Below are some frequently asked questions regarding the refunds.

If you have further questions you can call our dedicated helpline: 0800 999 234


  • I heard that TSB made an error and is refunding customers. What’s happened?

    We discovered an error in the Early Repayment Interest (aka ‘break fee’) calculation for fixed rate home loans. This impacts some of our customers who broke their loan contracts in the past. No other loan types were affected. 

    In some cases we overcharged customers and in others, we undercharged them.

    The error has been fixed and we are now reimbursing affected customers, including interest. We won’t be seeking to recover any funds from customers who were undercharged.

  • What is a break fee? When is a break fee payable?

    A break fee may be payable by customers if they choose to make changes that affect their fixed rate home loan. 

    For example, it applies to customers who:

    • Pay off a fixed rate home loan before the end of the fixed interest rate term
    • Change to a different interest rate or loan type
    • Make voluntary payments more than $10,000 in a calendar year
  • I’m a TSB customer. How do I know if I’m owed a refund?

    We’ve sent out letters to all affected customers with information about their refunds.

    Only customers who broke a home loan and paid a higher break fee than was required will receive a refund. 

  • I'm a customer. I didn't receive a letter but broke a home loan within the last few years. Am I owed a refund?

    Only customers who broke a fixed rate home loan and paid a higher break fee than was required will receive a refund. 


  • I don't bank with TSB anymore. Are you only refunding current TSB customers?

    No. We’re reimbursing anyone who was impacted during the relevant timeframe. This includes both current and past customers. 


  • How much are customers being refunded?

    The refund amounts vary from a few dollars to several thousand dollars. The average refund amount is $170.


  • Has TSB benefited from this error?

    No. We included an interest element within the reimbursement payments that is fair and equitable to ensure we don’t benefit. In addition, TSB undercharged some customers’ break fees but we’re not seeking to recover these funds.