Feeds

Did a date calculation bug just cost hard-up Co-op Bank £110m?

And just when Brit banking org needs £400m to stay afloat

Beginner's guide to SSL certificates

A programming blunder appears to have landed the cash-strapped Co-op Bank an unexpected bill for £110m.

In its financial report [PDF] for 2013, which last week revealed a £1.3bn loss, the bank said it had to stump up nine-figure "costs relating to breaches of the Consumer Credit Act".

Specifically, the scandal-hit bank noted: "Interest refunds relating to technical compliance with the Consumer Credit Act have also been provided for (£110m)."

The bank did not explain exactly how it fell foul of the law, but with a little digging, we uncovered this Grocer report from March: it claims that loan statements to a group of customers were sent out late – specifically, 368 days after the previous annual statements rather than the 365 days specified by the Consumer Credit Act.

That gaffe meant the bank had to pay back all the interest on that batch of loans as a result of not following the letter of the law.

The three-day delay in sending out the statements was allegedly the fault of a software developer who got his or her sums wrong, according to the Grocer. The bank did not comment when asked by The Reg to confirm whether or not a coding error had led to the cock-up.

Following the publication of its full-year report, it's feared the Co-op Bank could go bust within months if it does not raise £400m to shore up its finances. ®

Providing a secure and efficient Helpdesk

More from The Register

next story
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
Zippy one-liners, broken promises: Doctor Who on the Orient Express
Series finally hits stride, but Clara's U-turn is baffling
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
Apple SILENCES Bose, YANKS headphones from stores
The, er, Beats go on after noise-cancelling spat
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.