MSE News: Regulator criticises TSB ahead of bank's showdown with MPs

Former_MSE_Megan_F

The financial regulator has slammed TSB's handling of its IT meltdown hours before the bank is grilled by MPs for the second time, warning that 40% of calls were still being abandoned as recently as a week ago and fraud victims have not been repaid quickly enough...

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'Regulator criticises TSB ahead of bank's showdown with MPs'

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Mchambers

What a surprise ? TSB being criticised again !!:D I hope the MPs make Pester squirm this afternoon. It should be fun to watch. Anyone know what Sky channel is showing it live ?

[Deleted User]

Do you like spectating at bullfights, Mchambers? You seem to relish seeing an animal or human suffer excruciating torture. Why?

eskbanker

You can satisfy your vengeful and ghou lish obsession at https://parliamentlive.tv/Event/Index/47128ce3-df63-4a0a-83c8-514b6b9899c5 if you have nothing better to do with your life....

Not sure why the MSE filters seem to prevent 'ghou lish' without the space!

Mchambers

Wait and see.MSE users will say that for those people that have been defrauded is their fault and nothing to do with useless TSB.

eskbanker

I've received an email today claiming to be from TSB:

Important Notice

Please Note: Starting from 07/June/2018, we will be implementing new login authentication procedures in order to safeguard your account information. Part of these procedures will be the introduction of our two step authentication system which will prevent access to your account by a third party, this system will work by comparing information from the device being used to access our sites against data we previously hold regarding the devices you most frequently use.

In order for us to launch these new login authentication procedures we require you to complete our account verification process this should only take you a few minutes to complete and will help us in safeguarding your account information.

Get Started
[dodgy link removed]

Please note: Failure to comply with our account verification process may lead to temporary suspension of access to our online and telephone banking service.

Best regards,
TSB Online Banking Team

While TSB's undeniable catalogue of failures has undoubtedly led to an increase in such fraudulent activities, that wouldn't make them responsible if I was to be taken in by such a blatant phishing attempt. Of course there will be a range of different styles of fraud and some are likely to be facilitated directly by TSB's own security weaknesses, but it's just as simplistic to say that it's all TSB's fault as it would be to say that none of it is.

jcontest

Mchambers wrote: »

Wait and see.MSE users will say that for those people that have been defrauded is their fault and nothing to do with useless TSB.

Most of those that have been defrauded were not done so because of TSB.


I have sympathy for people who give out their passwords, login details, and who transfer money to secure offshore holding sites in the name of someone else name to protect their cash from being stolen. Sometimes stupidity and naivety can dictate what people do.


TSB should have offlined the whole thing when they found out they had errors, put a notice on the website stating they are doing maintenance or something and it would be back up in the next XX hours.


The scammers will look at what happened here as a way to hit the next bank.

Create enough waves and the phone lines get overloaded.
Gossip papers will start running their doomsday articles once they find out.
People rush to the phone lines in fear that it's all real and their money is gone.
Start pushing out the real scams and watch as people fall for it.
Spend days trying to figure out who was hit and who was not hit.


We just seen it happen to TSB and I rekon they will replicate it again. IT Failure or Not, the public being told to run on the bank will give them a way in.


I don't lob SimSwap theft into the group of people that I am complaining about here. SimSwap is something that the customer took no part in and had no part in the loss of their money.


For people who suffer with disabilities that make understanding or communicating difficult then I don't blame them either.


I have two bank cards with two different banks. If one of mine stops working then instead of turning to the daily mail for updates I will just use the other card or, at the worst, try tomorrow.

eskbanker

Rather oddly, MSE have chosen to update the article this thread relates to in order to summarise today's select committee meeting, rather than writing a new one, but the issue of outbound switches was covered, with a figure of 12,500 being quoted by TSB since the grief began (compared with 11,582 in the third quarter of 2017).

For anyone interested in details rather than headlines, the FCA letter has now been published here, as has Paul Pester's letter to the committee yesterday.

HornetSaver

Part of the problem on the matter of compensation is that loss is difficult to quantify.

Take for instance, someone who had decided to switch and later down the line found that they could not access cheaper mortgage or other credit deals, because of the fraud-scoring impact of being reported as deceased (unlike the credit score, fraud scoring does matter and isn't easy to sort out), the liability of the bank towards them could end up being pretty substantial.

Then take the case of someone who has decided to switch, because despite on paper TSB being one of the best bank accounts they've simply had enough of the issues. Then, noting the issues with switchers being reported as deceased, they decide they simply can't take the risk and sit it out for three to six months. They haven't changed their mind, but they can't afford to commit serious time and dough to a potential legal battle should the above situation happen. The compensation I believe they should be due is relatively small in the scheme of things, but is not zero.

eskbanker

HornetSaver wrote: »

Take for instance, someone who had decided to switch and later down the line found that they could not access cheaper mortgage or other credit deals, because of the fraud-scoring impact of being reported as deceased (unlike the credit score, fraud scoring does matter and isn't easy to sort out), the liability of the bank towards them could end up being pretty substantial.

Is there any evidence that TSB have reported the bogus deaths to credit rating agencies or any other authorities? I was under the impression that their error was simply to write to switching customers about that rather than actually reporting deaths, but could be wrong....

Edit: I was wrong, see below!

soulsaver

eskbanker wrote: »

I've received an email today claiming to be from TSB:While TSB's undeniable catalogue of failures has undoubtedly led to an increase in such fraudulent activities, that wouldn't make them responsible if I was to be taken in by such a blatant phishing attempt. Of course there will be a range of different styles of fraud and some are likely to be facilitated directly by TSB's own security weaknesses, but it's just as simplistic to say that it's all TSB's fault as it would be to say that none of it is.

And add to that anyone who wants their money back after being foolishly scammed has probably only one realistic route.. and that's to make their bank somehow appear culpable in the press, especially if their claim has been justlifiably turned down.