HSBC loses data on 370,000 customers
HSBC has admitted losing a computer disc containing the personal details of 370,000 customers but says the risk of fraud is limited.
The banking giant has revealed that the disk - containing customer names, dates of birth and life insurance cover details - was lost after being sent in the post about four months ago.
However, it says the disk was password protected and didn’t contain addresses or bank account details.
The bank now faces a potential fine from the Financial Services Authority. The regulator has previously fined Nationwide and Norwich Union for similar breaches of data protection in the past year.
Kevin Mountford, head of savings at moneysupermarket.com, said: “While HSBC has publicly stated that the possibility of any fraudulent activity against customers as a result of this loss is limited, there is still a risk to these so people must now be even more vigilant, regularly checking their accounts online, requesting mini-statements at the ATM and going through their statements with a fine toothcomb.
“If anyone sees even the smallest irregularity, they should report it immediately to HSBC.”
Generally thought of as being interchangeable with life assurance, but isn’t. Life insurance insures you for a specific period of time, at a premium fixed by your age, health and the amount the life is insured for. If you die while the policy is in force, the insurance company pays the claim. However, if you survive to the end of the term or cease paying the premiums, the policy is finished and has no remaining value whatsoever as it only has any value if you have a claim. For this reason, life insurance is much cheaper than life assurance (also called whole of life).