Changes to FCA & my bank account

OFuzz

Martin,

I've been subject to multiple calls from bank regarding changes to FCA guidelines that require me to explain transactions on my bank account.

My initial call with my bank was quite threatening and made me feel like a criminal. I'm very thick skinned so don't take offence easily but the first phone call I received put me under a lot of stress thinking I had done something illegal. Basically I bought Crypto and received a 5 figure amount via the platform (as a result of trading). For context this was in 2023.

I made a complaint to my bank who dismissed my claim saying they were only doing their job as per FCA regs.

I had to submit various statements showing the original money invested and the full transactions (from the Crypto platform I used).

After submitting this I spoke with someone else (more pleasant) and was told the case was closed - no further info required.

2 weeks later I receive another phone call. Same pattern - please explain the transactions identified on the statements provided and provide info on any new transactions and holdings. Again, submitted everything as requested and was told, no further action or info required.

2 weeks later again, I received another call - the bank have more questions for me, this time around my income and some cash transactions on my account. Again, provided all the necessary answers to their questions. I made a complaint a second time as I wasn't happy with the constant harassments and threats to close my accounts. Same standard reply again from the bank saying they've done nothing wrong except follow FCA guidelines.

Monday 19th Feb. Yet another call from my bank wanting to ask me questions about transactions on my account. This time I asked the caller to call me back with a full list of questions they want to ask me and to stop bothering me thereafter. Following the call I receive more letters, more voicemails and more texts stating my accounts will be suspended if I do not provide the necessary info.

Today, Friday 23rd, I received the next call from my bank asking if they can ask me some questions about transactions on my account. This time they want to know how I got my money for a deposit for my previous homes (21 and 12 years ago!!!), how much deposit it was, how much equity I gained, followed by more questions about cash transactions on my account (£1500 + £2000).

The questions relating to the property purchases and sales would be on their system - I use the same bank as I hold for my mortgage.

Each time, my wife receives a letter stating that unless I provide evidence of transactions our mortgage could be terminated/withdrawn and accounts closed. Each time this is giving her stress and me earache!

What recourse can I take to put a stop to these constant phone calls and further, how do I raise a complaint about the treatment I have had.

Many thanks

DullGreyGuy

OFuzz said:

Martin

Martin sold this website a long time ago, just gets royalties for them using his image in the corner, just in case the tens of millions wasn't enough. Didnt post on the forum even when he was the owner.

OFuzz said:
What recourse can I take to put a stop to these constant phone calls and further, how do I raise a complaint about the treatment I have had.

If you feel you are being unfairly targeted in some way then put in a complaint to the company in question and you can escalate it to the Financial Ombudsman if 1) you disgree with their final response or 2) 8 weeks pass, whichever is sooner. 

Alternatively switch banks or try and identify why you are triggering their checks... not had a single call or contact from any of the 8 or so I and my company use. 

grumbler

Complain to whom?
To the bank? They are under huge pressure from our beloved regulators and don't like troublesome customers with lots of crypto and cash transactions. You can just close your account instead.
To the regulators that are responsible for creating this atmosphere? Good luck...

Hoenir

OFuzz said:

I've been subject to multiple calls from bank regarding changes to FCA guidelines that require me to explain transactions on my bank account.

Banks are in the front line against Money Laundering.  Exposed to fines if they do not conduct the neccessary due diligence. They only have need to question people with unusual banking activity. 

400ixl

Looks like you triggered it by associating yourself with crypto currency, which whilst not illegal itself is something the FCA are forcing banks to investigate more.

You have then further down the line from what I can see decided to no longer co-operate (19th Feb). This is only going to make the situation worse and likely come to a point where they freeze the account, then ultimately close it. If they also then put a CIFAS marker on you then it could become difficult to get banking services for you.

I hope this isn't your only account and you can survive with the money in it frozen for several weeks should that happen.

I would be working with them to get this case resolved, whilst also opening another account with an entirely unrelated financial organisation and transfer my banking, closing this one once the current investigation has been completed.

retiredbanker1

Message to the OP

If you do not have another bank account open one up now and put some of your funds into it (do not trade crypto through it) - there will come a time when policing your account (whether you like it or not) will become a liability they no longer want and will either block your account or close it.

grumbler

Hoenir said:

OFuzz said:

I've been subject to multiple calls from bank regarding changes to FCA guidelines that require me to explain transactions on my bank account.

... They only have need to question people with unusual banking activity. 

