Barclays revealed that it will not withdraw from a partnership that allowed customers to withdraw cash at branches of the U.K. Post Office.
Customers of 28 banks are currently able to use various banking services in Post Office branches. But earlier this month, Barclays announced it would no longer permit its customers to withdraw cash from post offices beginning in January, a decision that was widely criticized by Post Office officials as well as supporters of rural communities and elderly customers, who are generally more reliant on cash and must deal with a lack of bank branches.
As a result of the criticism, the bank has reversed its position, saying it “will now maintain a full service proposition in the Post Office for our customers, including cash withdrawals using a debit card, for the next three years.”
“Ultimately we have been persuaded to rethink our proposals by the argument that our full participation in the Post Office Banking Framework is crucial at this point to the viability of the Post Office network,” explained Barclays Group CEO Jes Staley. “Whilst we have concerns regarding the sustainability of relying on this model in the longer term, and want to work with Government and others to address the problems inherent in it, we recognize that the Post Office is a network valued by many communities in the U.K. today.”
That is good news for Barclays customers, who make around 1.2 million cash withdrawals from post offices every month, according to Natalie Ceeney, a former financial ombudsman.
“I’m glad Barclays have come to this decision,” she said, according to the Financial Times. “… Lessons need to be learnt by government. The cash infrastructure is fragile and cannot be left solely to commercial interests.”
Gareth Shaw, head of money at Which?, a consumer group, added: “Barclays’ decision to bow to public pressure and reverse this move will be a massive relief for its customers, who have seen almost 500 high street branches close over the last four years … the industry cannot be relied on to prevent people being stripped of access to cash and vital financial services, so the government must urgently intervene with legislation that protects cash for as long as it is needed.”
The FTC says it has finalized a $7 million settlement with H&R Block.
The Federal Trade Commission (FTC) announced the settlement Wednesday (Jan. 8) as part of a larger agreement with the tax preparation company, which has agreed to make a number of changes to its practices before the 2025 tax filing season.
The commission last year charged H&R Block with unfairly requiring customers hoping to downgrade to a cheaper H&R Block product to contact customer service. The regulator also said the company unfairly deleted users’ previously entered data and made deceptive claims regarding “free” tax filing.
“The settlement requires H&R Block to make it easier for consumers to downgrade products and by eliminating its practice of completely deleting consumers’ previously entered data upon downgrade,” the FTC said. “By February 15, 2025, the company is required to allow consumers to downgrade products using a chatbot or other automated means, instead of requiring them to call customer service or chat with a live customer service agent.”
Aside from paying the $7 million settlement, the agreement also requires H&R Block to stop completely deleting consumers’ previously entered information by the 2026 tax season. In addition, H&R Block must reveal in its “free” advertising either the percentage of taxpayers who are eligible to use “free” products or that the majority of taxpayers do not qualify.
“H&R Block prides itself in providing consumers with quality online tax preparation products, which has never been an issue in this matter,” the company said in a statement provided to PYMNTS when the settlement was first announced in November.
“We will continue to work through this process with the Commission. We are proud of the value, unmatched tax expertise, and fair and transparent pricing we provide to our clients, who have trusted H&R Block for nearly 70 years.”
Also this week, the FTC settled a complaint with gig economy platform Angi Services, requiring it to pay $2.95 million and make “substantial” changes to its business practices.
“Handy Technologies relied on inflated and false earnings claims to lure workers onto its platform,” Samuel Levine, director of the FTC’s Bureau of Consumer Protection, said in a news release. “It then deducted inadequately disclosed fines and fees from their wages.”
Reached by PYMNTS, a Handy spokesperson said the FTC allegations were unfair, but that the company chose to settle to “put the matter to rest” and focus on its business.
“Though we were prepared to litigate, we chose to enter into an agreement with these parties to put this matter to rest and get back to putting our 100% focus on supporting our customers: the small businesses who help Americans care for and maintain their homes,” the statement said.