Many banks in the UK are failing to offer consumers the necessary levels of customer service when it comes to investigating allegations of card fraud, an expert has said.
Natalie Ceeney, chief ombudsman at the Financial Ombudsman Service (FOS), has questioned the practices of financiers that avoid dealing with such issues purely on the basis that chip and pin was used in the transaction, the Press Association reports.
Banks are legally obliged to immediately refund an individual who claims to have been a victim of fraud under the terms of the Payment Services Directive.
However, an increasing number of people claiming to be fraud victims are lodging complaints with the FOS because they have been told by their lender there is no case to investigate because their correct Pin was used in a purchase.
Ms Ceeney was quoted as saying that such a culture is "not acceptable".
"We expect banks to thoroughly investigate everything that has happened and explain the reasons for their decisions clearly," she added.
By Tony Aynsley