Australian banking group Westpac has said that it would refund around A$65m ($50.79m) to customers who did not receive discounts to which they were entitled.
The issue affected nearly 200,000 clients who held Premier Advantage Packages with Westpac or Advantage Packages with St. George, BankSA, or Bank of Melbourne from 2010.
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Packaged account holders are ought to receive benefits on products like home loans, credit cards, or transaction accounts. The bank failed to transfer those benefits to customers and hence it has decided to refund the amount.
The bank has started contacting the affected customers and has also created a dedicated webpage to assist with any questions.
Westpac Consumer Bank CEO George Frazis said: “When we identified these issues we started the process of putting things right for customers. We also notified ASIC.
“Importantly, customers do not need to do anything. Over the coming months, we will provide refunds, including appropriate interest, to any customers who may have been entitled to a benefit but weren’t aware they needed to opt in.
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By GlobalData“Westpac apologises unreservedly for a process that did not suit customers. By automating the discounts, we have ensured that our customers will not be affected in this way again.”
