Calculating compensation for incorrect Early Repayment Charge

MattLondon2016

The bank has contacted me to say they incorrectly applied an early repayment charge on a mortgage I repaid early. (it was apparently for them to take it because I took out a mortgage with them for a different property 2 weeks later). 
They have offered to repay the charge plus interest (8%).
The charge, approx £5,500, was made back in March 2016; we're now May 2024 and I don't have a problem with the amount they've calculated based on that 8% number.
To be honest it's a nice surprise and I don't want to be greedy ... but:
My question is, should they offer any additional compensation for inconvenience or anything else in addition to the purely financial calculation?

MattLondon2016

Typo above. It should have read "(it was apparently wrong of them to take it because I took out a mortgage with them for a different property 2 weeks later). 

Nasqueron

What have you lost? That is the basis of compensation - you must have lost something financially to be able to show more is needed.

Interest rates were 0.25% from August 2016, falling as low as 0.10% March 2020 to 0.75% to March 2022, you are getting 8% (simple) interest, vastly higher than you could have got through having the money and investing it. That 8% interest IS the inconvenience payment

Rodders53

8% interest rate is the penalty for them and compensation to you... even though it is 'simple interest' and not compounded.

£5500 x .08 x 8 years = £3520  = Total £9020.

£100 in 2016 is worth 137 today. So £5,500 would be worth £7537 which is less.  Even compounding a 5% annual interest rate over 8 years is only £8126 and would you have been able to get that rate of interest over all those years?

dunstonh

My question is, should they offer any additional compensation for inconvenience or anything else in addition to the purely financial calculation?

The 8% interest is the requirement.   No more no less.