Should a bank be able to close an account based on spending habits?

GingerFurball_2

The issue is less likely to be what you're spending the money on, it's the source of your funds that will have spooked the bank.

Large cash (faster payments in are effectively cash) payments in that are then used to gamble screams money laundering.

GingerBob_3

GingerFurball wrote: »

The issue is less likely to be what you're spending the money on, it's the source of your funds that will have spooked the bank.

Large cash (faster payments in are effectively cash) payments in that are then used to gamble screams money laundering.

Only to the paranoid (i.e. the banks, nowadays). To rational people it screams ... gambling.

OceanSound

I think the OP values enlightenment over paying homage to (or confirming) his or her preconceived misconceptions.

deadendwaterfall

GingerBob wrote: »

Only to the paranoid (i.e. the banks, nowadays). To rational people it screams ... gambling.

bigadaj wrote: »

The primary duty as far as I'm concerned is to stop losing taxpayers money.

This isn't a primary issue in this case as the OP seems to have effectively being processing gambling payments of a fairly large amount which the bank has determined it doesn't want any further involvement with.

meer53 wrote: »

Whats wrong with banks choosing to ask people to leave ? What makes them different to any other business ?

Because without having a bank account from any banking firm, you may as well live off the grid in the woods nearest to you as it's going to be damned near impossible to even rent somewhere, never mind getting a mortgage and how are you going to get any money to pay the rent even if you could find somewhere that'd let you rent without a bank account as most employers will pay wages only into a bank account and I believe that the DWP only pays benefits into bank account.

Chino

deadendwaterfall wrote: »

Because without having a bank account

I occasionally wonder what people are doing here to find and then resurrect long-dead (almost two years in this case) threads.

snapdoodle

Have you thought of claiming back the bank charges in revenge!

newatc

koloko wrote: »

In 1996, as a student desperate for money, I opened a NatWest student account with a £1750 overdraft. I maxed it out and spent ten years paying a minimum until it was cleared. I spent thousands on charges.

20 years later I am much more affluent. Since 2010 I have topped up the account from my HSBC wages account, and usually have around £50,000 in there.

I use the account to save and also to play online casinos. Whatever you think of them - they are legal and I can afford them - I have no debts, a six figure salary etc.

Last month I had a letter from NatWest asking to explain:
(1) my source of funds
(2) my spending habits
(3) why large sums go in and out of the account to me and my wife and some family

I understood this was under money laundering regulations; I explained honestly and openly what I do.

NatWest reviewed the information and have decided to close my bank account based on my spending and risk. I am somewhat annoyed by this. As a student and graduate with no money, they happily kept the account open as it accrued thousands in charges. Now I am more fluid but spending my money in an industry they deem unacceptable (in terms of risk) they want nothing to do with me.

Should this be acceptable in the UK in 2017?

I know a private bank has the right to anyone as a customer, but at the same time i feel I have the right to spend as I like, within legal boundaries.

The bank has the right to choose it customers.
FWIW I have had a bank and savings account with the Halifax which is used mainly for gambling (95% of transactions) for about 20 years and have never had a problem or even been asked a question. I do try to keep the transactions to a minimum although in volatile weeks that does not work out too well !

Tallaght

I thought they would close accounts if someone has loan,overdraft or mortgage problems yet has a lot of payments going out to betting companies.

Wheres_My_Cashback

koloko wrote: »

In 1996, as a student desperate for money, I opened a NatWest student account with a £1750 overdraft. I maxed it out and spent ten years paying a minimum until it was cleared. I spent thousands on charges.

20 years later I am much more affluent. Since 2010 I have topped up the account from my HSBC wages account, and usually have around £50,000 in there.

I use the account to save and also to play online casinos. Whatever you think of them - they are legal and I can afford them - I have no debts, a six figure salary etc.

Last month I had a letter from NatWest asking to explain:
(1) my source of funds
(2) my spending habits
(3) why large sums go in and out of the account to me and my wife and some family

I understood this was under money laundering regulations; I explained honestly and openly what I do.

NatWest reviewed the information and have decided to close my bank account based on my spending and risk. I am somewhat annoyed by this. As a student and graduate with no money, they happily kept the account open as it accrued thousands in charges. Now I am more fluid but spending my money in an industry they deem unacceptable (in terms of risk) they want nothing to do with me.

Should this be acceptable in the UK in 2017?

I know a private bank has the right to anyone as a customer, but at the same time i feel I have the right to spend as I like, within legal boundaries.

You're a risk and you know it. Would you want a financial relationship with someone you know to be financially risky? Probably not.

Yes, you do have a right to spend as you like as long as it's all legal......but not via a third party (the bank).

davethorp

Holy thread revival Batman!