Hello everyone,
I have been a customer with Natwest for over a decade and just recently they blocked all my accounts and cards. This is the only bank account I have so all of my monies is in there which I cannot access. The bank never notified me or gave me any notice whatsoever, just closed all my accounts yesterday.
Legally, I know that banks can do this. But without giving any notice? I am unable to buy food for my family, pay for my direct debits and do anything as I can't access my money in there. What do you advise I should do? This is outrageous! Even if they had suspected something, they should have at least saught explanation from me before this drastic action. Isn't there any legal action I can take? They make me feel like a criminal!
The banks are silent on the matter and tell me nothing. The response I keep getting is that they are not obligated to give any explanation/reasoning as to why the bank made this decison. How can they do this?
Your guidance will be much appreciated
Replies (78)
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I don't believe you.
I think they wrote to you on at least 3 occasions (first two asking some boring question you didn't bother with, third one saying its shutting) but you either (a) didn't bother to tell them about a change of address so have never seen them, or (b) they are still sat unopened amongst dozens of other letters you are too
lazy to read.
Either way, you wont get your account back. You need to open a new one, and arrange for the balances to be transferred.
You need to open a new one, and arrange for the balances to be transferred.
Might not be possible. Depending on why it's been frozen.
Such a harsh response this is happening to many others those who have applied for the bounce back loan as soon as the funds clear their accounts are frozen please think before you speak and call others lazy
Such a harsh response this is happening to many others those who have applied for the bounce back loan as soon as the funds clear their accounts are frozen please think before you speak and call others lazy
There were no "bounce back" loans when I posted that.
Please think before you resurrect a zombie thread and take comments out of context.
Natwest have been doing this to those who have not applied for a bounce back loan me included I do not owe NatWest a penny savers account- gone ✔️,
my daughters saver- gone ✔️
my isa account- gone ✔️
It’s all across the spectrum of reasons for Different people you can’t tell them you don’t believe them your wrong such a mean thing to say to someone who is in a bad state
I’m okay my parents have money but suppose they didn’t
This isn't really the place - this is a forum for accounting professionals, but nevertheless, I'll give some suggestions
It would be highly unusual to suddenly close a personal account with no warning. - Have they asked you for information that you've not provided? For example proof of identity (some banks had poor procedures on account opening and are remedying that by asking customers to provide identification now).
- Have they asked you to explain any transactions? Do you have regular incoming funds from outside UK? Do you have large/frequent cash deposits?
- Have you received some unexpected funds, possibly as the result of an error by the sender?
- Have you been using your account to receive/pay monies on behalf of another person?
You don't need to answer those things here but they may provide a pointer to NatWest's actions.
It's worth checking your credit file (free) with Experian and Credit Karma in case there's anything odd.
At a practical level
- raise a formal complaint with NatWest. I think you can even do this via live chat.
- obviously, open a new account with a different bank and get NatWest to forward your balance there
- contact anyone you own money to, have failed direct debits, etc. Explain (briefly) the situation and ask for 30 days while you put it right.
Customers who have applied for the bounce back loan accounts closed
Customers who maybe unemployed accounts closed no access to funds
We understand it’s a page for accountants/ accounting however when individuals don’t have anyway to feed their children pay their bills etc you will look for advice anywhere
We understand it’s a page for accountants/ accounting however when individuals don’t have anyway to feed their children pay their bills etc you will look for advice anywhere
It's not an accounting issue. Why are you taking it up with us ?
Try bankersweb.co.uk or solicitorsweb.co.uk.
Customers who have applied for the bounce back loan accounts closed
Well that’s what you get for using a personal account for business. It’s against the banks terms and conditions so I’m not surprised they closed the account.
The same sort of person would sign up to an accountants web site by pretending to be an accountant.
Banks CAN and DO close accounts without warning if they are suspicious of any transactions or course of dealing. Have you participated in this ?? Examples are large cash deposits, transfers abroad, payments to accounts which the bank has also stopped etc
You need to elevate your complaint to the complaints team which every bank operates. That way you may get an answer. However this may not be one you want or agree with
They can close your account, that's their choice. However, keeping your money is theft. Unless they can produce some sort of court order instructing them to freeze your assets they must hand you your money. You do not have to transfer it to another account, you can demand it in cash.
Have they closed your accounts or have they 'frozen' them? There is a difference!
A bank can (and will) 'freeze' all your accounts without warning and without providing any explanation if they suspect 'money laundering'. Such a suspicion may be based on nothing more than unusual activity in your account.
Unfortunately they cannot explain their reasons for that suspicion to you without risk of 'tipping off' (which would be a criminal offence by the bank). That is also why they did not seek any information from you before freezing the accounts.
These matters are usually resolved within a week or two.
If the account remains frozen for longer you may be asked for information / explanations by the bank or by the police, or you may receive a court order (which could have the effect of 'freezing' your assets indefinitely) or notice of a court hearing to consider whether your accounts should be 'frozen' for an extended period.
Do volunteer to the bank any information / explanations and supporting documents you have relating to any unusual activity on your accounts.
Do contact a solicitor for advice (although the solicitor may not be able to do much for you in the short term) and point the solicitor to Part 7, Proceeds of Crime Act 2002.
