Banks and building societies are under scrutiny following concerns about how they handle sensitive processes such as bereavement notifications and registering a power of attorney. Recent reviews suggest that while some firms have improved their practices under the Consumer Duty, others still fall short, leading to delays, distress, and financial complications for vulnerable customers and their representatives.
How Banks are Falling Short
The Financial Conduct Authority, or FCA, has identified inconsistencies in how financial institutions support customers during bereavement or when someone needs to register a power of attorney. In some cases, individuals were unable to access essential funds for urgent bills, due to unclear internal procedures or delays caused by poorly trained staff.
Some banks have made progress, introducing dedicated teams or streamlined protocols. However, others continue to miss the mark, especially during emergencies or mental health crises. The FCA’s findings include examples of good and poor practice, urging firms to adapt and put customer needs at the heart of their operations.
Consumer Duty and the Need for Improvement
The FCA’s Consumer Duty, introduced in 2023, requires financial firms to prioritise fair outcomes for all customers. This is especially relevant when dealing with legal responsibilities like a power of attorney or supporting customers through bereavement.
To meet these expectations, firms must ensure that all staff are trained to handle sensitive situations appropriately and consistently. As more people rely on digital tools to manage legal arrangements, services offering a power of attorney online, such as https://powerofattorneyonline.co.uk/, reflect the need for financial providers to integrate legal and financial processes smoothly.
Resources from organisations like Age UK reinforce the importance of accessible support and legal clarity, especially when someone is taking on decision-making responsibilities on behalf of another.
Banks now face a clear opportunity to improve. With better training, clearer policies, and more consistent service, they can make a significant difference for customers at some of life’s most challenging moments. Proactively supporting people through bereavement and legal transitions is not just a regulatory obligation-it is a chance to demonstrate empathy, professionalism and care when it is needed most.