We were hoping to pay for the kitchen with “Barclays Partner Finance” (BPF) - however on their online application form when I entered the sort code for my bank “04-00-04” - it says it’s unrecognised.
So I’ve had this problem before, when a company hasn’t updated their records and doesn’t know this is a legit sort code…
But this wasn’t the problem.
The problem is that the underwriters at BPF have advised that Monzo is an “online only” bank, and as such they don’t provide finance to its clients.
Now this feels to me like BPF being underhand and using their dominant position in the market to penalise new competitors of Legacy Banks, notably Monzo and other online-only startup banks.
I spoke to the Financial Ombudsman, and they told me that they probably won’t be able to do anything about this because BPF are free to choose who it does business with, and it doesn’t look like they’re being discriminatory as it’s currently recognised.
Monzo is my current account - I have no current account with any “Bricks and Mortar Legacy” banks, so I don’t have any options for finance from BPF at this time.
I’d find this quite frustrating. I still have my legacy accounts just in case but if everyone who encounters this issue just uses their legacy account then companies like BPF have no incentive in changing their policies. I’d look into other finance options and would revert to BPF as a last resort.
Yes this is what they told me on the phone. I raised a formal complaint about it, which they have marked as “resolved” because they’re not taking any further action.
I would forward you the formal complaint, but all it says is that I made a complaint and it’s been resolved, so it’s not very useful. The only useful part is the complaint code which I can use if I choose to take the action further with a formal body.