Bank customers ‘facing account lock-out’ if business details aren’t updated

Gary McDonald Small business Editor

10 May possibly, 2022 01:00

SOME Ulster Bank small business clients in Northern Ireland confront remaining locked out of their accounts from the conclude of this week except they total what a person corporation owner described as an “unwieldy and pointless” on-line method updating their aspects.

The financial institution wrote to consumers in April inquiring them for up-to-day information about their business enterprise accounts.

It says it requires to make absolutely sure it holds correct info about their company, including information on individuals who have major management over it.

The bank insists it is complying with regulatory obligations, and the process types a key portion of it potential to detect and struggle fraudulent transactions, cash laundering and tax evasion.

And it warned that if it would not obtain this data on the internet by Could 13 “we will need to prohibit access to your accounts which means (but is not restricted to) you would not be able to deposit, withdraw or transfer funds and we will not likely be ready to course of action any standing orders”.

But just one businessman who contacted the Irish News insisting the process is “pointless and unneeded” as Ulster Lender, with whom he has had a many years-extended affiliation, held all his facts already.

And he claimed: “The online course of action is cumbersome and desperately time-consuming, and as soon as you get you much, you ought to post particular aspects to a third bash, which I’m not organized to do.”

The director, whose very long-proven North Down enterprise employs far more than a dozen team, claimed that, acquiring deserted the on-line approach halfway by means of, he was then phoned by Ulster Bank.

“The woman claimed it was her work to cellular phone all over buyers and check out to support them.

“She advised me I was the only 1 who’d in fact even bought that far, which to me indicates that no one is even attempting to go through that laborious and unwieldy process on the portal.”

He extra: “Ulster Lender already has all the details of my company, me personally, and my fellow director.

“Nonetheless here I am, becoming requested to give photographic ID and ship in utility payments to verify my tackle. It really is pointless in my watch.

“And it won’t price me a next imagined to consider my business somewhere else, which is a look at I’m certain other people in a identical situation will share.”

A spokesperson for Ulster Bank explained to the Irish News: “In buy to comply with our regulatory prerequisites, we are writing to most of our company consumers to guarantee that we keep up to day data for them and their organization.

“We are accomplishing this to assistance protect against fraud and economical criminal offense. In the instance the place a buyer won’t answer to a number of attempts to confirm this info, we may well restrict obtain to specific account services.

“We encourage consumers to reply to any correspondence as before long as attainable so we can carry on to meet up with their banking desires.”

The enhanced security checks appear as aspect of the Solid Buyer Authentication (SCA) approach led by trade association United kingdom Finance.

Jana Waterproof coat, controlling director of payments and innovation at British isles Finance said: “Fraud is a increasing dilemma, with criminals thieving much more than £750 million in the first fifty percent of 2021 by itself. That is why it is much more critical than at any time that extra protections like Sturdy Customer Authentication are set in spot.

“For retailers, employing SCA will give consumers peace of intellect that payment procedures are more secure.

“The sector and stakeholders have labored tirelessly to get prepared for this transform and we persuade any retailers who have not nonetheless applied SCA to act as soon as doable to make sure the new protections are out there to all.”

The original deadline for SCA was March 2021 but the FCA agreed to a delay March 2022 thanks to Covid-19, and it has stated that there will be no even further extensions to this deadline.