Lloyds TSB has agreed to pay compensation after lending a woman with dementia £18,000 for home improvements. The bank allowed pensioner Jean Hyde to borrow the money in 2010, even though the repayments took almost half her income. Her family told Radio 4's Money Box programme she would not have understood what she was agreeing to when signing-up for the loan. After Mrs Hyde died in 2011 the £18,000 was found, unspent, in her account.
Lloyds Banking Group told the BBC it did not realise Mrs Hyde had dementia but admitted it should not have lent her such a sum considering her total income was only around £15,500 a year, including her state pension. However, when she went into the Cirencester branch of Lloyds TSB in January 2010 her request for an £18,000 loan for home improvements was agreed, even though she was a tenant not a homeowner......Read more here: Lloyds TSB pays compensation after lending dementia patient £18,000