NatWest Banking Error Nearly Cost Homebuyer Their New Home

A homebuyer faced a harrowing experience when NatWest's banking error nearly cost them their new home. Two weeks before completing the purchase, the buyer notified NatWest of the £260,000 transfer to their solicitor, but the bank refused access to the funds.

The bank initially instructed the buyer to use a public fax bureau to transmit sensitive details, then required a biometric resubmission in a branch. Despite the buyer's location in Northern Ireland, NatWest directed them to branches in Cornwall and the Hebrides, causing significant inconvenience.

The vendors lost patience and re-listed the property while the buyer was dealing with NatWest's issues. In desperation, the buyer contacted NatWest's fraud department, which eventually allowed a Chaps payment instruction by phone. However, the bank incorrectly recorded the sort code, causing further delays.

NatWest offered £175 in compensation for the error. The case is now with the Financial Ombudsman Service, and the bank has acknowledged a "service failing" and a "slight delay" caused by their mistake.