Barclays announces refunds for 300,000 borrowers

<p>Hundreds of thousands of Barclays borrowers are to get refunds.</p>

Barclays has confirmed it is set to give out refunds to hundreds of thousands of people who have borrowed from the bank.

It explained that due to mistakes on paperwork, 300,000 personal loan borrowers are to be refunded by the bank, with the error dating back to October 2008.

In a statement, Barclays said: "whilst no-one has been mis-sold to, customers are entitled to have their interest payments returned". It added: "No customer will pay more than they were ever contractually expected to."

The share price of Barclays has fallen this morning (September 17th) on the back of the news it will refund 300,000 of its personal loan customers.

At 09:46 BST, its stocks were selling for two per cent lower than at the opening of the London Stock Exchange at the start of the day.

Barclays is one of the biggest banks in the UK, but was badly affected by the recession and its after-effects that continue to blight the country's economic recovery.

Find up to date information on the FTSE 100 and spread betting strategies at City Index

Build your confidence risk free
Join our live webinars for the latest analysis and trading ideas. Register now

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.