FSA fines Bank of Scotland for mishandling customer complaints

The UK Financial Services Authority (FSA) has fined Bank of Scotland (BOS), part of Lloyds Banking Group, £3.5 million for mishandling customer complaints. The charge stems from 2,592 complaints made between July 30, 2007 and October 31, 2009.

The complaints all relate to retail investment products, many of which were sold to older customers with little or no experience of such products. Many of the complaints were wrongly rejected by BOS. An internal review found 45% of the complaints it had