The Financial Ombudsman Service has this week published its figures for the period July – September 2018 detailing the number of complaints received. Within this period, a total of 98,346 new complaints were raised with an increase of around 800 from the previous quarter regarding current accounts.
It is believed that the increased number of complaints has been triggered by the numerous technical issues that many of the major banks have experienced in the past few years. Although some may think that the increase in complaint numbers would also see an increase in the number of rejections issued by FOS, it has in fact been the inverse that has proved to be the case.
In the first quarter of the financial year, the FOS upheld only 34% of such claims. In the most recent quarter, this jumped to 60%. For the year to date, this has also increased the average uphold rate to 50%, which stands in quite stark contrast to the 26% that were upheld in the whole of the 2017/2018 financial year.
The issues that have plagued the Banks have not gone unnoticed by MPs. Back in September, Chair of the Treasury Select Committee for Fair Business Banking, Nicky Morgan, demanded explanations for the failures from both NatWest and Barclays who were both experiencing service outages at the time.
Speaking at the time she said, “It simply isn’t good enough to expose customers to IT failures, including delays in paying bills and an inability to access their own money.”
The figures from the FOS also reveals a sudden upturn in the number of complaints being lodged for payday loans with a total of 23,714 having been lodged to dated, almost double the 14,799 that were lodged for 2017/2018. This increase in numbers, however, has not matched the above-noted increase in upheld cases with only 49% having been found in favour of customers compared to 56% last year.
If you have fallen victim to misconduct from your bank, then Seneca Banking Consultants are here to help. Please feel free to get in touch with for a no obligation discussion on 0124 322 805.