Bank can't trace sender of money erroneously paid into my bank account

FenFatale

In December 2014 several thousand pounds was paid into my current account in error. The reference for the payment was "From Mr XXXX to Mr XXXX". I immediately contacted my bank and was told that someone had made a mistake inputting the number online and there was nothing my bank could do to trace this person until they contact their own bank once they've realised the money has gone astray. My bank would then have to write to me to ask permission to return the money.


I find it hard to believe that in this age of technology my bank cannot trace where the money came from.


The money has been sitting in my account for 7 months now, so I rang my bank this week to try again to get them to trace the rightful owner (I'm amazed that he hasn't missed this significant amount of money). My bank are adamant that they cannot trace where the money came from (something about "data protection" - that old fob-off).


Does anyone know if my bank are correct about not being able to trace where the money came from, or are they just being lazy?

Robo-787

I'd withdraw it and put it in another account and leave it, then if eventually the bank get in touch with you over it, you can withdraw it and pay it back. Otherwise don't worry about it, i wish someone would pay several thousand into my account by mistake.

Paul_1977

How long do you have to wait until it becomes yours?

If that is possible.

Caladan

I'd put in a formal complaint. If that fails, I'd refer to the Ombudsman.

Either they will kick into action and remove the money from your account into some form of holding account (an okay solution) or they wont, and you get to keep the funds (having made clear that your desire is to return the funds to sender, but your bank is failing to do so).

dj1471

Caladan wrote: »

I'd put in a formal complaint. If that fails, I'd refer to the Ombudsman.

Nah, stick it into a decent current or savings account. You can't spend the money, but any interest it earns is yours.

Goldiegirl

They can tell where it come from.

The people on the phone might not be able to see it, but the processing centre will have the sort code and account number of the account it came from (assuming it came from a UK account). If it came from an overseas account, they would have the means be able to trace it back to where the funds originated from.

If the bank were being pro-active about this, they could at least write to the originating bank, and ask the bank to get in touch with their customer.

They can help you..... But it sounds as if no body has made the effort to help.

As a previous poster said, I'd be making a formal complaint about this.

dzug1

Goldiegirl wrote: »

but the processing centre will have the sort code and account number of the account it came from (assuming it came from a UK account)..

Not if it were paid in in cash - sounds a bit unlikely for a large sum, but not impossible

boo_star

dzug1 wrote: »

Not if it were paid in in cash - sounds a bit unlikely for a large sum, but not impossible

If it was paid in cash, the only way I can think of would be to use a paying-in slip, which only asks for the details of the beneficiary.

The senders bank would have no idea that they decided to walk into the branch of another bank and pay over the counter.

Given the wording of the OP it's unlikely this was the case and it indeed a transfer.

agrinnall

FenFatale wrote: »

I find it hard to believe that in this age of technology my bank cannot trace where the money came from.

Your bank is lying to you, of course they can trace it (although it might be slightly trickier now they have let so much time pass). Which bank is it?

Do what other posters have said, I'd imagine that after 6 years the money would become yours (possibly 5 in Scotland). I think it may well end up becoming yours as I can't see why the original sender wouldn't have chased it up at some point in the last 7 months.

Everynamestaken

As people have mentioned, you have done nothing wrong and have proactively tried to give this money back to the rightful owner.

I would just stick in a high interest account now, and forget about it, until they ask for it (which I would imagine is doubtful).

gunsandbanjos

Maybe the branch can't do it but some head office analyst type could!