circumstances, the £250 compensation for inconvenience and frustration was deemed fair and reasonable.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website