‘I lost my £193,000 inheritance – with one wrong digit on my sort code’

December 07, 2019 at 08:00AM Peter Teich sent his cash to another Barclays customer, but offered it him just £25 as a token gestureIt is the stuff of financial nightmares. You get one digit wrong on the sort code, and send a huge amount of cash to the wrong person. They refuse to return it, … Continue reading ‘I lost my £193,000 inheritance – with one wrong digit on my sort code’

Metro Bank chief to step down two months after chairman

December 04, 2019 at 06:36PM Craig Donaldson to leave this month after steering lender through ‘challenging period’The Metro Bank’s chief executive is to step down only two months after the departure of the longtime chairman.Craig Donaldson, who has been in the role since the lender was founded in 2009, agreed to leave at the end … Continue reading Metro Bank chief to step down two months after chairman

Rescued Cooperative Bank recognises customer union

December 04, 2019 at 05:44PM Union’s 1,200 members committed to protecting bank’s ethical policiesThe Cooperative Bank has agreed to formally recognise a customer “union” which aims to protect the bank’s ethical policies now it is owned by hedge funds.The Customer Union for Ethical Banking said the agreement would give it influence with the Cooperative Bank’s … Continue reading Rescued Cooperative Bank recognises customer union

TSB bonuses to be docked for failure to meet gender balance targets

December 03, 2019 at 06:00AM Exclusive: bank scraps pledge to raise proportion of women in senior roles to 45-55% by 2020Bosses at TSB will have their bonuses docked for failing to meet gender balance targets intended to raise the number of women in senior roles by 2020.It is the latest blow for the leadership team … Continue reading TSB bonuses to be docked for failure to meet gender balance targets

Banks behaving badly: why Australia lags in policing its financial sector

December 01, 2019 at 05:00PM The Westpac scandal highlights the problems Australian institutions have with detecting and reporting dodgy transactionsWestpac’s money laundering and child exploitation crisis has rocked the bank and thrown harsh light on the behaviour of the rest of the financial services sector.It’s also raised questions about why Australia lags in enforcing rules … Continue reading Banks behaving badly: why Australia lags in policing its financial sector

Billionaires only, please – London vault for the ultra-rich opens its doors

December 01, 2019 at 01:01PM Exclusive safety deposit bank near Harrods angles to be world’s most expensive vaultWelcome to the billionaires’ new piggy bank. A bank vault in a grade-II listed 120-year-old former mansion next to the Dorchester Hotel on London’s Park Lane will open for business next week.This is no ordinary bank. This one … Continue reading Billionaires only, please – London vault for the ultra-rich opens its doors

Not happy Westpac: how customers can show their discontent over banking scandals

November 30, 2019 at 07:00PM The first step is to lodge a complaint directly with the bank. The second is to switch to another bankThere was pressure from investors this week for more of the Westpac board to resign in the wake of Austrac revealing the company allegedly breached anti-money laundering and counter-terrorism finance laws … Continue reading Not happy Westpac: how customers can show their discontent over banking scandals

NatWest’s online banking and mobile app crash on Black Friday

November 29, 2019 at 02:15PM Customers complain unable to access bank’s online service and mobile app NatWest’s online banking and mobile app have gone down during the Black Friday sales.Customers complained about being unable to access their money and some also said money transferred between accounts appeared to have vanished. As the last Friday of … Continue reading NatWest’s online banking and mobile app crash on Black Friday

HSBC and Santander to refund customers over unauthorised overdrafts

November 29, 2019 at 08:18AM Banks failed to alert hundreds of thousands of account holders via textHSBC and Santander are to refund millions of pounds to customers for failing to alert hundreds of thousands of account holders that they had gone into an unauthorised overdraft.HSBC is to pay back £8m to 115,000 customers after failing … Continue reading HSBC and Santander to refund customers over unauthorised overdrafts

RBS takes on Monzo with standalone digital bank Bó

November 29, 2019 at 07:00AM New banks aims to serve savers and travellers, but pays no interest and is not part of BacsRBS has launched its own standalone, Monzo-style digital bank, and as is now customary, it comes with a quirky name: Bó. Royal Bank of Scotland reportedly approached Monzo with a potential takeover back … Continue reading RBS takes on Monzo with standalone digital bank Bó

