Barclays accounts closed with immediate effect, no reasons given

t1redmonkey

So last week, I had all of my accounts with Barclays closed with no notice provided, they were just closed.  I contacted Barclays and was told they are allowed to do this at their discretion as outlined in their Terms and Conditions, and they also do not need to provide a reason.  When I pressed them, the most specific they got was that I was not using the account in line with their Terms and Conditions, but they weren't allowed to tell me anything further.

So I went away and looked at the Terms and Conditions in detail, but genuinely couldn't pinpoint anything there that would've resulted in this happening.  I've copy and pasted the relevant part of their Ts and Cs below in italics.

The only two things I can maybe think of, are that I was the victim of an 'empty box' scam from Etsy the month before they closed my accounts.  This totalled nearly £4k which I had to open a case with Etsy to get back.  Luckily, I did get it back eventually but it took around 10 days, and I'm unsure what their investigation involved (e.g. did they speak to Barclays or make them aware?).  Obviously as a victim, it would be strange if this resulted in me getting my bank accounts closed, so maybe not related to this, but this was the first time it had ever happened to me, so maybe even though they refunded me, they thought I was lying about receiving an empty box?

And the other thing is I've been selling off an old video game collection on ebay for around 3 years, some of which were quite valuable.  So I don't know if this is something HMRC have spoken to Barclays about and told them I'm operating a business (even though they were games I'd bought 15-25 years ago).

I guess my main reason for posting is just to ask if this is something anyone else has experienced, and if so, did anything further happen after having the accounts closed?  I'm obviously very worried about if there will be any other consequences since I don't know what it is they think I've done.

Barclays Terms and Conditions:

If you’re a Barclays Basic Current Account customer, we’ll tell you why we’re ending the agreement unless doing so would be unlawful. We may also end this agreement immediately or on less notice (and stop providing services and close your account) if we reasonably believe you have seriously or persistently broken any terms of the agreement. We can also do this if we have reasonable grounds for thinking you have done any of the following things, all of which this agreement prohibits.

 • You put us in a position where we might break a law, regulation, code or other duty that applies to us if we maintain your account, or keeping your account open exposes us to action or censure from any government, regulator, or law enforcement agency.
• You give us any false information.
• You commit (or attempt) fraud against us or someone else.
• You use or try to use your account illegally or for criminal activity, including receiving proceeds of crime into your account – or you let someone else do this.
 • You behave in a threatening or abusive manner to our staff.
 • You become bankrupt (unless you have a Barclays Basic Current Account).

If you aren’t eligible for the account you hold

 We can close an account (or stop or restrict a service) if we find out that you aren’t eligible for it. This may include the following.
 • You (or a joint account holder) reside outside the UK or do not have leave to remain in the UK.
 • You use your account for business. 

Ayr_Rage

They will not tell you any more information.

Urgently check you full credit reports and CIFAS.

prettyandfluffy

This is becoming a more frequent occurrence.  I would recommend always having a second bank account with a different banking group as a backup.

GeoffTF

You need to do a CIFAS DSAR:

https://www.cifas.org.uk/dsar

t1redmonkey

Ayr_Rage said:

They will not tell you any more information.

Urgently check you full credit reports and CIFAS.

Thanks for the suggestion - I have just checked it now though, and there's nothing on my credit report which is out of the ordinary, it's more or less been steady for many months.

prettyandfluffy said:

This is becoming a more frequent occurrence.  I would recommend always having a second bank account with a different banking group as a backup.

Fortunately, I am one of those 'serial switchers' who's got quite a few other current accounts I can use, so it's not a major problem in that respect.  It's more just the stress aspect of it all and not knowing why they've chosen to do this, and are not willing to tell me what it is I've done (or they think I've done).

t1redmonkey

GeoffTF said:

You need to do a CIFAS DSAR:

https://www.cifas.org.uk/dsar

Thanks for this - I'll put in a request today.

grumpy_codger

t1redmonkey said:

...
The only two things I can maybe think of, are that I was the victim of an 'empty box' scam from Etsy the month before they closed my accounts.  This totalled nearly £4k which I had to open a case with Etsy to get back.  ...

What sort of scam is it? 
Google AI says: "The "empty box" scam on Etsy, and other online marketplaces, involves a buyer claiming their package arrived empty, often to receive a refund. This is a form of refund fraud, with scammers claiming that the shipment arrived empty to receive a refund". So if you are a victim, then it's possibly something different.

Baldytyke88

t1redmonkey said:

Fortunately, I am one of those 'serial switchers' who's got quite a few other current accounts I can use, so it's not a major problem in that respect.  It's more just the stress aspect of it all and not knowing why they've chosen to do this, and are not willing to tell me what it is I've done (or they think I've done).

Being a serial switcher could make you a bad customer, then if they are aware of the £4k empty box, Google knows everything about us.

If I was a bank, I would want a customer to just use my bank, not switch and take the cheapest services.

Do you have much invested with Barclays, that is how they make money.

Hoenir

t1redmonkey said:

And the other thing is I've been selling off an old video game collection on ebay for around 3 years, some of which were quite valuable.  So I don't know if this is something HMRC have spoken to Barclays about and told them I'm operating a business (even though they were games I'd bought 15-25 years ago).

