HSBC is to refund 6,700 customers who were overcharged when they fell behind on payments for goods bought on credit between 2003 and 2009. The finance was provided to customers by HFC and John Lewis Financial Services, now owned by HSBC. Customers were charged 16.4% of their outstanding balance as a debt collection fee for falling behind, an amount the UK's Office of Fair Trading decided was "unreasonable". In its statement, HSBC said: "We are sorry that some customers have been affected in this way.
HSBC is to refund 6,700 customers who were overcharged when they fell behind on payments for goods bought on credit between 2003 and 2009. The finance was provided to customers by HFC and John Lewis Financial Services, now owned by HSBC. Customers were charged 16.4% of their outstanding balance as a debt collection fee for falling behind, an amount the UK's Office of Fair Trading decided was "unreasonable". Of the £4m total, on average, those affected are expected to receive roughly £600 each