Revolut saga spotlights concerns over digital banks’ service standards

Account holder tells of eight-week battle to recover £150,000 bank transfer

Being repaid the £150,000 in dollars and euros that he had lent to a relative 10 years ago should have been good news for Richard Walker. Instead, it was the beginning of an eight-week nightmare this summer, when he was unable to find out why the money had not arrived in his account.

As more people sign up to online banks such as Revolut — and complaints about their services grow — the case of Mr Walker (whose name has been changed at his request) raises important questions about the digital future of banking. Can the newcomers to a heavily regulated sector live up to the fintech hype while maintaining the levels of service that customers have come to expect in their day-to-day financial activities?

Left hanging

Mr Walker’s money was transferred to his Revolut account on July 6. The electronic money account marked the amount as “pending”, but then nothing happened to change its status and give him access to the money.

It was the first time that a substantial sum had been paid into his account in the several years he had held it. As a lawyer and now a full-time parent, Mr Walker was aware that banks and electronic banking apps are required by the Proceeds of Crime Act 2002 to monitor accounts for money laundering and fraudulent activity. A large sum being paid in from a foreign account looked suspicious. He decided to contact his bank to explain.

But Revolut did not have a telephone number. Instead it had an “in-app chat” facility that failed to work. A conversation would be started but not finished. A member of the Revolut team left the chat without closing it. Mr Walker found it impossible to make progress on finding his money or receiving a full explanation.