Who’s who of bad password practices – banks, airlines and more
troyhunt.com
troyhunt.com
I'm still convinced that this is bad UI, however.
To tell you all the story, once I gave up subscribing to such online bank and switched to another one, which had proper security measures in place when dealing with passwords during registration, then the latter immediately sent me a confirmation mail with my credentials! Damage done already.
EDIT: Moreover, having a weak password isn't that a big deal provided there is a maximum attempts count. For instance, my online account password isn't that strong, but after three failed attempts, they lock your account.
(Not to mention, the page can be compromised to sniff your activity even if you never actually submit.)
It's bad UI because it breaks users of the habit -- that took some time and effort to establish -- of looking for a secure connection before entering sensitive information.
It's bad security for -- amongst other things -- the reason described above.