Bank compensates customer after slow investigation process

A bank has recently compensated a customer after their delayed investigation process caused the customer stress and inconvenience. 

In March 2024 $860 was taken out of the customer’s debit card over three transactions. The customer had not authorised these transactions and contacted the bank immediately, explaining that the loss would seriously impact her finances. 

The bank told the customer that they would investigate, but that it may take up to 60 days. The customer contacted the bank after 60 days, but they explained that they were still investigating. Soon after, $641 was transferred back into the customer’s account. 

The customer continued to follow up with the bank about the remaining money, but the bank had not completed their investigation. 

The customer then made a formal complaint to the Banking Ombudsman, who agreed to investigate the matter. However, the bank soon acknowledged that they had “handled [the customer’s] case badly”. They agreed to compensate the customer. 

The customer further explained that she had missed repayments on her bank loan as a result of the $860 lost from her account. She had informed the bank of the likelihood of this when the money was first taken out of her account, explaining how the loss financially affected her. 

The bank had told the customer they could do nothing to help her. 

After the Banking Ombudsman informed the bank of this situation it agreed to compensate the customer $1,500, as well as reimburse the remaining $219 that had been taken from her account. 

This case shows how effective taking formal action against someone can be. If you believe you have been treated unfairly, it pays to seek advice from a professional with experience in the area. 

Leading law firms committed to helping clients cost-effectively will have a range of fixed-price Initial Consultations to suit most people’s needs in quickly learning what their options are.  At Rainey Collins we have an experienced team who can answer your questions and put you on the right track.