Revolut Restores Access to Frozen £37,000 House Deposit After Consumer Champion Intervention

A couple in the UK preparing to purchase their first home had their £37,000 house deposit frozen by Revolut, jeopardizing their move until a consumer champion intervened. The funds, held in a joint savings account with the digital bank, became inaccessible when the partner's current account was put under a routine security review.

The couple were set to exchange contracts on their new property within 12 days and needed to transfer the deposit to their solicitor. They reported receiving conflicting reasons for the account freeze, ranging from a "policy breach" to "crypto unstaking," despite not owning any cryptocurrency. Their partner primarily used the account for salary deposits and daily expenses.

Revolut's communication regarding the investigation's timeline was inconsistent, with missed deadlines exacerbating the couple's anxiety. They were initially told the review would be completed in a few days but were repeatedly given new, later completion dates. The bank did offer £175 in compensation, citing "operational volume" as a delay, but this did not resolve the immediate need for access to the deposit funds.

This situation was particularly stressful as the couple had already given notice on their rented accommodation, potentially leaving their family with young children without a place to live if the house purchase collapsed. The frozen deposit put the entire transaction at risk, with the possibility of the seller withdrawing from the sale.

Helen Crane, This is Money's consumer champion, contacted Revolut on behalf of the couple to expedite the transfer of the deposit to an account with a separate bank. Following this intervention, access to the funds was restored, allowing the couple to proceed with their home purchase.

A spokesperson for Revolut stated that account reviews are mandatory for customer protection and regulatory compliance. While restrictions may be placed on accounts for various reasons, the bank noted that the specific cause cannot always be disclosed. "The account review is now complete, and full access to the funds and accounts has been restored," the spokesperson said. "We’re sorry that our review process took longer than usual in this case, and that our communication with the customer didn’t reach its usual standards, particularly given the inconvenience this caused during an important life moment for the family."

While the exact reason for the account freeze remains undisclosed, the couple has now recovered their deposit and can move forward with their home purchase, hoping for a smoother conclusion to their transaction.