It removed Jack’s ability to use his credit and debit cards or make international money transfers. Jack complained to us that the bank had based its decision to restrict his banking services on false information and hearsay and without any proof he was being scammed.

Our investigation

We reviewed the interactions between Jack and the bank since March 2019. The terms and conditions of Jack’s accounts allowed the bank to withdraw certain banking services without waiting for conclusive evidence a customer was a victim of fraud. It was entitled to act on a suspicion that fraud might be taking place, although it had to have a reasonable basis for forming this suspicion. We were satisfied the bank had formed its belief on such a basis, and it was therefore entitled to remove certain banking services from Jack.

Outcome

We did not uphold Jack's complaint.