A consumer group said it’s concerned that some banks are wrongly closing customers’ accounts over fraud suspicion and flagging them in a data sharing system that may prevent them from getting an account elsewhere.
Sam Richardson, deputy editor of Which? Money, said while the consumer group recognises that it’s important banks can close accounts quickly to prevent fraud, they should make “fairer reviews” of the decisions and let customers know how they can challenge the decisions.
While banks are free to close customers’ accounts without giving an explanation, they are normally expected to give at least 30 days of notice unless a customer is threatening or abusive to bank staff or he or she is suspected of committing fraud….