Current Account

A financial services provider must take proactive steps to resolve ongoing access issues rather than dismissing complaints as duplicative of previous matters.

A lender must perform proportionate affordability checks that are borrower-focused and verify income where the borrower's existing debt levels warrant further investigation.

Lenders must conduct reasonable and proportionate affordability checks that consider the impact of repayments on the borrower's circumstances, not just the likelihood of repayment.

A bank may record an account as in default once three to six months of arrears have accrued, provided proper demand has been made and the consumer is unable to repay within the required timescale.

A bank must provide clear warning of the consequences of account closure and loan default before taking such severe action, particularly where the customer is in financial difficulty but demonstrating ability to meet commitments.

A bank should withdraw an overdraft facility when informed that a business has ceased trading and requested account closure, even if the account cannot be closed while overdrawn.

A bank may close an account with proper notice under its terms and conditions, but must avoid creating avoidable inconvenience by continuing to process applications it knows will fail.

A lender should not apply a mortgage rate switch without the explicit consent of all joint mortgage holders, particularly when one has clearly stated they do not want changes.

A lender must take active steps to address persistent overdraft reliance rather than relying solely on written warnings.

A lender must carry out proportionate affordability checks before lending, with the level of checks depending on factors such as loan amount, borrower income, and credit history.

A lender must complete reasonable and proportionate affordability checks before lending, considering the borrower's individual circumstances and ability to repay in a sustainable way.

Firms must support customers to use their products and services, and where access is lost due to foreseeable circumstances (like loss of email access), they must reasonably enable account recovery.

A firm must reasonably foresee that customers may lose access to email accounts and take reasonable steps to support account access, per the FCA Consumer Duty.

A reviewable whole-of-life insurance policy may require adjustments to premiums or benefits after the initial guaranteed period to maintain the contractual terms, and the firm must treat long-standing customers fairly when communicating mat

Banks must report accurate information to Credit Reference Agencies and are not legally required to write off debts, though they must consider requests fairly taking into account individual circumstances.

A debt servicer cannot be held responsible for irresponsible lending decisions made by a dissolved original lender, but can be held accountable for its own operational errors in accepting prohibited payment methods.

Under the Consumer Rights Act 2015, goods supplied under a consumer credit contract must be of satisfactory quality, which includes consideration of durability as a relevant factor.

When a lender agrees to reduced or revised repayments under a Debt Arrangement Scheme, payments made in line with the agreed reduced amount should not be reported as missed payments or arrears to credit reference agencies.

A lender must conduct reasonable and proportionate affordability checks before lending, considering the borrower's income, expenditure, and ability to sustain repayments without causing financial difficulty.

A pension scheme administrator must proactively inform a member of temporary legislative restrictions on benefit payments, not merely confirm the underlying entitlement when asked.

A bank must not continue to provide overdraft facilities when prolonged usage combined with objective indicators of financial difficulty (such as being in a DMP) suggests the customer is unable to repay sustainably.

A supplier of goods under a hire purchase agreement must ensure the goods are of satisfactory quality at the point of supply, as required by the Consumer Rights Act 2015.

A debt collector must hold evidence of the debt before pursuing collection and cannot require the consumer to prove payment of a debt they dispute.

A bank cannot reasonably treat a loan as in default when it retains possession of the funds needed for repayment and fails to use its right of set-off to discharge the obligation.

A bank must accurately process customer requests for account changes and cannot claim compensation should cover costs that would have been incurred regardless of the error.

Banks may legitimately block transactions for fraud prevention checks in accordance with their terms and conditions, even if the transaction is later confirmed as genuine.

A creditor must not record a missed payment on a consumer's credit file when no clear payment deadline was communicated to the consumer.

A creditor who sells a debt must report the account status accurately to credit reference agencies, marking it as sold or satisfied rather than leaving duplicate defaults recorded.

A bank must not change a customer's address on statements without proper justification, and must handle customer complaints about address changes accurately and consistently.

A bank must follow its own account closure procedures and not close a joint account in dispute without both account holders' consent, even if one holder attends branch.

Banks may close accounts in line with terms and conditions, but must communicate closure reasons clearly and respect stated customer communication preferences.

A packaged account provider must clearly explain that an opened account will remain open and continue to incur monthly fees even if the switch is cancelled.

A financial institution must provide appropriate support and monitoring for vulnerable customers with identified gambling problems, in accordance with FCA Consumer Duty and guidance on fair treatment of vulnerable customers.

A bank has a duty of care to identify concerning gambling activity patterns during overdraft reviews and offer appropriate support to vulnerable customers.

A financial institution must pursue resolution of payment transfer issues promptly and proactively, even when initial contact attempts fail.

Banks must provide adequate pre-travel advice about international transaction limits and spending restrictions, even though they are not responsible for declined transactions caused by merchant systems or card chip issues.

A bank must ensure account switchers have the necessary information and reasonable time to complete mandatory steps to claim advertised switch incentives.

A bank must act fairly when switching a customer from a student account to a standard account and must provide adequate opportunity to resolve disputes before taking enforcement action.

