Re help compensation calculation

lydia5683

Hi I would be grateful if someone could confirm that the compensation I received from my bank is calculated correctly.

The financial ombudsman ordered them to pay £13,274 plus 8 percent simple interest from 26 dec which is when I lost my money due to a scam until 03 oct which is when they paid me.

Overall they paid £13,932.44

I struggled to understand the interest calculator and it seemed wrong and my bank didn't provide an explanation. The ombudsman take around a week to respond so I thought if you could help more quickly

Thanks

MW123

@lydia5683

I calculated the total to be £13,932.44, which matches the amount you received from the bank. I have outlined my calculations below. However, you might want to double-check with your bank to be sure.

This is how I calculated it. I counted the days from December 26, 2023, to October 3, 2024, and found there are 282 days, including both the start and end dates, while accounting for the leap year in February.

The annual interest rate is eight percent. To determine the daily interest rate, I divided eight by 366 days to account for the extra leap year day in 2024. This results in a daily interest rate of approximately 0.0218579 percent.

To find the interest for 282 days, multiply the principal amount of £13,274 by the daily interest rate and then by 282 days. This results in interest of approximately £658.44.

To find the total compensation, add the base amount of £13,274 to the interest of £658.44. This gives you a total amount of £13,932.44.

lydia5683

Thanks so much I was stressing over it