Partially upheld: Account administration errors complaint against National Westminster Bank Plc

Decision detail

Summary

Ms O complained that card transactions were blocked while travelling abroad between October and November 2025, despite notifying NatWest and being told at the branch she could use her card normally. Although NatWest's records showed the bank itself did not decline any payments, the ombudsman found the bank should have provided better advice during the branch visit about potential payment issues and the requirement to have her registered phone available for app-based multi-factor authentication. The ombudsman upheld the complaint in part, finding that good practice required warning Ms O about these risks and suggesting alternative payment methods, and ordered compensation of £200 despite Ms O suffering no direct financial loss.

The Ombudsman's reasoning

While NatWest did not itself block any payments, the ombudsman found that good practice required the bank to provide more information during the face-to-face branch discussion about using the account abroad. Specifically, the bank should have warned that card payments might still be declined from other sources and advised that Ms O would need her registered phone to use the app for multi-factor authentication. The ombudsman also suggested recommending an alternative payment method. Although the exact cause of the payment failures could not be determined and Ms O suffered no direct financial loss, the inconvenience and worry warranted modest compensation.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website