Preference to 'new' customers

[Deleted User]

Further to another thread. Are institutions still 'allowed' to offer preferential terms to 'new' customers (as opposed to existing customers)? Is there nothing in the Banking Code, or similar, about this?

I suspect there is, but the institutions get round it by rule 'bending' or semantic arguments.

ReportInvestor

There is nothing in the banking code to prevent them offering teaser deals to new customers.

From time to time institutions will advertise the "amazing" fact that they offer the same deals to existing customers. Nationwide made a big thing of it a while back - Halifax was recently doing the same with its mortgages.

This, unfortunately, is as good as it gets

"4.8 If you have a variable-rate savings account with £250 or more in it and the interest rate has fallen significantly compared with the Bank of England base rate, we will contact you within a reasonable period of time to:

# tell you that this has happened;

# tell you about our other savings accounts and offer to help you to switch to one of these accounts if you want to;"