200,000 Lloyds, Halifax and Bank of Scotland customers to get payouts after admin blunder
Around 200,000 Lloyds, Halifax and Bank of Scotland customers are owed payments averaging around £30 each, due to historic administrative errors starting in 2012 which may have led to them not switching to better products.
The majority of the affected customers of the banks – which are all part of Lloyds Banking Group – weren't told interest rates on their savings or current accounts were dropping, meaning they may not have switched to better deals elsewhere.
The banking group is now paying out a total of £6 million to those affected. Divided equally, the payments would amount to £30 for each affected customer. But in reality, the payments will be based on how much interest the customer would have earned if the rate had stayed the same – so the more money you had in your account, the higher the payment you're due.
Lloyds says it's written to affected customers in April, and that customers won't need to do anything to receive the money.
If you're unhappy with your bank account, you can switch. See our Best Bank Accounts guide for more info, including how to get £175 in cash to switch and stay.
What went wrong?
An admin blunder meant that customers should have been sent certain T&Cs documents explaining how rates would fall, but weren't.
Lloyds says the error began in 2012, though it won't say when it continued until. Current and savings accounts at Lloyds, Halifax and Bank of Scotland were all affected – we've asked Lloyds which specific products were affected, and will update this story when we hear back.
I'm a Lloyds customer – what should I do?
Lloyds Banking Group says that all affected customers have been written to, so you shouldn't need to do anything.
It says it will trace anyone who's moved house or left the bank – but if you haven't heard anything and think you may be owed, you can get in touch directly:
- Lloyds customers can ring the bank on 0345 602 1997.
- Halifax customers can ring the bank on 0345 720 3040.
- Bank of Scotland customers can ring the bank on 0345 721 3141.
What does Lloyds Banking Group say?
A Lloyds Banking Group spokesperson said: "We have identified that some of our customers have received delayed information relating to their account with us. We are contacting customers to apologise and make them aware of any missed information.
"We will, where appropriate, offer redress. Customers do not need to take any action as anyone affected will be contacted."