Financial Markets Authority warns TSB Bank over business cheque fees
- Reports
- 4
- Developments
- 1
- Repetition
- 75%
New informationRepeats or wire copies
What happened
The Financial Markets Authority warned TSB Bank for charging a $0.25 fee on certain business cheque transactions between November 2017 and November 2023. These charges were not covered by TSB Bank's own terms and conditions. The error affected 7,309 customer accounts, and TSB Bank has refunded $1.73 million to impacted customers.
From odt.co.nz, scoop.co.nz
Why it matters
The warning stems from TSB Bank's systems continuing to charge fees despite changes made to its terms and conditions. The Financial Markets Authority stated that financial institutions must ensure their processes support fair customer outcomes and that customers can trust the charges they receive.
Multiple financial institutions, including TSB Bank, admitted serious breaches of lending requirements around June 20, 2026, following the Commerce Commission's functions moving to the Financial Markets Authority.
From odt.co.nz, scoop.co.nz
Who's involved
- Financial Markets AuthorityFinancial regulator that issued the warning regarding the overcharging practices.
- Commerce CommissionNZ government agency whose regulatory functions were absorbed by the Financial Markets Authority.