Metro Bank closed my account - need urgent help

lhwrandal

I successfully opened a bank with Metro Bank a week ago.  3 days later when I tried to make the first transfer, it was not successful.  Called Metro Bank then they said it is pending closure due to suspected fraud.  What am I suppose to do?  I didn’t do anything wrong, all my ID and documents submitted are legit.  I am worry they will put my name into CIFAS too.  Please share your advice.

PRAISETHESUN

I had a similar thing happen with Barclays a few years back - they closed a new account about a week after I opened it. Never did get a reason why.

Ultimately there's little you can do if they've decided not to accept you as a customer. You can submit a DSAR to CIFAS and National Hunter to see if there's anything on your records that might've spooked them but apart from not much else. Keep in mind that they aren't obliged to accept you a customer, so there's nothing you can realistically do to reverse their decision if that's what they've decided.

eskbanker

lhwrandal said:

Called Metro Bank then they said it is pending closure due to suspected fraud.

That sounds odd - if they actually suspected fraud then they're obliged not to tip you off about it, but they're perfectly entitled not to proceed with an account application even if it initially appeared successful.

Can you think of anything unusual relating to any of your accounts with anybody in recent times, e.g. disputes with people you've sold stuff to, crypto activity, lump sums from underdeveloped countries, etc, etc?

lhwrandal

Nothing out of the ordinary.  I moved to my new house in April, and I am already on the electoral roll at my new address.   I immediately transferred a few pounds from my other account to the Metro bank account on 5/7 right after opening just to make sure it works.  Then apparently they served a closure notice on 5/9 due to ‘suspected fraud’.  

I checked CIFAS, it is clean.  My main concern is not about the Metro account as I have other accounts.  I am nervous that Metro Bank will report this account to CIFAS as fraud then I will be in trouble.  Do you think this will likely happen?

lhwrandal

eskbanker said:

lhwrandal said:

Called Metro Bank then they said it is pending closure due to suspected fraud.

That sounds odd - if they actually suspected fraud then they're obliged not to tip you off about it, but they're perfectly entitled not to proceed with an account application even if it initially appeared successful.

Can you think of anything unusual relating to any of your accounts with anybody in recent times, e.g. disputes with people you've sold stuff to, crypto activity, lump sums from underdeveloped countries, etc, etc?

@eskbanker

Can you elaborate your statement- if they actually suspected fraud, they are obliged not to tip you off?

Which means that they told me the closure was due to fraud, but actually not?

eskbanker

lhwrandal said:

eskbanker said:

lhwrandal said:

Called Metro Bank then they said it is pending closure due to suspected fraud.

That sounds odd - if they actually suspected fraud then they're obliged not to tip you off about it, but they're perfectly entitled not to proceed with an account application even if it initially appeared successful.

Can you think of anything unusual relating to any of your accounts with anybody in recent times, e.g. disputes with people you've sold stuff to, crypto activity, lump sums from underdeveloped countries, etc, etc?

@eskbanker

Can you elaborate your statement- if they actually suspected fraud, they are obliged not to tip you off?

Which means that they told me the closure was due to fraud, but actually not?

https://www.legislation.gov.uk/ukpga/2002/29/section/333/notes outlines the significance of tipping off, but to be fair this is more specifically about money-laundering rather than other types of fraud, so there may be suspected frauds that they are allowed to disclose, although no obvious scenarios spring to mind....

lhwrandal

Looking at this, do you think Metro bank will mistaken I was committing fraudulent activity for some reason and registered my name in CIFAS?  That is my biggest concern.  

Thrugelmir

Have you closed your old bank account? 

PRAISETHESUN

Possibly it's worth submitting another DSAR to CIFAS and National Hunter in a month or so, to see if anything new has been reported. That said, if you've been honest on your application then I think the chances of any CIFAS markers or the like being registered are slim.

Having just had a look over my old DSAR requests from the time, I see Barclays recorded an inconsistency on my National Hunter file (I disagree, but whatever) and this hasn't caused me any issues elsewhere in the years since.

lhwrandal

Thrugelmir said:

Have you closed your old bank account? 

No, it is still open as my main account.  I applied Metro as a second account only.

lhwrandal

PRAISETHESUN said:

Possibly it's worth submitting another DSAR to CIFAS and National Hunter in a month or so, to see if anything new has been reported. That said, if you've been honest on your application then I think the chances of any CIFAS markers or the like being registered are slim.

Having just had a look over my old DSAR requests from the time, I see Barclays recorded an inconsistency on my National Hunter file (I disagree, but whatever) and this hasn't caused me any issues elsewhere in the years since.

I wonder why they didn’t decline me right away, but instead opened the account for two days and closed it, and made it sounds like I am committing a fraud here.