19th February 2013
The Financial Services Authority reported that up to 140,000 customers did not receive their payments promptly.
Lloyds, which has apologised, is the first bank fined by the FSA specifically for delaying payments.
The bank said it had been surprised by the influx of claims last year; "We had not fully anticipated the volume of complaints to be processed at the outset and experienced some administrative errors as we scaled up our systems and processes," said a spokesman for the bank.
"We acknowledge that this led to some customers not being compensated on time and we apologise to those customers whose payments were delayed."
Source: BBC News
Posted in PPI, Lloyds Banking Group, Mis-selling Scandal, UK, Banking