Asic urges Coalition not to bow to ‘loud voice’ of banks and water down regulations

November 29, 2019 at 04:00AM Australian Securities and Investments Commission deputy chair, Karen Chester, says banks have ‘empathy gap’ that needs closingThe corporate watchdog has called on the Morrison government not to bow to “the loud voice of exceptionalism” by yielding to pressure from the banks to water down stricter regulations of the financial services … Continue reading Asic urges Coalition not to bow to ‘loud voice’ of banks and water down regulations

Barclays could cut CEO Jes Staley’s pension payment in half

November 28, 2019 at 05:28PM Investors pressurising bank to bring the perk in line with those received by rest of workforce Barclays could cut in half the pension payments made to its chief executive, Jes Staley, after investor pressure to bring them in line with the rest of the bank’s workforce.Staley received an annual cash … Continue reading Barclays could cut CEO Jes Staley’s pension payment in half

TSB branch closures: the towns and cities affected

November 28, 2019 at 12:24PM The full list of the 82 branches scheduled to be axed by the bankTSB plans to close 82 branches, cutting up to 370 jobs over the course of next year.Here is a list of planned branch closures in 2020.Wigton (June)Newcastle Upon Tyne – Chillingham Road (September)Urmston (June)Chester (June)Chorlton, Manchester (October)Congleton … Continue reading TSB branch closures: the towns and cities affected

Virgin Money makes £194m loss as PPI hit looms

November 28, 2019 at 12:19PM Bank holds back £385m for mis-selling compensation but shares surge by 24% after move to suspend dividendA £385m provision for PPI compensation pushed Virgin Money to a second consecutive annual loss, but shares surged as investors welcomed a capital preservation plan that included suspending its dividend.Investors had questioned whether the … Continue reading Virgin Money makes £194m loss as PPI hit looms

More directors may leave Westpac as investigation seeks board accountability

November 28, 2019 at 06:06AM Bank will also set up new financial crime committee in wake of money laundering and child exploitation scandalMore directors may depart Westpac’s board following an investigation of the bank’s money laundering and child exploitation scandal by consulting firm Promontory.Westpac’s board will also set up a new financial crime committee, chairman … Continue reading More directors may leave Westpac as investigation seeks board accountability

Lloyds plan to cut chief executive’s pay by £220,000

November 27, 2019 at 01:27PM Banking group could spend £20m to raise retirement benefits for rest of staffLloyds Banking Group is proposing to slash its chief executive’s pay by £220,000 and spend £20m to raise retirement benefits for the rest of staff – only months after defending the boss’s bumper pay package.The bank is consulting … Continue reading Lloyds plan to cut chief executive’s pay by £220,000

Labor calls for Westpac to front parliamentary inquiry – politics live

November 26, 2019 at 09:02PM The banking scandal continues to bleed into federal politics, with the opposition calling for executives to explain themselves to MPs. All the day’s events, live 9.01pm GMT Mark Butler told ABC radio this morning that Labor would continue its pursuit of Angus Taylor in the parliament today, after the prime … Continue reading Labor calls for Westpac to front parliamentary inquiry – politics live

De La Rue shareholders suffer from a licence to print money

November 26, 2019 at 06:49PM Debt soared at the banknotes-to-passports printer just as bonuses rocketed and business fell De La Rue warns its future is in ‘significant doubt’At De La Rue’s shareholder meeting in June, 48% of votes were cast against the banknote printer’s remuneration report, presumably in protest at the £197,000 bonus awarded to … Continue reading De La Rue shareholders suffer from a licence to print money

Citigroup fined £44m by Bank over poor financial information

November 26, 2019 at 12:54PM Regulator said US bank’s oversight and governance ‘fell below expected standards’The Bank of England has fined US bank Citigroup nearly £44m for submitting incomplete and inaccurate regulatory information to the Bank between 2014 and 2018.The Bank said Citigroup fell short of expected standards between 2014 and 2018, that the problems … Continue reading Citigroup fined £44m by Bank over poor financial information

