Barclays fined £26m for poor treatment of customers
Bereaved people were among those mistreated by the bank
Barclays bank has been fined £26m by the Financial Conduct Authority for failures in its treatment of customers who fell into financial difficulties.
The FCA identified personal and small business customers who fell into arrears between April 2014 and December 2018.
Among those poorly treated were bereaved people whose financial issues should have been better assessed, said the watchdog.
Barclays failed to follow its customers’ contact policies or help customers understand their arrears, and offered unaffordable or unsustainable solutions.
The FCA acknowledged that Barclays has proactively redressed these customers and has paid £273m to at least 1.5m customer accounts since 2017.
The fine took the redress programme into account. Barclays agreed to settle the case and therefore qualified for a 30% discount on the penalty.
A Barclays spokeswoman said: “Barclays is a responsible lender and we strive to achieve good outcomes for our customers.
“We would like to apologise to those customers for not providing the level of service we should have.”
She said the bank had made changes to its systems, processes, and training to correct the issues and that “the vast majority of customers who were impacted have already been contacted”.