The volume of receipts credited to your account will no doubt suggest that the account is being operated for non personal reasons.  Which is in contravention of the account T&C's. 

t1redmonkey

grumpy_codger said:

t1redmonkey said:

...
The only two things I can maybe think of, are that I was the victim of an 'empty box' scam from Etsy the month before they closed my accounts.  This totalled nearly £4k which I had to open a case with Etsy to get back.  ...

What sort of scam is it? 
Google AI says: "The "empty box" scam on Etsy, and other online marketplaces, involves a buyer claiming their package arrived empty, often to receive a refund. This is a form of refund fraud, with scammers claiming that the shipment arrived empty to receive a refund". So if you are a victim, then it's possibly something different.

Essentially where someone (myself in this instance) buys items from someone selling them on a platform such as ebay/etsy, but rather than receive what the seller was advertising, the buyer just receives an empty box, and the seller then accuses the buyer of lying when they say nothing was inside.  In my case, it was easy to prove the seller was deliberately trying to defraud me, as the weight on the postage label was just the weight of the empty box without anything inside, though it still took Etsy a long time to investigate, hence my concern over who they would've made aware of this happening.

Baldytyke88 said:

t1redmonkey said:

Fortunately, I am one of those 'serial switchers' who's got quite a few other current accounts I can use, so it's not a major problem in that respect.  It's more just the stress aspect of it all and not knowing why they've chosen to do this, and are not willing to tell me what it is I've done (or they think I've done).

Being a serial switcher could make you a bad customer, then if they are aware of the £4k empty box, Google knows everything about us.

If I was a bank, I would want a customer to just use my bank, not switch and take the cheapest services.

Do you have much invested with Barclays, that is how they make money.

This is what a friend said to me as well.  Because I wasn't really using the account as a 'primary' current account, maybe they weren't making any money off me, so didn't want to keep me on their books (any money I had with them, I would move away to a different account such as a Regular Saver with another bank, or another savings account that paid interest pretty much straight away).

Hoenir said:

t1redmonkey said:

And the other thing is I've been selling off an old video game collection on ebay for around 3 years, some of which were quite valuable.  So I don't know if this is something HMRC have spoken to Barclays about and told them I'm operating a business (even though they were games I'd bought 15-25 years ago).

The volume of receipts credited to your account will no doubt suggest that the account is being operated for non personal reasons.  Which is in contravention of the account T&C's. 

I do get what you mean, but if someone has a lot of personal things to sell that they've collected for years, then this is going to be a thing if they decide to sell it all on ebay.  It doesn't mean they're operating a business.

born_again

t1redmonkey said:

So last week, I had all of my accounts with Barclays closed with no notice provided, they were just closed.  I contacted Barclays and was told they are allowed to do this at their discretion as outlined in their Terms and Conditions, and they also do not need to provide a reason.  When I pressed them, the most specific they got was that I was not using the account in line with their Terms and Conditions, but they weren't allowed to tell me anything further.

So I went away and looked at the Terms and Conditions in detail, but genuinely couldn't pinpoint anything there that would've resulted in this happening.  I've copy and pasted the relevant part of their Ts and Cs below in italics.

The only two things I can maybe think of, are that I was the victim of an 'empty box' scam from Etsy the month before they closed my accounts.  This totalled nearly £4k which I had to open a case with Etsy to get back.  Luckily, I did get it back eventually but it took around 10 days, and I'm unsure what their investigation involved (e.g. did they speak to Barclays or make them aware?).  Obviously as a victim, it would be strange if this resulted in me getting my bank accounts closed, so maybe not related to this, but this was the first time it had ever happened to me, so maybe even though they refunded me, they thought I was lying about receiving an empty box?

And the other thing is I've been selling off an old video game collection on ebay for around 3 years, some of which were quite valuable.  So I don't know if this is something HMRC have spoken to Barclays about and told them I'm operating a business (even though they were games I'd bought 15-25 years ago).

I guess my main reason for posting is just to ask if this is something anyone else has experienced, and if so, did anything further happen after having the accounts closed?  I'm obviously very worried about if there will be any other consequences since I don't know what it is they think I've done.

Barclays Terms and Conditions:

If you’re a Barclays Basic Current Account customer, we’ll tell you why we’re ending the agreement unless doing so would be unlawful. We may also end this agreement immediately or on less notice (and stop providing services and close your account) if we reasonably believe you have seriously or persistently broken any terms of the agreement. We can also do this if we have reasonable grounds for thinking you have done any of the following things, all of which this agreement prohibits.

 • You put us in a position where we might break a law, regulation, code or other duty that applies to us if we maintain your account, or keeping your account open exposes us to action or censure from any government, regulator, or law enforcement agency.
• You give us any false information.
• You commit (or attempt) fraud against us or someone else.
• You use or try to use your account illegally or for criminal activity, including receiving proceeds of crime into your account – or you let someone else do this.
 • You behave in a threatening or abusive manner to our staff.
 • You become bankrupt (unless you have a Barclays Basic Current Account).

If you aren’t eligible for the account you hold

 We can close an account (or stop or restrict a service) if we find out that you aren’t eligible for it. This may include the following.
 • You (or a joint account holder) reside outside the UK or do not have leave to remain in the UK.
 • You use your account for business. 

I would hazard a guess that they think your are running a business via a personal account. 

Why would anyone by £4K on Esty? Certainly sounds like a bulk purchase.

Immediate closure is pretty serious & you need to follow the advice above on Cifas.