Help with Bank misleading Financial Ombudsman

clive7

I hope someone can help, and that this is the correct thread, it has taken over 6yrs to get all debts in order and clear our credit files, that is all except one.

Summary

- Joint bank account with TSB, overdraft, agreement with them to pay back monthly, so account does not go into default

- Each year this agreement is reviewed with expenditure forms etc, the process could take 2-21/2 hours on the phone to complete.

- 2023 review due, I was ill, and had a spell in hospital, I could not speak on the phone for long periods of time.

- I asked for the process to be carried out by email, including expenditure form which is some years they allowed me fill out via email link instead of lengthy phone calls.

- After complaining to TSB, the complaint was found in our favour, TSB should have provided an online expenditure form and helped complete the process by email, and this would now be done within the next few days.

- This did not happen, no form, no contact at all, I wrote 3 letters of follow up complaints, all registered post all ignored.

- Meanwhile the account was sent to a debt agency (we still continued all payments).

- I took the matter to the ombudsman, who initially found in our favour, and asked TSB to set the clock back and put matters right.

- TSB informed the ombudsman upon that initial result, that they had received the completed online expenditure form, and only needed to contact me by phone to confirm a few details.

- Upon this information the ombudsman reversed the original decision and found in favour of TSB.

The problem is that simply isn't true, there was no online form presented to me, I have not completed a expenditure form in any form what so ever, it simply doesn't exist, and therefore their need for just confirmation information over the phone is totally untrue.

I took out an MCOL against TSB, due to loss of a business overdraft upon their credit check, and was hoping for a day in court. I believe my evidence is totally robust and shows clearly that TSB mislead the ombudsman. However due to the way MCOL works (eg I can't put a physical loss as such), TSB have requested this action be struck off.

What do I do, and who can I go to, as it seems so unfair and wrong, and we are still in shock that a bank would lie to the ombudsman.

(my apologies this is so long).

- 

tacpot12

What was the Ombudsmand decision when they agreed with TSB. 

What remedy do you want from TBS? (There is a remedy of specific performance where the court can order TSB to do something such as continue a credit agreement that you haven't broken the terms off.)

Have you had any legal advice or support with your case? (Because this is a business overdraft, you can't use your home insurance to get free legal advice). 

DullGreyGuy

So was the decision escalated from an adjudicator to an Ombudsman? Sounds like it was in which case can you provide the case reference number as all responses from an Ombudsman are published on their website https://www.financial-ombudsman.org.uk/decisions-case-studies/ombudsman-decisions in an anonomised format... would be easier to read the case for context. 

What evidence do you have that the business overdraft was withdrawn because of the default on your personal account? What structure (sole trader, LTD etc) does the business take? What losses have you sustained due to the withdrawal of the overdraft? Was the business overdraft also with TSB?

By litigating you have blocked the ombudsman from looking at it if you hadn't already had it escalated to an ombudsman. Your only option is to defend against the strike out action

clive7

Thank you for answering

What was the Ombudsman decision when they agreed with TSB. 

(They agreed that TSB had a completed income / expenditure form and they only needed a few minutes on the phone to clarify some details so they could renew the plan)

What remedy do you want from TBS? (There is a remedy of specific performance where the court can order TSB to do something such as continue a credit agreement that you haven't broken the terms off.)

(I want them to put me back to where the account was, with TSB and not a debt agency, the account removed as 'default' on our credit file, and I want them to directly answer as to why they didn't activate the result of the complaint and then mislead the ombudsman.)

Have you had any legal advice or support with your case? (Because this is a business overdraft, you can't use your home insurance to get free legal advice). 

(This account is a personal account, however when my wife's bank did a renewal credit check for her business overdraft at Lloyds, they withdraw the overdraft due to the default).

I have had no legal advice.

Hoenir

An arrangement to pay on a personal overdraft facility is a red flag in itself. Are there other factors which you haven't disclosed as yet. Which would rightly influence the granting or withdrawl of business credit facilities. On top of which there's the trading performance of the business to be considered. Without evidence to support your claim then TSB's action will succeed and the strike off granted,  

DullGreyGuy

clive7 said:

Thank you for answering

What was the Ombudsman decision when they agreed with TSB. 

(They agreed that TSB had a completed income / expenditure form and they only needed a few minutes on the phone to clarify some details so they could renew the plan)

What remedy do you want from TBS? (There is a remedy of specific performance where the court can order TSB to do something such as continue a credit agreement that you haven't broken the terms off.)

(I want them to put me back to where the account was, with TSB and not a debt agency, the account removed as 'default' on our credit file, and I want them to directly answer as to why they didn't activate the result of the complaint and then mislead the ombudsman.)

Have you had any legal advice or support with your case? (Because this is a business overdraft, you can't use your home insurance to get free legal advice). 

(This account is a personal account, however when my wife's bank did a renewal credit check for her business overdraft at Lloyds, they withdraw the overdraft due to the default).

I have had no legal advice.

So you want an injunction rather than compensation? If so you cannot claim via MCOL which is only for monitory claims 


You won't be able to claim for things your wife lost, it's unlikely she would be able to claim either as she is too remote to the incident. For another example, if you are knocked off your bike by a car and end up in hospital for a few weeks you would be entitled to claim for loss of earnings (assuming your sick pay is below your regular income) however your employer has had to pay you money for you to sit in hospital but they aren't entitled to reclaim that from the at fault driver because they are too remote to the incident. 

clive7

Thank you for all your responses.

The case ref: PNX-4795155-W9M7 

I didn't start MCOL until after the adjudicators final decision, the key text from the decision :

"TSB has confirmed that it received a completed income and expenditure form from Mr and

Mrs K. However, it had some questions about some of the information provided and made

several attempts to contact Mr and Mrs K by telephone to discuss this."

The above simply isn't true as no income and expenditure was ever provided, so it just doesn't exist. My wife could certain have answered some basic questions, but of course that cannot be true either due to their being no completed form to discuss.

What I am looking for is to get TSB in front of a judge where they will need to prove what they say and produce this form. I want TSB to put us back into the position that the account was in prior to their actions.

Lastly, yes my wife's business overdraft was withdrawn on the basis of a credit check revealing a default, and we can show that through correspondence received from Lloyds. 

clive7

Any help available?

Hoenir

clive7 said:

Lastly, yes my wife's business overdraft was withdrawn on the basis of a credit check revealing a default, and we can show that through correspondence received from Lloyds. 

Then it's factually correct. As an ARP is for all intents a default in the world of commerce. Lloyds decision was entirely risk based. Would make credit reports totally worthless to paid subscribers otherwise. 

clive7

Hoenir said:

clive7 said:

Lastly, yes my wife's business overdraft was withdrawn on the basis of a credit check revealing a default, and we can show that through correspondence received from Lloyds. 

Then it's factually correct. As an ARP is for all intents a default in the world of commerce. Lloyds decision was entirely risk based. Would make credit reports totally worthless to paid subscribers otherwise. 

So my question is, can I use MCOL or is there another legal route I can use which won't cost thousands of pounds?

sourcrates

clive7 said:

Thank you for all your responses.

What I am looking for is to get TSB in front of a judge where they will need to prove what they say and produce this form. I want TSB to put us back into the position that the account was in prior to their actions.

Having a quick Google, and came across this from 2012, I would assume its still relevant today, it involves claiming through the county court:

Unfair bank? A new set of rules to help you sue - BBC News