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RBS to repay customers after computer glitch

The Royal Bank of Scotland said that 600,000 payments had not been processed due to a computer systems failure. This fault had affected customers at RBS, NatWest, Ulster Bank and Coutts businesses which left thousands out of pocket.

“We can confirm that the issues customers were experiencing in relation to delayed credits and debits have now been resolved and accounts have been updated” the bank said in a statement on Friday. The bank had later apologised for the “unacceptable” inconvenience and stress it had caused [1].

The group had initially said customers would receive the payments by Saturday, but it has managed to resolve the situation ahead of schedule.

Yesterday, the bank’s chief administration officer, Simon McNamara, told investors that £3.5bn will be pumped into IT systems over the next two years and that this investment would help prevent similar errors from happening again. Of that, £150m per year has been earmarked for “building resilience into the system” [2].

It had also promised that no customers’ credit files would be affected by any missed payments that were as a result of the failure.

[1] Reuters. ‘Royal Bank of Scotland says technology glitch resolved and accounts updated’ http://economictimes.indiatimes.com/news
[2] The Telegraph. ‘RBS repays customers hit by account glitch’ http://www.telegraph.co.uk