Martin Lewis reveals how your bank could owe you £100
MARTIN Lewis has explained why your bank could owe you £100 – and it’s not a scam.
The MoneySavingExpert founder revealed how some HSBC, First Direct, M&S Bank and John Lewis Finance customers are being sent cheques as an apology for poor service while they were in arrears.
Examples of the bad service include poorly worded letters to customers.
HSBC Group, which all four banks come under, has admitted the failings took place between 2010 and 2019.
So if you were in arrears with one of these lenders during this time, Martin explained you could be due a cheque.
Some customers have reported getting as much as £100, while others have received £25 or £50.
Martin Lewis shared this example of the letter banks are sending out[/caption]The banking group is sending out compensation now until March 2021.
If you don’t hear from the lender after this time, and you think you could be entitled to money, Martin suggests getting in touch with who you banked with.
The letters aren’t a scam, so you shouldn’t throw the cheque away.
Speaking on his ITV Martin Lewis Money Show Live, Martin said: “If you think you’re due one and you don’t get one after that, I’d get in touch if you’ve moved house and tell it about your address.
“Watch out for these. Do not bin them – these are cash in the bank.”
How is the compensation sent out?
The payouts are being sent out automatically – so you don’t need to do anything if you’ve been affected.
You should also still get your money even if you’ve since closed your account.
But if you’ve changed address, it’s worth contacting the lender you banked with so they have your up-to-date details.
HSBC Group hasn’t said how many people it’s compensating, but the errors affect all types of borrowing.
This means customers who’ve taken out a mortgage, personal loan, credit card, or who have a current account with an overdraft.
HSBC Group has around 14million customers across all its brands, so even just 1% would amount to 140,000 people.
A HSBC UK spokesperson said: “We always strive to do the right thing by our customers.
“Regrettably, some historic cases where customers were in arrears at times fell short of this commitment.
“We are taking action to put that right and remediate customers who may have been impacted. Customers do not need to do anything.”
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