Westpac’s chief executive Brian Hartzer resigns over money-laundering scandal

November 25, 2019 at 09:09PM The CEO has been under pressure over revelations it breached rules 23 million times – including transactions potentially linked to child exploitationThe Westpac chief executive Brian Hartzer has resigned and chairman Lindsay Maxsted will step down early following a money laundering scandal involving allegations the bank failed to stop transactions … Continue reading Westpac’s chief executive Brian Hartzer resigns over money-laundering scandal

Former Barclays exec tells jury he was ‘close’ to Qatar prime minister

November 25, 2019 at 04:47PM Roger Jenkins gives evidence for first time in criminal trial over actions in financial crisis A former Barclays executive told a jury he developed a “close” relationship with Qatar’s prime minister in 2008, just months before the lender and Gulf state struck a controversial services deal that is now at … Continue reading Former Barclays exec tells jury he was ‘close’ to Qatar prime minister

After a litany of bank scandals, the Westpac allegations are a new low | Ben Butler

November 22, 2019 at 07:00PM To claims the bank turned a blind eye to child abuse payments, its boss denies indifference and its chairman says nothing I’ve covered a lot of bank scandals, but this one is just disgusting.Banks have ruined lives because they kept pushing credit on people with gambling problems.Austrac says it starting … Continue reading After a litany of bank scandals, the Westpac allegations are a new low | Ben Butler

Nationwide profits hit by mortgage war and PPI mis-selling

November 22, 2019 at 03:05PM Building society prioritising IT investment over ‘short-term profits’, says chief executiveThe mortgage price war and a new charge for mis-sold payment protection insurance (PPI) have helped wipe 40% off first-half profits at Britain’s biggest building society.Nationwide, which has almost 16 million members, said its statutory profits fell to £309m during … Continue reading Nationwide profits hit by mortgage war and PPI mis-selling

TSB struck by new IT glitch just months after £330m meltdown

November 22, 2019 at 11:27AM Bank says no one will be out of pocket as customers cut off from wages, benefits, pensionsTSB is facing a fresh IT glitch after customers failed to receive wages, benefits, pensions and other payments into their accounts.The latest technical issue is likely to affect thousands of customers and comes just … Continue reading TSB struck by new IT glitch just months after £330m meltdown

What is Westpac accused of, and how is this related to child exploitation? – explainer

November 21, 2019 at 05:32AM The most damaging allegation relates to money that a dozen bank customers paid to people in the PhilippineslAustralia’s financial intelligence agency, Austrac, began legal action against Westpac on Wednesday accusing it of failing to meet its obligations under anti-money laundering and counter-terror finance (AML-CTF) laws. Westpac is accused of more … Continue reading What is Westpac accused of, and how is this related to child exploitation? – explainer

Why not a big stick for Westpac and the banks? They’re acting like Marvel villains | Richard Denniss

November 21, 2019 at 04:08AM The scrutiny of the big four should not stop until their staggering, systemic breaches of the law doImagine if the government were as keen to deregister banks that broke the law as it is to deregister unions.The regulator has accused Westpac of 23m breaches of anti-money laundering laws involving a … Continue reading Why not a big stick for Westpac and the banks? They’re acting like Marvel villains | Richard Denniss

Pressure grows on Westpac chief Brian Hartzer over Austrac child exploitation allegations

November 21, 2019 at 03:05AM Scott Morrison says bank’s board should reflect ‘very deeply’ on its response to legal action over Philippines transactionsWestpac’s chief executive, Brian Hartzer, is under increased pressure to resign over the bank’s alleged failure to stop its customers paying for overseas child exploitation after the prime minister, Scott Morrison, said he … Continue reading Pressure grows on Westpac chief Brian Hartzer over Austrac child exploitation allegations

Legal breaches allowed Westpac customers to pay for child sex undetected, Austrac alleges

