Sent Money to the Wrong Account? Here’s What You Need to Know
Imagine spending years saving up for retirement, only to watch most of it vanish with one small mistake. Thatâs exactly what happened to Mt Roskill pensioner Andrew Che Sit Bong, who accidentally sent his retirement savingsâ$158,000âto the wrong bank account when transferring funds from the UK to New Zealand.
By the time he realised the error, only $28,000 could be recovered. The rest? Already spent by the person who received it.
Unfortunately, if you send money to the wrong person, getting it back isnât always easyâor guaranteed.
According to Banking Ombudsman Nicola Sladden, if you accidentally send money to the wrong account, the bank can helpâbut only with the other personâs permission.
âThe recipientâs bank usually contacts them and asks if they agree to reverse the transaction. If they say yes, great. But if they say no? You’re on your own.â
In that case, your only real option is to take legal action or try to get in touch with the person directly.
 Real-Life Examples
In one case reviewed by the ombudsman, a woman sent $35,000 across three paymentsâintending to send it to her son. Instead, it went to a completely different person she’d paid in the past.
She asked for it back. The recipient refused.
She then asked the bank to cover the loss, arguing they shouldâve matched the account name and number. But the bankâs terms clearly stated it wasnât liable for customer errors like thisâand the complaint wasnât upheld.
 Lessons & Tips
1. Double-check before you send.
Always confirm account numbers before transferring large amountsâespecially if itâs a new payee.
2. Account name matching is comingâĤ but not everywhere yet.
Some banks have started using âconfirmation of payeeâ systems (which check that account names match numbers), but itâs not universal across New Zealand yet.
3. If you receive money thatâs not yoursâdonât keep it.
It might feel like winning the lottery, but legally and ethically, youâre expected to return it. If your bank asks you to reverse a mistaken payment, say yes.
4. If it happens to you:
- Contact your bank immediately.
- Report it to the Banking Ombudsman.
- Consider legal advice or contact the police if necessary.
 From Consumer NZ
Sahar Lone from Consumer NZ reminds people that these cases can get messy, and there’s no guarantee of success.
âItâs best to act quickly and get support from the Ombudsman or legal channels. Sadly, itâs not always easy to get your money back.â
Bottom line: One wrong digit can cost you everything. Always take a second look before hitting send. And if you ever receive money by mistakeâreturning it is the right thing to do.