Not upheld: unauthorized payment transactions / alleged fraud complaint against Tide Platform Limited

Decision detail

Summary

Mr W, sole director of company B, complained that 12 unauthorized payment transactions totalling approximately £3,500 were made from B's Tide account to Cafeteria Divinity on 3 November 2025 using Apple Pay on his mobile device. Mr W claimed he did not authorize these transactions, though he admitted authorizing one legitimate payment to the same recipient on the same date. He alleged sophisticated fraud or card cloning had occurred without his knowledge. The ombudsman found that the transactions were properly authenticated and that Mr W provided no credible evidence that a third party bypassed his device security (passcode and Face ID) or compromised his payment credentials. The transaction pattern (12 small payments between 1:29 a.m. and 5:23 a.m.) was inconsistent with typical opportunistic fraud. The ombudsman concluded the transactions were authorized and not upheld the complaint.

The Ombudsman's reasoning

The ombudsman applied the Payment Services Regulations 2017, which require both authentication and consent for authorized transactions. While the transactions were authenticated, the key issue was whether Mr W consented. The ombudsman found that Mr W provided no persuasive evidence that a third party bypassed his device security or compromised his payment credentials. The transaction pattern (12 small payments over several hours in the early morning) was inconsistent with typical opportunistic fraud. The ombudsman rejected Mr W's speculation about sophisticated fraud mechanisms and card cloning without supporting evidence.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website