Lloyds Bank to pay £10m to up to 200,000 customers over administrative error
Lloyds Banking Group will pay out around £10m to up to 200,000 customers following an administrative error made seven years ago.
The company failed to notify thousands of customers that it had cut interest rates on a number of Halifax, Bank of Scotland and Lloyds savings accounts in 2012.
Read more: Lloyds Bank stars as FTSE 100 rockets in Q1
The error caused customers to miss out on millions of pounds of interest that they could have potentially earned if the rates had remained the same, or if they had transferred money into a different account, Market Watch reported.
The mistake could cause the bank to break rules set by the Financial Conduct Authority to maintain transparent banking practices in the UK.
A spokesman for Lloyds Banking Group said: “We have identified that some of our customers have received delayed information relating to their account with us.
Read more: MPs call for investigation into Lloyds 'cover up' of HBOS fraud
“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.”