CMA text alerts about unarranged overdrafts

We are sorry that some of our members did not receive a compliant Competition and Markets Authority (CMA) text alert informing them that they were at risk of or had incurred unarranged overdraft charges. If you have been affected by this, we would like to apologise. If you are affected we will refund the relevant unarranged overdraft charges to your account and confirm when we have done this in a text message to you.

Why you did not receive a CMA text alert

We have sent over 24 million text alerts to our members to help them manage and potentially avoid unarranged overdraft charges. Unfortunately, there have been instances where compliant alerts were not sent or alerts were not sent at all.

There are a number of reasons why you might not have received a compliant CMA text alert. A likely reason is that the wording in our alert did not meet CMA requirements. Another reason could have been that alerts were not sent due to an error in the rules designed to create text messages. There were additional issues related to planned maintenance, faults that impacted the creation of text alerts, and processing delays on peak days.

How your refund has been calculated

Our team reviewed your account for unarranged overdraft charges incurred since February 2018 and looked at where you did not receive a compliant CMA text alert. Where you incurred a fee for an unarranged overdraft and did not receive a compliant alert giving you an opportunity to avoid the charge, we have refunded that charge. This means that not all unarranged overdraft charges are eligible for a refund - you will only receive a refund if you did not receive a compliant CMA text alert giving you an opportunity to avoid a charge or potential charge.

The refund includes unarranged interest or the unarranged daily fee for each day you remained in your unarranged overdraft. You have been refunded up to the point where you were told about the charges or came out of your unarranged overdraft.

The amount of the refund may not match the amount of charges on your statement(s) as the amount shown on your statement is the aggregate of all charges in that month. Also if you are eligible for more than one refund we’ve added these together into one refund payment.

When you will not receive a refund

You will not receive a refund if you have a FlexBasic, FlexOne, FlexStudent or FlexGraduate current account. This is because these accounts do not have unarranged overdraft charges and therefore are not eligible.

Other instances where we will not provide a refund include:

  • Arranged overdrafts or charges.
  • Where you had been sent a compliant CMA text alert giving you an opportunity to avoid the charge.
  • Where a charge was never levied (e.g. monthly maximum charge capped off the fee or you have already received a refund).
  • Where you did not provide us with a valid mobile number.

If you have more than one account

We are assessing and reviewing every account that has been affected. Therefore if you have more than one account, each will be refunded separately if they are eligible (and you will be contacted separately).

Our promise to you

At Nationwide we are continually reviewing and improving our text alerting services. Should an issue arise again, we will refund you as we have this time.

Is the text alert a fraud or a scam?

  • We always include the last few digits of your account number in a text and never ask you to use your card reader over the phone.
  • Our CMA text refund alert will read as follows:
    Hello. We're really sorry; we made a mistake. You didn't receive a correct text alert before being charged some unarranged overdraft fees. To put things right, we've refunded these. It will show as 'CMA text refund' in your account ending XXXX.
    For more details, search 'CMA refund' on our website. Thanks, Nationwide
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