Businesses that provide savings accounts are entitled to set and change the interest rates on them.
We don’t have the power to tell you what interest rate to apply to a savings account. But we can look at whether you applied any changes fairly.
Types of complaints we see
Customers may complain:
- you unfairly reduced the interest rate on their savings account
- they didn’t realise they could have moved their money to another account paying a better rate of interest
- they didn’t realise their account’s initial interest-rate deal had ended and they were receiving a lower rate of interest
- you advised them incorrectly about using their account and how this might affect the account’s interest rate
What we look at
We’ll usually look at:
- any relevant rules, guidance and good practice – including the Banking Conduct of Business Sourcebook (BCOBS), which requires you to give customers reasonable notice of any material change to an interest rate (BCOBS 4.1.2(3))
- the terms and conditions that applied to the account when you changed the interest rate and whether you followed them correctly
- whether you treated your customer fairly
- whether you gave your customer:
- any advice when opening the account – and, if so, whether that advice was reasonable
- clear and timely information about any changes to the account’s terms and conditions or its interest rate
- what steps your customer took once they became aware of the problem
Handling a complaint like this
We only look at complaints that you've had a chance to look at first. If a customer complains and you don't respond within the time limits or they disagree with your response, then they can come to us.
Find out more about how to resolve a complaint.
Putting things right
If we agree with a customer’s complaint, we’d normally expect you to put them in the financial position they would have been in if you’d done things correctly.
We may tell you to:
- pay the customer the difference between the interest rate you applied to the account and the rate they would have received if you’d acted correctly – which might be the rate on a different account if we think they would have moved their money
- compensate the customer for any distress or inconvenience they’ve suffered
- waive any tie-in period if the customer wishes to close the account