November 20, 2019 at 05:00PM Agency alleges Westpac failed to monitor 12 customers who made transactions consistent with child exploitation typologiesWestpac’s failure to obey anti-money laundering and counter-terror finance laws allowed a customer to make payments to a person in the Philippines who was later arrested for child sex trafficking and livestreaming child sex shows, … Continue reading Legal breaches allowed Westpac customers to pay for child sex undetected, Austrac alleges

Westpac accused of more than 23m breaches of anti-money laundering laws

November 19, 2019 at 10:53PM Austrac launches legal action against bank over $11bn in transactions and allegedly failing to detect activity ‘indicative of child exploitation’Australia’s financial intelligence agency has launched legal action against one of the country’s biggest banks, Westpac, accusing it of more than 23m breaches of anti-money laundering and counter-terrorism finance laws involving … Continue reading Westpac accused of more than 23m breaches of anti-money laundering laws

Boom, Bust and Bankers review – a harrowing tale of two Cities

November 19, 2019 at 10:00PM From the bankers raking in the cash to the cleaners toiling in the basement, this top-to-bottom tour of notorious finance hub Broadgate showed a world of gross and growing inequality In a world in which finding facts and making sense of things seems increasingly akin to trying to assemble a … Continue reading Boom, Bust and Bankers review – a harrowing tale of two Cities

TSB lacked common sense in run-up to IT meltdown, says report

November 19, 2019 at 11:40AM Computer systems failure resulted in nearly 1.9 million people being locked out of accountsThe board of TSB lacked “common sense” and shifted customers to a new IT platform before it had been fully tested, an independent report into the bank’s 2018 meltdown has found.The report, commissioned by the bank and … Continue reading TSB lacked common sense in run-up to IT meltdown, says report

Jayne-Anne Gadhia: ‘People joke I have a way with bearded billionaires’

November 19, 2019 at 06:00AM Former Virgin Money CEO on her new role at software giant Salesforce, founded by Marc BenioffEven in London, it’s not every day you meet someone who can claim to have a bearded billionaire on speed dial. Dame Jayne-Anne Gadhia may well have two.For more than 20 years, she was a … Continue reading Jayne-Anne Gadhia: ‘People joke I have a way with bearded billionaires’

Wealthy people are spending less – are they seeing signs of a recession?

November 18, 2019 at 07:00AM A recent USB report found wealthy investors are increasing their cash reserves, adding to growing evidence suggesting they see trouble on the horizonDo the ultra-wealthy know something we don’t? US consumers in general are still spending, but the 1%? Not so much.A UBS report released last week found wealthy investors … Continue reading Wealthy people are spending less – are they seeing signs of a recession?

Lloyds shareholders lose legal fight over HBOS takeover

November 15, 2019 at 03:47PM Judge found failures by Lloyds to provide information before takeover but these were not “causative of any loss”Thousands of shareholders in Lloyds Banking Group have lost a multi-million pound legal battle against the bank over its takeover of HBOS at the height of the global financial crisis.A high court judge … Continue reading Lloyds shareholders lose legal fight over HBOS takeover

Halifax joins HSBC in letting customers block cards from gambling

November 15, 2019 at 12:32PM Block is designed to prevent problem gamblers betting money they can’t afford to loseHalifax has joined HSBC in announcing customers can now self-exclude their bank cards from being used to gamble – and if they change their mind they won’t be able to start spending again for another 48 hours.The … Continue reading Halifax joins HSBC in letting customers block cards from gambling

This pension scheme has 8m members – and ethical savers do best

November 15, 2019 at 12:17PM The publicly owned Nest has thrived thanks to investments such as its £1.1bn ‘climate aware’ fundIt’s often said that paying into a workplace pension is a no-brainer, and maybe here’s the proof: early investors into Britain’s biggest auto-enrolment scheme have tripled their money in seven years. And those who chose … Continue reading This pension scheme has 8m members – and ethical savers do best

European Investment Bank to phase out fossil fuels financing

November 15, 2019 at 09:41AM EU’s lending arm to become first ‘climate bank’ by ending financing of oil, gas, and coal projects after 2021The European Investment Bank has agreed to phase out its multibillion-euro financing for fossil fuels within the next two years to become the world’s first ‘“climate bank”.The bank will end its financing … Continue reading European Investment Bank to phase out fossil fuels financing

