During the pandemic financial fraud has risen sharply, which has resulted to banks being on high alert for such activity. As such an account freeze can seek to protect vulnerable consumers who may be exposed to fraud.
Simply put, an account freeze is when your bank prevents further transactions from taking place. When an account is frozen, most activities on the account are suspended with immediate effect. The impact of an account freeze can be quite detrimental, both financially and emotionally. The freeze suspends pre-authorised transactions and even direct debits, which can lead to further detriment if not dealt with in a timely manner. The freeze can pose an immense strain on small-medium businesses and even charities
If banks find some form of unusual activity taking place on an account, they can take measures to freeze the account. Banks tend to routinely monitor accounts for suspicious activity, such as money laundering and account fraud. Consequently, banks can freeze an account due to suspicion of such activities.
At Connaught Law, we have recovered over £1 million of client funds to date. Our services include managing your dispute from start to finish and excellent customer care.
