Bank has lost my money!

[StevieBee]

Bank in question is Starling.

Payment from an overseas client was received early January. These are part of series of payments that the bank was previously advised of as we had an issue with an earlier payment from the same client. To avoid further issues they asked for information about the contract, future payments and a copy of the contract - all supplied. For context, The client is a national government of a developed nation.

Received notification that regs required them to make some checks that would take four days before funds are deposited into my account.

We're now at 15 days, 7 online 'help' chats, four phone calls and enough confirmations of 'escalation' to worry the crew of the ISS.

This afternoon I received a notification that the payment was approved but before the funds were deposited an 'internal corespondent' (whatever that is) declined the payment. They are unable to determine why or what has happened to that payment. It may have been returned to the client but given this is a government, it's not possible for them to just look at their account so the bank needs to tell me what they've done with it!

It's a fair chunk of money - around £40k.

I'm giving them until COB on Friday and then...............

That's why I'm here. What can I do? Banking Ombudsman? Solicitor?

[Drumroll]

So the bank hasn't actually lost your money.

[Doofus]

Is the 'internal correspondent' the agent or intermediary bank?

If so, you need to find out who they are, but this is really for your customer to do because, without them, you'll only get so far.

[isleofthorns]

welcome to modern banking.......

[StevieBee]

Drumroll said:

So the bank hasn't actually lost your money.

Based on the information I've had from them and in the absence of anything else, I'd say they have.

The money was paid to me. They made some checks before the funds become available to me. The money isn't in my account and they cannot say why I've not received the funds or where it is! Until I hear otherwise, I'd say that's a fairly good definition of 'lost'.

[LooneyTunes]

Bit rusty, so hopefully have the codes/sequence right, but you should be able to address it via interbank SWIFT messages.

Ask the sender to request a copy of the SWIFT confirmation (MT103) for the transaction.
Provide a copy of that to your bank.
Your (iirc) bank can then send a MT195 querying non receipt of funds.

I'd wager that it'll be held up with a correspondent bank or has yet to be applied by your own bank - the MT103 will allow it to be located (or the original message to be corrected if it's not correct).

[AyBee]

StevieBee said:

Drumroll said:

So the bank hasn't actually lost your money.

Based on the information I've had from them and in the absence of anything else, I'd say they have.

The money was paid to me. They made some checks before the funds become available to me. The money isn't in my account and they cannot say why I've not received the funds or where it is! Until I hear otherwise, I'd say that's a fairly good definition of 'lost'.

I suspect it's not lost, more that someone is checking something and they can't tell you what or why....

[Caddyshack]

Based on my experience with banking there is a risk team holding on to this and making checks. They will deal with it in their own good time and then it will be resolved with no apology or explanation….or, they find a genuine problem. If there is no problem it will pop out the other end…eventually.