Victims of bank transfer scams risk being left unprotected

November 15, 2019 at 12:01AM Industry fails to agree on compensation plan after current scheme expiresBank transfer scam victims risk being left unprotected from January after the industry failed to agree a plan to compensate people.More than £1m a day is being lost to scams in which people are duped into authorising a payment to … Continue reading Victims of bank transfer scams risk being left unprotected

City firms must do more to tackle sexual harassment, says FCA executive

November 14, 2019 at 03:54PM Jonathan Davidson says managers who allow such behaviour are ‘not fit and proper’A top executive at the City watchdog has said there are still too many incidents of sexual harassment happening inside financial sector companies and criticised independent directors within some institutions for failing to act because they believe it … Continue reading City firms must do more to tackle sexual harassment, says FCA executive

Asic snaps back at critics of responsible lending laws after Frydenberg comments

November 14, 2019 at 06:20AM Corporate regulator says suggestions that rules curb flow of credit to small businesses is a ‘myth’The corporate regulator has hit back at the treasurer, Josh Frydenberg, over suggestions that responsible lending laws might make banks nervous to lend to small businesses, describing the idea that the rules crimped the flow … Continue reading Asic snaps back at critics of responsible lending laws after Frydenberg comments

Google to offer checking accounts in partnership with Citigroup

November 13, 2019 at 02:10PM News of product, Cache, comes day after whistleblower revealed alarm over secret transfer of personal medical data to companyGoogle is to offer personal checking accounts to consumers in a partnership with Citigroup bank as the search giant pushes deeper in its quest to harvest the personal data of consumers.The project, … Continue reading Google to offer checking accounts in partnership with Citigroup

HSBC to let customers block spending on gambling websites

November 13, 2019 at 01:30PM Bank says 24-hour cooling-off period will give problem gamblers time to reconsider HSBC will allow customers to prevent themselves from spending money with bookmakers and online casinos, as it becomes the latest bank to introduce measures intended to help problem gamblers.Europe’s largest bank will offer its 14.5 million UK customers … Continue reading HSBC to let customers block spending on gambling websites

Monopolies cost Americans $300 a month. We’re no longer the land of free markets | Thomas Philippon

November 13, 2019 at 07:00AM In a reversal from a few decades ago, American consumers are facing oligopolies while Europeans benefit from competitionWhen I landed in Boston in 1999, the United States was the land of free markets. Many goods and services were cheaper here than in Europe. Twenty years later, American free markets are … Continue reading Monopolies cost Americans $300 a month. We’re no longer the land of free markets | Thomas Philippon

Bank bosses acting like pilots who have parachutes their passengers don’t, regulator says

November 13, 2019 at 02:34AM Apra boss Wayne Byres says his proposals to reform executive pay ‘have undoubtedly caused a fair amount of angst’The pay packets earned by banking bosses mean they are like airline pilots who have parachutes when their passengers do not, the head of the prudential regulator says.Speaking to a business lunch … Continue reading Bank bosses acting like pilots who have parachutes their passengers don’t, regulator says

Twenty Poond notes: investigation after ATM dispenses toy money

November 12, 2019 at 04:52PM Two banknotes dealt out in Lancaster also stated ‘this note is play money’ and NOT FOR USEThe Yorkshire building society is to investigate how two fake £20 notes were issued by a cash machine outside its Lancaster branch.The investigation was prompted after the Guardian’s media editor, Jim Waterson, and a … Continue reading Twenty Poond notes: investigation after ATM dispenses toy money

Banking tech could lead to discrimination, says ex-regulator

November 11, 2019 at 04:23PM Banks can now more accurately identify ‘unprofitable’ or costly customersAdvances in banking technology are putting vulnerable customers at risk of discrimination, a former City regulator has said.Mick McAteer, a former board member at the Financial Conduct Authority, said lenders and insurers were gaining access to tools to more accurately identify … Continue reading Banking tech could lead to discrimination, says ex-regulator