Not upheld: Fraud reimbursement (APP scams) complaint against Barclays Bank UK PLC

Decision detail

Summary

Mr P complained that Barclays should refund money he lost to a scam involving payments for a fake task-based job. Barclays identified a £6,400 payment as a risk and called Mr P to ask about its purpose and circumstances. Mr P provided inaccurate information, stating he was sending money to a relative abroad when in fact he was being scammed. The ombudsman found that Barclays' intervention was proportionate and that Mr P's inaccurate responses hindered the bank's ability to uncover the fraud or provide relevant warnings. The complaint was not upheld and no compensation was ordered.

The Ombudsman's reasoning

The ombudsman found that while consumers are generally liable for authorised payments, banks have obligations to protect customers from fraud. However, banks cannot check every payment. The £6,400 payment was appropriately identified as a risk and Barclays proportionately intervened by calling Mr P. The questions asked were proportionate to the risk identified. Because Mr P provided inaccurate answers about sending money to a relative abroad rather than disclosing the true scam, he hindered Barclays' ability to provide relevant warnings or uncover the fraud. Subsequent payments did not reach a value or pattern requiring further intervention, and there was no evidence Mr P would have been more truthful if contacted again.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website