HSBC, Lloyds, TSB, and AIB have been rebuked by the UK’s competition watchdog for failing to meet rules on providing customers with clear and up-to-date information.
HSBC listed 167 closed branches as still being open and provided incorrect information on business loan and overdraft rates, says the Competition and Markets Authority.
TSB failed to disclose the maximum amount customers would be charged for going into unarranged overdraft; AIB failed to make available the correct annual rates for some loans and some overdrafts through Open Banking and on its own website; and Lloyds failed to make available addresses of 363 ATMs through Open Banking.
The CMA has issued the four lenders with public letters. Lloyds, TSB and AIB have agreed changes but HSBC – which the CMA says has breached the order more extensively – has been given detailed directions which include an action plan.
Dan Turnbull, senior director, CMA, says: “People deserve banks they can trust to serve them well. Having correct information is essential when making important decisions about our finances. Banks handling our hard-earned money should have adequate processes in place to ensure this happens.
“It’s disappointing that 7 years on, we have to put in place formal enforcement measures to secure better compliance from a major bank like HSBC which, yet again, is in breach of the rules.”
