Bank Account Closed and Reported to CIFAS for False Instruments Paid In + First Party Fraud

fr33zy

Metro Bank.  Account opened in 2017.  In late 2019, I sold my car for around £8000.  Payment received by bank transfer.  Three weeks later payment taken out and returned to sender.  My account got restricted and then closed.  No correspondence at any stage from Metro.  No access to my other funds for two months.  Tried to open a new account with another bank recently and got refused.  Checked with CIFAS last  week and Metro filed this case for false instructions + first party fraud.

Obviously first step is to write to Metro and then challenge with CIFAS if its not sorted but any advice would be appreciated, and did the bank act by regulations by not corresponding with me at any stage?  I had no access to my own funds and potentially would have lost 8000 on the car but fortunately got it sorted with buyer. 

notveryeducated

You need to make a complaint to Metro and if Metro deny your complaint, you then need to contact CIFAS and they will conduct their own investigation. If CIFAS side with Metro, then you have to complain the financial ombudsman service.

D3xt3r5L4b

Are you sure it was for a car sale?

Who claimed that payment was fraudulent?

Grumpy_chap

Why did you sell your car and then return the money to the buyer three weeks later?  Who has the car now?

jimbo26

This wasn't one of those scams where the car buyer gave you a (stolen) cheque for 8k more than the car was being sold for and asked you to transfer them the balance?

fr33zy

The payment was a bank transfer, not a cheque.  The car was my personal vehicle, a Range Rover worth around 9000 and sold for just over 8000.  It was as far I am aware, a very simple legitimate transaction.

jimbo26

Sorry, misread the original post. What are the circumstances around the money being sent back to the person who purchased the car?

MinuteNoodles

jimbo26 said:

Sorry, misread the original post. What are the circumstances around the money being sent back to the person who purchased the car?

If Metro decided it was funded by fraudulent means, for example someone using a stolen bank card or online banking log in details, they'll refund the money to the account the payment was made from.

Alex9384

MinuteNoodles said:

If Metro decided it was funded by fraudulent means, for example someone using a stolen bank card or online banking log in details, they'll refund the money to the account the payment was made from.

OP says money was taken back from his account. But what if you had an account with another bank and transfer the money there? Let's say, a buyer sends money to your Metro and you then transfer it from Metro to your Barclays. Do banks work together and would they still be able to take your money even from the Barclays account?

TojoRalph

@fr33zy I know this is an old thread, but I was just wondering what the outcome of this one was? I have a relative going through a similar but also different situation. They transfered money from their own bank account with Bank A to their own bank account with Bank B. Two weeks later Bank B stated Bank A had raised a concern in relation to the transfer. The relative spoke to Bank A who stated that there was no issue with the transfer and that they had not raised a concern. Bank B closed their account are giving them their full account balance (including "disputed" funds) and filed a CIFAS marker for misuse of facility and "False Instrument(s)  Paid in". They have started the complaints process and submitted a complaint to Bank B, but I just wondered what happened in your case? Thanks.

molerat

The original poster has not been on here since November last year so I doubt they will be back any time soon.