Barclays Closed My Accounts Without Warning, Possibly Affecting My Financial Future - What Should I Do Next?
Barclays recently closed both my Premier and Rainy Day current/savings accounts without providing a reason. This has left me concerned about potential negative markers being placed against my name in fraud databases like National Hunter, Cifas, or Sira. I'm seeking advice on the best course of action to take next.
The Situation:
On August 17, I discovered that both Barclays accounts were under investigation. To my astonishment, both showed an overdraft of -£500k. My funds were frozen and my initial online research indicated that others had faced similar situations.
I immediately contacted Barclays multiple times, both over the phone and through their app, but the only response I received was, "Your account is under investigation and we cannot disclose the reason for it." On August 30, I filed an official complaint over the phone. Within 24 hours, I was informed that Barclays had chosen to permanently close my accounts. They sent a letter confirming this but failed to provide any explanation pointing me to their terms and conditions.
Barclays has outlined I have to collect all the funds in cash at a branch. No option for a bank transfer or cheque and no option for me to provide the legitimacy of the funds.
Some Background information:
Account Usage: I mainly opened the Barclays Premier account to take advantage of a 100k Avios welcome bonus in October 2022. I was fulfilling all necessary criteria, including a gross yearly income of £75k, however, I was not using their debit card for my day-to-day expenses but the Barclays credit card instead which also got closed as part of this process.
Transactions: I was routinely depositing (£3,300) and withdrawing (£3,000) funds between Barclays and my other accounts with HSBC and Nationwide. The only transaction that might be seen as out of the ordinary was a £5k deposit from my Revolut account in July to open a savings account.
Legitimacy of Funds: I have proof of all income sources, including my Revolut account.
My Concerns:
My primary worry is that Barclays may have placed (or will place) a negative marker against my name in fraud databases, an what impact this would have across all my other bank accounts and credit affordability (e.g., getting a mortgage)
When would be the most appropriate time to file a `Data Subject Access Request Form against each of them?
Should I engage the Financial Ombudsman service immediately, especially since I've already received a final response from my complaint letter to Barclays? I've heard that the timeframe for taking action is limited to 6 months after account closure or complaint resolution.
I'd greatly appreciate any advice or insights into how to proceed, especially from those who have expertise in this area. Thank you.