Partially upheld: Fraud reimbursement (APP scams) complaint against ClearBank Limited

Decision detail

Summary

C, a company directed by Mr G, complained that ClearBank Limited (trading as Tide) declined to reimburse approximately £8,000 in payments made following a scam call in October 2025. The scammer impersonated Tide and coached Mr G into confirming a payment through the banking app's 3DS authentication process, which the merchant then split into four smaller payments. Mr G disputed all payments, claiming he had not knowingly authorized them and had lost app access. The ombudsman found that Mr G had formally confirmed the initial payment through the app, making payments 1-4 authorized, though Tide fairly offered 50% reimbursement for payments 3 and 4. Payments 5 and 6, which occurred after Mr G reported fraud, should have been prevented by Tide and were properly offered for full reimbursement with interest. The complaint was partially upheld.

The Ombudsman's reasoning

The ombudsman found that Mr G likely confirmed the initial payment through the banking app, probably coached by the scammer into believing it was necessary to protect the account. While Mr G did not initiate the payment, he gave formal consent under the Payment Services Regulations by confirming it in the app. The payment was not so unusual as to require Tide to intervene beforehand. However, Tide should have prevented payments 5 and 6 which occurred after Mr G reported fraud. The ombudsman considered Tide's offer of 50% reimbursement for payments 3 and 4 fair, and full reimbursement plus interest for payments 5 and 6 appropriate.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website