The Banking Ombudsman has only partially accepted a claim relating to fraudulent use of a debit card.

The customer was in a rest home and had not used the card for some years.  Transactions of tens of thousands of dollars then took place over a short time.

The cardholder then died and the family notified the bank.

The Ombudsman held that as the correct pin number had been used the bank was not liable for the money stolen prior to the customer’s death ($60,000), but was liable for continuing to accept the card after their death ($9,700).  The bank had no obligation to monitor the card use, but should have acted once advised of her death.

If you need help with a banking issue it pays to take advice from a professional experienced 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.

Alan Knowsley