Bank account closed without notice

[Sammy_34]

My bank closed my accounts without any notice. This was more than 10 weeks ago. The account had all my savings and was the only account(s) I had at the time, so I was literally left without any money and had to ask family/friends for financial support. Even after 10 weeks, this bank has not released my funds. Should I complain to the Financial Ombudsman or take legal action against the bank? They have treated me like a criminal and have caused so much financial as well as mental stress for me including my family!

[Law Student 6]

Hello,
Banks should not close an account without notice unless there is a good reason. Usually this is because the account has been used inappropriately or the customer has been abusive towards staff. Did they say why they closed your account? Either way, your funds should have been returned at the time the account was closed, so I suggest you file a complaint to the Financial Ombudsman.

[R0b]

Hello,
Banks should not close an account without notice unless there is a good reason. Usually this is because the account has been used inappropriately or the customer has been abusive towards staff. Did they say why they closed your account? Either way, your funds should have been returned at the time the account was closed, so I suggest you file a complaint to the Financial Ombudsman.

Banks reserve the right to close the account down if they wish, and you are not entitled to a current account by law though you are entitled to a fee-free basic account. It is true that a bank would not normally close down an account unless it has good reason to do so and there's probably only a handful of reasons. For example:

Fraud
Terrorist financing
Money laundering
Links to risky countries

I suspect if the bank has not released your money it will be likely down to suspicion of money launder. They can't tip you off about it which is why they porbably haven't released your funds. The National Crime Agency has to respond within 7 (working I think) days of the bank reporting it and if they need further time that can be extended for a further 31 days. Anything beyond that requires an application to the court to extend time.


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[Celestine]

Agree with Rob - definitely an AML investigation. Large transactions? No one can tip you off while this is undergoing, so its a case of waiting it out.