Friends parents scammed. Thoughts?

[Mottie]

Just heard something that’s made me feel quite sick. I heard it third hand but basically a friends dad - treasurer of the church and something to do with guide dogs, a very well meaning and trusting chap, had a phone call telling him that the bank, Barclays were trying to catch an internal thief. They got him to take £25k from his savings and pay it into a 'special' account which he did. They then emailed him some invoices and got him to go to his bank and apply for a £120k loan which the bank did, over the counter, in his and his wife’s name even though his wife wasn’t present. He's 87 years old and just on a pension! WTF? My mates wife is dealing with the bank and they are saying they’ll let them know whether he's liable in a couple of weeks. He is sick with worry and won’t even come out of his bedroom, he's that embarrassed and ashamed. I’ve told my mate tgat I think the bank should be liable. Anyone here heard of anything similar? How did it turn out?

 

[motorbiking]

The 25K might be hard to recover, the £120k loan, sounds like the bank made an error. KYC rules appear to have not been followed. You commit fraud if you take out a joint loan without the other person's permission.

 

[MNW67]

Do the new rules from last year apply:

Banks must refund fraud in five days but losses capped at £85,000

Victims tricked into sending money to scammers must be refunded within five days under new rules.

www.bbc.co.uk

 

[gas112]

Friend of my mums got same story about internal thief but seemingly from cops they got her to go and take 6k out of her account and picked it up from her house telling her they would put it back into her account .
Next day another phone call saying she had been very helpful and pretty certain they had the right culprit could she take another 2k out to be certain .
At that she clicked and called police .
She got her 6k back from the bank as they are meant to ask about half a dozen questions why she is taking that amount out but hadnt . She had been told to say it was for gardening work and special cash price with it being autumn time .
Mum said that her friend was a stupid or confused woman at the best of times but had dropped her guard

 

[Mottie]

The 25K might be hard to recover, the £120k loan, sounds like the bank made an error. KYC rules appear to have not been followed. You commit fraud if you take out a joint loan without the other person's permission.

Well that would be something. I think she said the monthly payments were something like £800. They are frightened they may lose their home.

 

[motorbiking]

Well that would be something. I think she said the monthly payments were something like £800. They are frightened they may lose their home.

TBH the facts you were told seem hard to believe as presented. KYC (know your customer) is ingrained in to every bank employee. I'm not saying it can't happen, but if it did, it's a major screw up.

In an ideal scenario the 25k and 120k should be regarded as two separate instances of APP. The £120k as presented would leave the bank exposed for failing procedures.

 

[Mottie]

TBH the facts you were told seem hard to believe as presented. KYC (know your customer) is ingrained in to every bank employee. I'm not saying it can't happen, but if it did, it's a major screw up.

I did wonder how they would give such a large loan to an 87 year old pensioner. Maybe there’s more to the story?

 

[motorbiking]

I did wonder how they would give such a large loan to an 87 year old pensioner. Maybe there’s more to the story?

mortgage free house worth a lot more?

 

[Mottie]

mortgage free house worth a lot more?

Could be although I think she said they had done some equity release on it, don’t know how much they'd given up though.

 

[noseall]

lAnyone here heard of anything similar? How did it turn out?

My wife's mate (very sensible, early forties, independent) was scammed for £10k (ish). She handed it over in the same way your church treasurer did. The bank paid her every penny lost, back into her account

 

[ETAF]

terrible , happens all to often - common sort of scam, and the banks are very wise to this - So i suspect a lot more to it then you have been told

Often the bank will not allow things over £10k without a lot of proof - etc

how did he do the transfer to this special account ????
did he talk to the Bank themselves

any transaction I try and do over 10K or infact even if 5K ish - i get asked a lot of questions ...
in fact a friend of mine who legitimacy wanted to withdraw £15K - the bank would NOT allow her to without sight of the Bill and what it was for - she even went into the local branch and they flatly refused - in the end paid via bank transfer - and again loads and loads of questions

 

[MNW67]

Well that would be something. I think she said the monthly payments were something like £800. They are frightened they may lose their home.

Was the savings account with Barclays.

Did he take the money out in cash. Or was it a transfer. Was it done by phone, internet or in the branch.

 

[Mottie]

how did he do the transfer to this special account ????

He paid it from a building society account.

in fact a friend of mine who legitimacy wanted to withdraw £15K - the bank would NOT allow her to without sight of the Bill and what it was for - she even went into the local branch and they flatly refused - in the end paid via bank transfer - and again loads and loads of questions

Mrs Motties mum used to have all those types of questions whenever she wanted to withdraw a large amount. In fact the last time she did it she was accompanied by Mrs Mottie and her sister and the bank asked all sorts of questions - it was for a resin drive and she was paying after it was done - they asked did she have a receipt, how did she find the trader, has it actually been done etc etc.

 

[Mottie]

Was the savings account with Barclays.

Did he take the money out in cash. Or was it a transfer. Was it done by phone, internet or in the branch.

No. Transfer from a building society. Now you ask, I’m not sure now whether it was transferred to a Barclays account or some other account they had provided details for.

 

[ETAF]

i guess if the bank / building soc are not helping - then all thats left is the ombudsman
BUT i think a lot more to this then you have been told

you see these scams , about fraudsters think theres a problem in the bank and ask people to take cash out and give it to them - all sorts of variations on that scam , all the time, been on TV a lot on various programs, and when i tried to arrange with the BANK for my friend to withdraw the money ( i have POA) I was also told NO - without a Bill - hence i guess why they are sending invoices now
BUT she still went to the BANK as its her money and she should be able to get what she wants - but did not