HSBC, Lloyds, TSB, and AIB have faced criticism from the UK’s competition authority for not adhering to regulations concerning the provision of clear and accurate information to customers.
The Competition and Markets Authority (CMA) highlighted that HSBC inaccurately listed 167 closed branches as open and provided incorrect details regarding business loan and overdraft rates. Additionally, TSB did not disclose the maximum charges for unarranged overdrafts; AIB failed to present the correct annual rates for certain loans and overdrafts through Open Banking and on its website; and Lloyds did not provide the addresses for 363 ATMs through Open Banking.
The CMA has sent public letters to all four banks. While Lloyds, TSB, and AIB have agreed to implement changes, HSBC, which the CMA claims has committed more extensive breaches, has been given a detailed action plan.
Dan Turnbull, senior director at the CMA, stated, “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 seven years later, we still have to implement formal enforcement measures to ensure better compliance from a major bank like HSBC, which has repeatedly breached the rules.”