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 to his account, which took 16 days (11 days longer than the revised expected timeframe of 3-5 days) and occurred during a period of volatile share price movements. Mr S claimed the delays caused significant financial loss and complained about poor communication and service failures. IG admitted the service failures, apologised, and offered £250 compensation. The ombudsman upheld this offer as fair compensation for inconvenience but rejected the claim for financial loss, finding insufficient evidence that Mr S had planned to sell the shares immediately upon transfer. The ombudsman determined that while the delays were frustrating, the £250 offer adequately addressed the inconvenience caused.

The Ombudsman's reasoning

The ombudsman accepted IG's admission of service failures and focused on whether the £250 offer was fair rather than re-examining all details. While delays were not disputed and share prices were volatile, the ombudsman found no persuasive evidence from the time of transfer that Mr S had planned to sell the shares immediately. The fact that Mr S chased IG to accelerate the process was insufficient evidence of intent to sell, as he may have simply wanted the shares transferred to his account. The 11-day delay beyond the revised timeframe caused inconvenience and frustration, but this was adequately compensated by the £250 offer.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website