The bank still refuses, however, to do a blanket check of its gold card overdraft customers to see whether others are due compensation. Customers who think they have been overcharged must argue their case with the bank.
Eight of the 12 individuals have been compensated following rulings in their favour by the Banking Ombudsman. The Independent highlighted the case of Alan Gold, a London dentist who discovered in 1991 that the interest on his overdraft was 19.5 per cent, eight points over the prevailing base rate. When he arranged his overdraft the rate was set at 2.5 points over the base rate.
Lloyds claimed it had written to customers at the end of 1987 informing them that the gold card-linked overdrafts would now be charged at a 'managed' rate. Managed rates do not track base rates directly.
Lloyds paid Mr Gold pounds 1,059 after the Ombudsman ruled in his favour.
The bank's wrangle with gold card customers is not over, however. Nicholas Harris, a London businessman, also claims never to have received a letter about the change in the rate. He complained but Lloyds refused to compensate him. He has now complained to the Ombudsman. Mr Harris said: 'I don't believe Lloyds despatched the letter. How would so many customers have missed it?'
Lloyds says customers should contact their branches if they want their cases investigated.Reuse content