The "Failed to load character #" only shows for the selected character. I have Character 3 selected, and it only says "Failed to load character 3" even though all 5 characters failed to load.
There's no real way to reproduce this bug, but if multiple characters fail to load then Observe the Failed to load character # notification on top of the screen.
Observed Results: The "Failed to load character #" message only appears for the Selected Character
Expected Results: The "Failed to load character #" message should also say if other characters (that is not selected) failed to load.
Reported issue is not a bug. That is how design of this function looks like - Resolving as "Works As Intened"