THE BANKING OMBUDSMAN SCHEME
| Date | 01 March 1994 |
| Published date | 01 March 1994 |
| Pages | 195-200 |
| DOI | https://doi.org/10.1108/eb024806 |
| Author | CATHERINE CLARKE |
| Subject Matter | Accounting & finance |
THE BANKING OMBUDSMAN SCHEME
Received: 19th April, 1994
CATHERINE CLARKE
CATHERINE CLARKE
IS
THE ASSISTANT BANKING OMBUDSMAN. SHE
SPENT MANY YEARS AS A CITIZENS' ADVICE
BUREAU ADVISER AND WORKED AS MANAGER
OK
THE CITIZENS' ADVICE BUREAU, ROYAL
COURTS
OF
JUSTICE, BETWEEN 1980 AND 1986.
SHE WAS CALLED TO THE BAR AT THE MIDDLE
TEMPLE IN 1988 AND JOINED THE OFFICE OF
THE BANKING OMBUDSMAN IN SEPTEMBER
1990.
ABSTRACT
This
paper
examines
the
role
of
the
Bank-
ing Ombudsman in dealing with com-
plaints about
banking
services.
It
describes
the
procedures
for investigating eligible
complaints
and
considers
the
overlap
with
other
Ombudsman
schemes,
in particular
those
of
the
Building
Societies
and Insur-
ance
Ombudsmen.
The Banking Ombudsman Scheme
dates from 1986 and is one of a
number of private sector ombuds-
men schemes set up in recent years.
It is a voluntary scheme and covers
all of the main UK retail banks,
together with certain of their sub-
sidiary companies. Hence, over 99
per cent of individuals who have
bank current or savings accounts or
bank credit cards, can use the ser-
vices of the Banking Ombudsman.
Moreover, the terms of reference of
the Scheme provide for an extended
definition of 'individual' to include
sole traders, partners and limited
companies with an annual turnover
of less than £1m.1
JURISDICTION
The Banking Ombudsman is able to
consider complaints relating to the
provision within the UK of a bank-
ing service.2 The territorial limit
means, for example, that while a
complaint about an overseas branch
of a member bank cannot be consid-
ered, the Ombudsman may be able
to investigate difficulties arising out
of the use of a member bank's plas-
tic card in a cashpoint machine in,
say, New York or Athens. In addi-
tion, the ambit of the Scheme is not
limited to customers of the member
banks but can in certain circum-
stances extend to non-customers, for
example guarantors of loans and
beneficiaries of estates.3
195
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