Do borrow from family & friends to cover your essential bills while your accounts are frozen.
Do NOT put any more money into the frozen banks accounts (you won't be able to get it out again until the accounts are unfrozen).
If the bank has a 'money laundering' suspicion it will be pointless to complain to the bank or the Banking Ombudsman as you will simply be fobbed off.
This is something which happens to hundreds of people every year.
Good luck!
P.S. If it helps - your information has probably been sent to the Money Laundering Reporting Office within the bank. It may then be forwarded to the National Crime Agency. They would then perhaps contact your local police force to find out whether you are of interest to them. Depending on the circumstances the NCA might contact HMRC or the DSS about you. If these enquiries turn up nothing then most likely your accounts will be unfrozen.
Assuming no court order is produced couldn't the OP kick start things by involving the police himself, after all as things stand his money has been "stolen" by the bank.
Advice to borrow from family & friends is not very helpful as, for all we know, the OP may not have any family or friends willing to hand over money.
Assuming no court order is produced couldn't the OP kick start things by involving the police himself, after all as things stand his money has been "stolen" by the bank.
No, it hasn't.
Assuming no court order is produced couldn't the OP kick start things by involving the police himself, after all as things stand his money has been "stolen" by the bank.
I'm sorry, but this is the worst possible advice. If the OP goes to the police station unaccompanied he is more likely to be considered a suspect than a complainant. In 'conversation' with the police he could land himself in all sorts of trouble without realising the legal implications of what he is saying.
The police view will be that the bank is acting to discharge its legal obligations in relation to a suspected money laundering offence by the OP.
If the OP delves into the terms and conditions of the operation of his bank account (to which he has agreed) he will find that the bank is acting in accordance with those T & Cs.
The account can be frozen for up to 6 or 7 weeks before a court order is necessary. However most cases are resolved much quicker than that.
David
With the best will in the world ALL banks are just money making machines and "usually" treat their retail customers with absolute contempt.
I have had accounts with Barclays/C0-0p/Nationwide/Lloyds etc etc and there is nothing to write home about any of them .
Have they closed your accounts or have they 'frozen' them? There is a difference!
A bank can (and will) 'freeze' all your accounts without warning and without providing any explanation if they suspect 'money laundering'. Such a suspicion may be based on nothing more than unusual activity in your account.
Unfortunately they cannot explain their reasons for that suspicion to you without risk of 'tipping off' (which would be a criminal offence by the bank). That is also why they did not seek any information from you before freezing the accounts.
These matters are usually resolved within a week or two.
If the account remains frozen for longer you may be asked for information / explanations by the bank or by the police, or you may receive a court order (which could have the effect of 'freezing' your assets indefinitely) or notice of a court hearing to consider whether your accounts should be 'frozen' for an extended period.
Do volunteer to the bank any information / explanations and supporting documents you have relating to any unusual activity on your accounts.
Do contact a solicitor for advice (although the solicitor may not be able to do much for you in the short term) and point the solicitor to Part 7, Proceeds of Crime Act 2002.
Do borrow from family & friends to cover your essential bills while your accounts are frozen.
Do NOT put any more money into the frozen banks accounts (you won't be able to get it out again until the accounts are unfrozen).
If the bank has a 'money laundering' suspicion it will be pointless to complain to the bank or the Banking Ombudsman as you will simply be fobbed off.
This is something which happens to hundreds of people every year.
Good luck!
P.S. If it helps - your information has probably been sent to the Money Laundering Reporting Office within the bank. It may then be forwarded to the National Crime Agency. They would then perhaps contact your local police force to find out whether you are of interest to them. Depending on the circumstances the NCA might contact HMRC or the DSS about you. If these enquiries turn up nothing then most likely your accounts will be unfrozen.
Is the bank not tipping him off simply by freezing his account ? Any respectable crimunal would realise that they are on to him
A 'tipping off' offence under s333A PoCA 2002 is committed where either (a) a person discloses that the person or another person has made a disclosure to their MLRO or to the NCA etc, or (b) a person discloses that an investigation into allegations that a 'money laundering' offence has been committed is being contemplated or is being carried out.
In either case, in order to commit the offence, that disclosure must also be likely to prejudice any investigation that might be conducted and be based on information that has come to the person in the course of a business in the regulated sector.
So freezing the account without explaining why does not amount to 'tipping off' although, of course, any half-decent villain will know exactly what is going on.
David
I can't help thinking that the government think that criminals are a bit thick.
Hence the expesssion "thick as thieves".
Most likely senario. A fruad marker has been placed on your account. Rightly or wrongly.
Usual suspects are those types of scams where they convince you to be a middle man and receive funds for a slice of the pie then ask you to transfer the rest out.
Reason matters not, if that's what's happend good luck, if it is a genuine mistake you need to take it higher ip the chain. But be warned, lying won't get your anywhere.
I've just had a look at the NatWest T&Cs, which include -
We’ll always follow your instructions, unless . . . it’s necessary to reject your instruction to protect you or us from a crime [or] . . . following your instruction would mean that we breach a law or regulation that we must comply with
[in your case the bank will say it is necessary to prevent the bank from committing a money laundering offence under s327(1) PoCA 2002 and in order to comply with PoCA and money laundering regulations]
. . .
