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Tuesday 24 October 2017

Security glitch at ATMs to cost AIB €8.3m in refunds

Siobhan Creaton

AIB is to refund more than €8m to 71,000 customers who walked away from their ATM machines without taking their cash over the past eight years.

The refunds will include interest, the bank said yesterday and will begin to be put back into customer accounts from today. In a statement AIB said it would pay out €5.1 million to cover 41,000 AIB customer transactions, while the remaining €3.2 million would go to 30,000 customers of other banks who used AIB ATMs.

Although the customers failed to take the cash, the bank took the money out of their accounts between 2003 and 2010 and is only giving it back to them now. On average, customers will be refunded about €116, the bank said.

AIB claims the problem arose because of the adoption of "anti-fraud measures" that prevented it from automatically processing the refunds.

"Process and procedure changes have now been put in place to prevent a reoccurrence" it said.

AIB has said that as many as three people a day either forget or get distracted and do not take the money they withdrew from the machines.

After 30 seconds, the money is automatically taken back and goes back to the bank but wasn't credited to their account. The bank has apologised for the error.

Anyone who is entitled to a refund will be contacted by AIB shortly and does not need to take any further action to reclaim their cash. AIB customers will receive the refunds immediately, while customers of other banks will have to wait until it makes arrangements to transfer the money to those accounts.

A small number of AIB's customers in Northern Ireland were also affected.

The bank has set up a customer support desk to deal with any queries that will operate from 8am to 8pm Monday to Friday that can be contacted at 0818300 157.

Irish Independent

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