Agents have begun reporting concerns that Barclays has suspended access to their business bank accounts.
Vijay Vashistha, co-founder of online agent 99home, said he noticed on Monday that he could no longer access his Barclays Bank business account and was told an internal review was being conducted which could take up to seven working days to complete.
Estate Agent Today has been told that at least three other estate agency brands have faced similar issues this week where they have received RG21M error codes, meaning account access is suspended but there is no suggestion that these cases are linked.
Vashistha said no notice was given of the account restrictions or review and said it has meant no payments could be made this week, including rent owed to landlords, direct debits to suppliers and staff wages.
He told Estate Agent Today: “We are losing trust from landlords as a result of this and it is hitting us unfairly on the lettings and management side.
“Barclays has come to review our account as well as a few other estate agents without any notifications prior to blocking us.
“There is a long list of transactions we can’t do as all outgoings are blocked.
“We are not stopping them to run their regular compliance check but without disturbing business.
“I would suggest agents not to rely on Barclays and if they are using this bank they must use a backup system.”
A Barclays spokesperson said: “Due to customer confidentiality, we are unable to share any further information.”