Starling refusing to recover money after fraud from stolen phone

rishavshah

Last week I was out in a club and my phone got stolen without my realising. They managed to get into my phone (I don't know how) and access some of my bank accounts. One of these accounts was my Starling business account. I called Starling in the morning to inform them that my phone had been stolen and they named a number of transactions that had occurred on my account - I said none of these were me and asked for my account to be frozen. They said they would recover the transactions. Then after an investigation - only one of the attempted transactions by the fraudsters was completed - a faster payment to a new payee which was set up somehow (again, I have no idea how as no one has access to my Starling password). The password has also not been changed. Starling investigated and have refused to refund me the money even though it is a fraud transaction. I showed them the police and Action fraud report and also other accounts where they had carried out fraud. I showed proof of me blocking my sim with the airtime provider. They have said this is their final decision however it is a false outcome since my phone was stolen. What can I do?

[Deleted User]

Complain to them formally, then escalate to the FOS once they issue a deadlock letter

rishavshah

How do i complain formally? whats a deadlock letter

The_Fat_Controller

Could it be that someone you know who has stolen the phone ?

Who else would know your passwords or be able to unlock the phone ?

You need to write to Starling with a formal complaint, the procedure will be on their website or any paper documentation you have.

If they do not reverse the decision then they will send you a letter saying that you have reached deadlock, that letter should also tell you your rights to take it further.

k3lvc

When did you lock your SIM/advise the police ? The next morning when you told Starling or the night before when you realised the phone had gone ?

rishavshah

It wasn't stolen by anyone I know - i dont know how the fraudsters got in.

I locked the SIM and advised the police when I woke up the next morning

k3lvc

rishavshah said:

It wasn't stolen by anyone I know - i dont know how the fraudsters got in.

I locked the SIM and advised the police when I woke up the next morning

You seem very certain about who (didn't) steal it 

I can understand Starlings reluctance to refund at this stage - someone had the phone for a number of hours before you reported it lost/stolen and had either the knowledge or resources to be able to do the things suggested.

penners324

At the moment it looks like buyers remorse, someone stole your phone, had enough information about you to access the phone, then the Starling app to make these transactions.

What we're they, card payments done the phone (something usually only done via fingerprint, lin or face recognition) or by faster payment (which requires a password for a new payee).

Keep_pedalling

If you are just using a 4 digit pin to secure the phone then a thief only has to see you use it before stealing your phone to access it. 

penners324

Keep_pedalling said:

If you are just using a 4 digit pin to secure the phone then a thief only has to see you use it before stealing your phone to access it. 

Yes, but you still need the password to add a new payee with Starling 

rishavshah

yeah thats what I dont understand. They managed to create a new payee and send money using faster payments - i still have the payees details on my phone. My password is completely secure and has not been shared with anyone