We’ll usually tell you before or immediately after we take any of these steps. We’ll also explain why we’ve done so, unless we’re unable to contact you or there’s a legal or security reason which means we can’t provide an explanation.
[The bank will say there is a legal reason why they cannot provide an explanation.]
. . .
We can close any other account immediately if . . . we reasonably suspect that your account (or any other account you hold with us) is being used, or is planned to be used, for an illegal purpose
. . .
We won’t share your information with anyone outside RBS except . . . where we are required by law and to law enforcement agencies, government entities, tax authorities or regulatory bodies around the world.
[The bank will say that in this case they are required by law to provide information to the National Crime Agency.]
Solicitor at this stage? No. Will cost you money and achieve nothing.
If you are contacted by the police, get a solicitor's advice immediately.
Under no circumstances should you agree to go to a police station without getting legal advice before you go.
David
The OP doesn't appear to be interested in our responses. S/he hasn't commented further, doesn't appear to have thanked anyone for their insight or advice.
Until the OP engages with the discussion, we're just talking to ourselves.
I would suggest you don't just wait for a letter (which may not tell you anything you don't know already).
Think about the transactions on your account over the last month or so. Has there been anything unusual? Larger than usual amounts? More transactions than usual? Deposits (of any size) from a new source? More cash deposits or withdrawals than usual?
If there has been anything unusual, go to the bank and tell them why. (Don't wait for them to ask.) If there are supporting documents, take these with you.
Good luck.
David
They treat you like a criminal because they suspect you ARE a criminal.
I think you misunderstood my earlier post slightly. I was not suggesting you turn up at the branch & offer to answer their questions. They will not ask questions - because that could tell you what they suspect & why (and they must not do that).
I was suggesting you go to the branch & push information / explanations / documents at them (while they sit in silence & hopefully listen).
You have to guess what it is that has spooked them & provide information to put their minds at rest (without any help or feedback from them).
Are you sure they have CLOSED your accounts - or have they just frozen them?
Good luck
David
So what you are saying is we can not pay in/transfer larger than "normal" amounts into our own accounts without them freezing the accounts and apparently not then have to sort out the problem but just hide behind their T`s & C`s .
Computer says no !
I now can not pay any cash into my grandchildren's savings account in case I am a money launderer, unbelievable.
So what you are saying is we can not pay in/transfer larger than "normal" amounts into our own accounts without them freezing the accounts and apparently not then have to sort out the problem but just hide behind their T`s & C`s .
Computer says no !
I now can not payy an cash into my grandchildren's savings account in case I am a money launderer, unbelievable.
If it's large sums you would have been safer telling the bank first
The OP has clarified that the bank are closing his accounts, not freezing them, so it looks like a commercial decision by the bank for whatever reason not a money laundering issue.
Not so- just be able to explain if asked.
About ten or so years ago I could not get my UK bank branch to work out how to transfer funds to my Swedish bank account (which needed to be transferred via a different Swedish bank) so fed up I ended up taking out £3,000 in sterling here in Edinburgh, changed it on the ferry and when I got to Sweden paid circa £2,500 of it into our Swedish bank account. This flagged the question at the Swedish branch," what was the source of the money", I explained and they were happy with the explanation supported by the Foreign Exchange chits from the DFDS ferry and did not even ask to see the UK bank account statement where the funds had been withdrawn from. If you can reasonably explain and the sums are not excessive there tends not to be a problem.
( These days I do the transfer each year via my online account so issue now does not arise)
I now can not pay any cash into my grandchildren's savings account in case I am a money launderer, unbelievable.
And I can't go through an airport without my personal space being invaded in case I'm a suicide bomber.
But it gives me some reassurance that the other passengers aren't about to blow me up either.
Please answer the question that's been asked a few times, do you recall any strange transactions going through your account? did you receive a large some of money from anyone which was not normal? Did you have an arrangement with anyone, to receive money on their behalf?
Answer those questions, we might be able to advise better, but ignoring it, only makes me feel even more like something isn't quite right.
As I suggested earlier, in my experience its very rare for a bank to just close an account unless they suspect fraud, and usually, this fraud occurs when someone is party to a scam, whereby they receive funds on behalf of someone else, who has deposited funds fraudulently.
I would hazard a guess, this is exactly what has happened.
[quote=aliactuary]
No there were no fradulent transactions. There may have been a couple of transactions which COULD have appeared somewhat suspicious to them. That is the only thing I can think of. Although it may be more of a case of discrimination than the issue of transactions. All my transactions are BONA FIDE. And I have all the proof available with me, all the documentation. The issue is that no one will listen to me and allow me to prove myself! I just have to wait for their letter which hasn't turned up still, thats what they keep telling me
And I never received any mail from the bank in which they could have notified me or enquired about any transactions. No such mail. Have checked thoroughly.
[/quot
How would it be discrimination ??
Is this a personal, account or a business account. If the latter what type of business and does it deal with foreign transfers either in or out. The answers may give us a clue