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Barclays quizzed on ‘delaying tactics’

An adviser claims that Barclays is using delaying tactics to prevent significant lump sum investments moving away from the bank.

Park House Financial Services senior partner Richard Davis says several of his clients’ cheques have bounced over the last month for large amounts to be transferred from Barclays.

Three cheques relate to a £725,000 damages award made to a client left housebound after a road accident. Another is from an 86-year-old widow and relates to a compensation award made by Barclays for a previous misselling complaint.

Davis says: “Barclays seems to be bouncing cheques made payable to other financial institutions almost as a matter of routine. The reason given is the cheques are ’not signed in accordance with the mandate’.

“No one really understands what that means. The cheques when compared to other cheq-ues the clients have written are absolutely identical.”

Davis believes that Barclays is bouncing the cheques in order to allow its branch staff to approach clients directly about reinvesting the money through Barclays.

He adds: “What other motive can there possibly be?”

A Barclays spokesman says: “We take particular care when clearing cheques for large amounts in order to protect our customers. We are investigating what has happened in these cases.”

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Comments

There are 12 comments at the moment, we would love to hear your opinion too.

  1. Richard Jenkinson 12th November 2010 at 1:03 pm

    A company doing something for their own commercial gain ? Surely not ?

  2. And, in response to what appears to be blatantly anti-TCF behaviour, the FSA is……….?

    Then again, the FSA seems entirely uninterested in chronic delays and false assurance from TL, so what can we expect?

  3. This has happened to me two or three times, I thought this was an over aggressive local branch, that it is happening elsewhere suggests it is a policy decision.
    When the clients enquired they were each offered alternative financial planning from the branch ‘expert’ up to now these delays have not had a negative effect on clients but I wait for the time it does. Unethical and plain wrong.

  4. Good heavens! A bank delaying payment of large sums from their accounts so that their wealth managers can have a chance to get hold of the clients-is there no end to this infamy? And is His Holiness indeed a catholic……i

  5. You know why don’t you!

  6. I have had three separate client’s cheques bounced recently for large investments…strangely all bounced by Barclays?? The clients were all ‘invited’ in to the branch to discuss. Funny that!

  7. Happened to me a couple of years ago. Just underlined to the client why they shouldn’t trust the bank.

  8. Yup, weve had this too recently, accompanied by the client contact to discuss it. And I seem to remember reading another article or blog about it elsewhere a few months ago too. Does anyone official ever do anything about this sort of thing? There surely must be internal records of instructions given to staff at Barclays that the authorities could obtain??

  9. to: Paul Harding.

    I have looked into this.

    The tooth fairy investigates the complaints and passes the findings on to Santa Claus, who with the help of all his little elven helpers make sure the banks behave well in the future.

    If any of the banks are naughty and don’t do what Santa and the tooth fairy tell them, then the FSA get involved.

    After all, the above is just as likely as an actual investigation occuring (probably more so, as Santa’s little Elves are quite industrious you know)…

  10. As this has happened to several of my clients from different branches this is almost certainly a head office instruction – will anybody from Barclays have the courage to whistleblow? BTW not only Barclays use this disgusting ploy. Write to your MP about it – they seem very keen to help on such matters.

  11. The are banks – no integrity – simple as that.

  12. Similar situation. One cheque for £10K went through. Another with identical signature for £70K “not signed in accordance with mandate” and therfore stopped.
    I have set client onto bank and hes not best pleased.

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