Banks must process account closure instructions without unnecessary delay, and compensation for avoidable delays should reflect actual inconvenience and stress caused rather than speculative financial loss.

Banks must monitor overdraft usage to identify repeat use patterns and take appropriate action where customers show signs of financial difficulty, as required under CONC rules.

A bank must identify and act upon clear signs of financial vulnerability and potential harm during account reviews, even absent explicit disclosure by the customer.

A bank is not responsible for post not received if it has used the correct address on file, and the consumer had alternative means of accessing account information online.

A financial institution's failure to delete online banking details after account closure, causing unwanted marketing emails, may be fairly remedied by modest compensation where the impact is limited.

A lender must carry out proportionate affordability checks before lending, assessing whether repayments are sustainable based on reasonable estimates of the borrower's income and expenditure.

A lender is not required to delay enforcement of a suspended possession order based on a consumer's expectation of future funds from personal circumstances, and must obtain consent from joint borrowers for payment arrangements.

In used goods sales after six months from supply, the consumer bears the burden of proving the goods were not of satisfactory quality at the point of sale.

A lender's decision to write off a debt is a commercial decision that the ombudsman cannot require, but the lender must treat customers experiencing financial difficulties fairly and sympathetically.

Banks have a legal and regulatory right to review and close accounts to comply with financial crime prevention and customer protection obligations, and such closure may be immediate if warranted by those obligations.

Under the Consumer Rights Act 2015, goods must be of satisfactory quality, but if a fault is identified after six months, the consumer must prove the fault was present at supply; an independent inspection finding no faults is compelling evi

A financial institution can rely on evidence of sending electronic notifications to the correct email address, and the consumer had access to online account management to monitor their account.

When an irresponsible lending agreement is upheld, the consumer should pay a fair use value for the goods supplied, but the lender should not benefit from interest or charges.

Lenders must complete reasonable and proportionate affordability checks before lending to ensure the borrower can repay in a sustainable way.

A bank may reasonably restrict online access to accounts in arrears to prompt repayment contact, provided it communicates appropriately about the account status.

A lender must conduct a reasonable and proportionate affordability assessment to ensure credit can be repaid sustainably without undue difficulty.

Under the Direct Debit Guarantee, a bank must provide an immediate refund for errors, but if the merchant successfully disputes the claim with supporting evidence, the refund must be repaid.

Lenders must carry out proportionate affordability checks before lending and consider the information obtained to make a fair lending decision.

A lender must carry out proportionate affordability checks before lending, including understanding the borrower's regular living expenses alongside income and existing credit commitments.

Identity verification requirements under money laundering regulations apply to all customers regardless of existing account status, and compensation may be warranted for operational failures in communicating those requirements.

A lender may rely on credit reference agency data in account reviews even when the consumer has notified them of a disputed entry, provided the dispute remains unresolved.

The right to erasure under data protection law is not absolute and financial institutions may lawfully retain certain data for regulatory compliance purposes even after account closure.

A bank is not obligated to renew an overdraft facility, and where a temporary overdraft expires, the customer bears responsibility to contact the bank to arrange continuation if needed.

A bank may rely on terms and conditions permitting account modifications despite marketing materials promising perpetual free banking, provided adequate notice is given.

A consumer who provides consent for credit checks as part of a financial application cannot later require removal of the hard credit check from their credit file merely because they were given contradictory information beforehand.

A bank is not liable for service disruptions caused by automated security measures triggered by the customer's own actions, nor for postal delivery delays beyond its control.

A financial institution is not liable for providing accurate information about how the Current Account Switch Service (CASS) operates, even if the consumer relied on that information in declining a compensation offer.

A bank is not required to close an account or cancel standing orders unless it receives explicit instructions to do so, and the consumer bears responsibility for cancelling duplicate payments after a failed switch.

Financial institutions are entitled to implement regulator-approved processes for account conversions, and the ombudsman cannot require them to change procedures; reasonable adjustments must be assessed against what is actually offered as a

A payment service provider is not liable for transaction failures caused by how third-party merchants operate their payment systems rather than by the provider's own fault.

Banks have the legal and regulatory right to review and close customer accounts in line with their terms and conditions and regulatory obligations, without obligation to disclose reasons for the decision.

Credit reference agencies must report accurate, fair and up-to-date information about customer accounts, and firms must provide reasonable opportunity for customers to address arrears before reporting.

Banks have legal and regulatory obligations to review accounts and prevent financial crime, and may close accounts in accordance with their terms and conditions without providing specific reasons.

Banks have commercial discretion to close accounts without giving reasons, provided they give reasonable notice and act legitimately.

A business is not obligated to pay a switching incentive to a customer who does not meet the stated eligibility criteria, which explicitly required an active account on the specified date.

A financial institution is not responsible for a failed account switch where the customer attempted to switch an ineligible account type, and the switching criteria were clearly communicated upfront.

A business is not required to pay compensation for every error or miscommunication; compensation for distress and inconvenience must reflect actual detriment caused.