Do the police have the power to investigate your bank account?

It can be a stressful experience to find out that the authorities are trying to gain access to your private information. Whether that’s to search your home or your internet history, it’s imperative that you understand when and where the police have permission to investigate aspects of your private life.

One specific area that you may be concerned about is the privacy of your financial information. Here, we explore when the police have the power to investigate your bank account, to help you understand the broader context of any potential investigations you might currently be facing.

This article is intended to provide preliminary information only. If you suspect that you are currently under investigation by the police, it’s imperative that you seek expert legal advice, to ensure that the investigatory authorities are acting in accordance with the law at all times.

 

Production orders

In short, yes – the police can investigate your bank account. The police can investigate most areas of your private or professional life, and this includes your financial records. One of the most common legal mechanisms that the police will choose to use is a production order. 

Under Schedule 1 of the Police and Criminal Evidence Act 1984 (PACE), this kind of order can be used to access special material such as confidential financial records. 

These orders can be used to force banks to hand over a wide range of information, so long as it is likely to be of substantial value to a criminal investigation. 

 

Can bank account investigations happen without my knowledge?

These kinds of investigations can absolutely happen without you being made aware. The order can be produced, records provided to the police, and analyses can be completed, all without the account holder ever being made aware. 

As we’ll see later on, in many cases, the bank will have a legal duty not to disclose any of this to its clients. Often, account holders will first be made aware of these investigations when they are asked to attend an interview or other form of questioning. 

 

What might the police see?

The police can gain access to most of your financial information. This includes:

• Transaction histories
• Digital payment records
• Cash withdrawal 
• Transfers
• Direct debits

Their investigation team, or similar teams at the NCA, SFO, FCA, or HMRC, will assess which of this information (if any) is relevant to your case, and then use it accordingly.

 

Why might the police investigate your bank account?

If the police suspect that you’ve committed a crime and decide to investigate, then they will likely want to collect a wide range of evidence. In many cases, this will also include collecting a range of financially related forms of evidence, especially if the crime is financial in nature. 

For example, this could apply to cases where you’re suspected of having participated in fraudulent activities, or of having sold or otherwise dealt with products of criminal origin, such as drugs or stolen cars. 

 

When would investigatory powers be granted?

As noted before, the police can’t just access most aspects of your private life without having a court order. This also applies to gaining access to your bank account; there are a number of different ways that this kind of court order can be applied.

In most cases, the police will have to apply to a magistrate or district judge for a search warrant, including information in the application pertaining to why they believe you might be involved in criminal activity.

 

Legal frameworks governing this area

There is a reasonably specific set of legal frameworks that govern search warrants in the UK. In most cases, they will be dealt with under Section 8 of the Police and Criminal Evidence Act 1984, more commonly referred to as PACE.

This can be used not only by the police, but also by tax authorities such as HMRC, the Serious Fraud Office (SFO) and any other bodies that might need to investigate your financial information.

In some cases, such as those involving money laundering, it could be dealt with under the Proceeds of Crime Act 2002 (or POCA). It’s important that your solicitor has extensive experience dealing with these kinds of financial investigations, so that they can ensure the relevant authorities only access information they’re legally permitted to access.

 

How would I know that my bank account is under investigation?

It’s possible that if your account is under investigation, the bank will need to freeze your account. While this may be the result of the police’s intervention, it could also be the result of a Suspicious Activity Report (SAR). 

In these cases, the bank will be legally required to report any suspicious financial activity to the National Crime Agency (or NCA). It’s possible that an action such as a transaction request will be paused, with the associated account frozen or partially blocked, until the NCA has had the opportunity to investigate.

It’s important to note that it is illegal for the bank that has submitted the SAR to notify their client that they have done so. As a result, it’s possible that the only clue you’ll have of the investigation is that you are suddenly without access to your account.

 

Am I definitely going to face criminal charges?

There are a wide range of different situations where the investigatory authorities may decide to investigate your bank account. While some of these will be connected to far more extensive criminal investigations, it’s also possible that it’s the result of a relatively routine SAR.

If you’ve been participating in unusual, but otherwise legally compliant and totally explainable financial activity, then it’s possible that the NCA will complete their initial investigation and decide not to pursue further action. 

Regardless of whether you believe you’re innocent or not, it’s important that you seek legal advice so that you can present your case in the best light possible.

 

Potential ramifications of bank account investigations

What happens as a result of the investigation depends on what it is that you’re being investigated for. If you’re charged and found guilty of a crime such as fraud, you could face a serious sentence of up to 10 years in prison. 

If, however, no further action is taken, the only consequence could be that you’re left without access to your bank account for a limited period. This can still be incredibly inconvenient, and you will likely want to regain access to your funds as soon as possible.

 

Seeking legal assistance

If you believe that you’re currently the subject of a criminal investigation, then it’s imperative that you seek legal assistance at the earliest opportunity available. 

This is especially the case if you believe that your bank accounts are being investigated, and if they have been frozen or partially suspended. In addition to ensuring that your bank accounts are only accessed in accordance with the relevant legal frameworks,  your criminal defence solicitor will be able to:

• Provide you with advice both before and during any interviews under caution you need to attend, and any other interviews with other investigatory bodies
• Help you to develop a legal defence, arranging for your representation in court should it be necessary
• Ensure that you’re treated by the law in a just and fair manner at all times
• Help take you through the appeals process, should you and your legal team be unsatisfied with the end result.

Crimes of a financial nature can often be very complicated to defend. As a result, the more time that you and your legal team have to prepare, the better – reach out for help sooner rather than later to ensure the best result possible.