Collective Retirement Account (PO-27261)

Ombudsman’s Determination

Complaint Summary

Mr D has complained that OMW would not pay his remaining tax-free cash lump sum (TFC) and pension by electronic bank transfer to his Australian bank account or to a UK bank account he later opened.

Mr D says that he has suffered a loss of AU$140 a month, which is the interest he is paying on a loan he had to take to complete house renovations, because he has not received his pension benefits. In addition, Mr D says that he had to pay a fee of AU$1500 to process the cheque he received in relation to his TFC. Mr D also claims that he and his wife have suffered from stress caused by the situation.

Summary of the Ombudsman’s Determination and reasons

The complaint should be upheld against OMW because Mr D had opened a UK bank account registered to his independent financial advisers’ (IFA) address. OMW’s terms and conditions state that it would make a Bankers’ Automated Clearing System (BACS) payment to a UK account. As Monzo is a UK bank, OMW should have paid Mr D’s remaining tax-free lump sum to his Monzo account.