Maybe that's what they need, but not what they actually do. Many people reported being interrogated that didn't have any unusual activity. A typical excuse for this is KYC, not AML.
Not that I'm saying that this is the case for the OP.

Futuristic

Which bank? Would be useful for others reading in the future.

I've had no issues with Chase (withdrawals only) & Revolut (withdraw then send to normal bank acc here)

But yes I’ve experienced extensive AML checks with Santander due to crypto withdrawals. They were fined for not doing enough to combat fraud and banks are more on the hook for it so it’s not surprising.

TheBanker

Futuristic said:

Which bank? Would be useful for others reading in the future.

I've had no issues with Chase (withdrawals only) & Revolut (withdraw then send to normal bank acc here)

But yes I’ve experienced extensive AML checks with Santander due to crypto withdrawals. They were fined for not doing enough to combat fraud and banks are more on the hook for it so it’s not surprising.

Revolut is not a bank in the UK. They have been trying for years to obtain a banking license, but so far without sucess. There are various reasons, but there's a view that their fondness for crypto might be a contributing factor.  

TheBanker

OFuzz said:

Martin,

I've been subject to multiple calls from bank regarding changes to FCA guidelines that require me to explain transactions on my bank account.

My initial call with my bank was quite threatening and made me feel like a criminal. I'm very thick skinned so don't take offence easily but the first phone call I received put me under a lot of stress thinking I had done something illegal. Basically I bought Crypto and received a 5 figure amount via the platform (as a result of trading). For context this was in 2023.

I made a complaint to my bank who dismissed my claim saying they were only doing their job as per FCA regs.

I had to submit various statements showing the original money invested and the full transactions (from the Crypto platform I used).

After submitting this I spoke with someone else (more pleasant) and was told the case was closed - no further info required.

2 weeks later I receive another phone call. Same pattern - please explain the transactions identified on the statements provided and provide info on any new transactions and holdings. Again, submitted everything as requested and was told, no further action or info required.

2 weeks later again, I received another call - the bank have more questions for me, this time around my income and some cash transactions on my account. Again, provided all the necessary answers to their questions. I made a complaint a second time as I wasn't happy with the constant harassments and threats to close my accounts. Same standard reply again from the bank saying they've done nothing wrong except follow FCA guidelines.

Monday 19th Feb. Yet another call from my bank wanting to ask me questions about transactions on my account. This time I asked the caller to call me back with a full list of questions they want to ask me and to stop bothering me thereafter. Following the call I receive more letters, more voicemails and more texts stating my accounts will be suspended if I do not provide the necessary info.

Today, Friday 23rd, I received the next call from my bank asking if they can ask me some questions about transactions on my account. This time they want to know how I got my money for a deposit for my previous homes (21 and 12 years ago!!!), how much deposit it was, how much equity I gained, followed by more questions about cash transactions on my account (£1500 + £2000).

The questions relating to the property purchases and sales would be on their system - I use the same bank as I hold for my mortgage.

Each time, my wife receives a letter stating that unless I provide evidence of transactions our mortgage could be terminated/withdrawn and accounts closed. Each time this is giving her stress and me earache!

What recourse can I take to put a stop to these constant phone calls and further, how do I raise a complaint about the treatment I have had.

Many thanks

The banks don't like having to ask these questions any more than you like answering them. AML compliance costs an absolute fortune, takes resources away from profitable activities, upsets customers and causes complaints. But if they don't do it, the fines are huge. 

Personally I wouldn't touch crypto with a bargepole, but if you do it might be better to open a Revolut account specifically for your Crypto related transactions, to keep them away from your main banking.

Occasional small cash deposits shouldn't cause concerns, but regular large ones will. Not sure where all the cash is coming from, but if you can use bank transfers instead you won't set the alarm bells ringing as often. 

Futuristic

TheBanker said:

Futuristic said:

Which bank? Would be useful for others reading in the future.

I've had no issues with Chase (withdrawals only) & Revolut (withdraw then send to normal bank acc here)

But yes I’ve experienced extensive AML checks with Santander due to crypto withdrawals. They were fined for not doing enough to combat fraud and banks are more on the hook for it so it’s not surprising.

Revolut is not a bank in the UK. They have been trying for years to obtain a banking license, but so far without sucess. There are various reasons, but there's a view that their fondness for crypto might be a contributing factor.  

Hence why I said: >withdraw then send to normal bank acc and anyways their main issue in regards to the license is the mystery around their auditors not approving their recent accounts which seems to be resolved now so we'll find out soon again. 


A lot of people on the r/BitcoinUK sub do this without issues.