TSB data breach will lead to compensation claims

The recent TSB data breach issue will lead to compensation claims after the bank promised that no customer will be left out of pocket.

The huge TSB data breach was caused when a system upgrade went horribly wrong, leaving countless TSB customers unable to use their banking facilities online for several weeks. The system failures also led to serious data breaches where customers were able to see the personal details of other customers, and some customers’ funds and transactions appeared and disappeared in the accounts of others.

TSB’s promise to those affected should mean successful compensation claims.

TSB data breach compensation commitment

The TSB data breach has resulted in a compensation commitment being made by the bank, who said in a statement on their website that:

“we promise that no customer will be left out of pocket and no complaint will go unrecognised”

Given that some victims of fraud had to wait for days to speak to the fraud team at the bank, and given delays faced by many in resolving the banking systems issues and the money lost for the victims of fraud, the clear commitment by the bank to do right by their customers who have been affected by the TSB data breach issue is the correct course of action.

We must now ensure that they honour it.

What happened in the systems failure that led to the TSB data breach issue?

A systems upgrade that somehow went horribly wrong led to system problems that subsequently resulted in the TSB data breach issue. Customers of the bank were unable to make payments, make transfers, or in some cases even access their funds and information online.

Some customers were able to see the funds and transactions of other customers as data that should have been separate was somehow merged between accounts.

Perhaps the biggest issue was the incidents of fraud, where some customers reported losing tens of thousands of pounds. As is common after huge data protection incidents like the TSB data breach, criminals and fraudsters will exploit already vulnerable people, and as has been widely reported in the mainstream media, some attacks have been successful.

Another classic example of this was the TalkTalk data breach that resulted in fraudsters targeting a number of affected customers.

The tech failure that led to the TSB data breach is reportedly under intense investigation with watchdogs and authorities who are wanting to get to the bottom of the incident that took place at the end of April. We will continue to monitor this story for updates, and anyone who has been affected by the TSB data breach is welcome to approach our team for advice.

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