MSE News: Lloyds to sell branches to Co-op: what it means for you

opinions4u

Radiogaga wrote: »

Can anyone help with what will happen re the terms and conditions of our existing accounts? I have a C&G mortgage and will be moving soon to an SVR ( guaranteed as no more than base rate plus 2% in the contract) which has not been available to new customers for some years.

I was really happy to finally get some benefit from signing up to a fixed rate mortgage just before the rates plummeted. Will the Co-op be able to completely override that existing mortgage agreement and replace it with a new rate of their choosing, or will they remain bound by it?

The terms and conditions will remain unchanged.

If there was a watertight way out of them I'm sure Lloyds TSB will have found it by now.

Deepfatfriar wrote: »

All my Lloyds accounts will closed shortly.

Had I wanted a Coop account I would have joined them when I wished.

No way am I going to sponsor the Labour Party, it is their cretinous understanding of finances that got us into this mess.

While I'm no fan of Co-op and find their "ethical" approach a tad smug the last time I checked the bank itself made no political donations.

The wider Co-operative movement clearly does though.

Of course, who knows how commercial the rates charged on the Labour Party's large overdraft really are. And are they cross-subsidised by other customers paying more?

JuicyJesus

opinions4u wrote: »

Of course, who knows how commercial the rates charged on the Labour Party's large overdraft really are. And are they cross-subsidised by other customers paying more?

In fairness, we have no way of knowing. It's quite possible they are charged at business rates. Certainly the state of the Labour Party's finances probably means anything else would be unjustifiable.

[Deleted User]

Hope I can actually move my account since the Co-Op closed my account given formal 60 day notice and don't want me back :S

Radiogaga

Thank you so much opinions4u - I am so relieved to hear that

Deepfatfriar

ChiefGrasscutter wrote: »

I won't half laugh if all the serious money held in those branches to be sold simply migrates back to another branch of lloyds.
Co-op would then be left with just a bunch of buildings and a load of marginal accounts.

In fact since this possibility is so obvious I'd expect there there will be some complex aspect of the deal (ie commercially sensitive/not published) that Lloyds compensates Co-op in some monetary way if this happens on a significant scale. In other words Co-op either get the clients and their money, but if the clients say no then they get some money from Lloyds instead as recompense.

There is I think !

Having tried to open an account in a Lloyds branch that is NOT being sold in readiness for closing an account in a branch that is being sold I was told that this is NOT possible.

Apparently the only way at present you can get an account in a branch that is not being sold is that you must CLOSE your account first in the branch that is being sold which is great if you have lots of DD's etc, in the branch that is.

This sounds like very sharp but probably EU practice to me. No doubt the mass migration from RBS England to RBS Scotland has scared them.

Has any one else encountered this ?

iilg

JuicyJesus wrote: »

TSB, as a name, has a huge amount of recognition for pretty much anyone over the age of 30, and some very fond memories. It is an established and trusted brand that people recognise. Perhaps more so than the Co-operative Bank. It isn't beyond the realms of possibility that it might actually be the Co-op brand which is ditched (which still has an association with the expensive and previously quite run-down supermarket chain).

Yes, must have a look for my old TSB globe money box :cool:


Is it only the Co-op branches involved in the Verde business that will be called "TSB" (or "Co-op TSB"?)?

MoneySavingNovice

Lloyds TSB logo (left) and a computer generated image of TSB under the Co-op's ownership.

aprilone

Just had a quick look at Forum as I have phoned one of the sell off branches on behalf of my Aunt who has been with Lloyds for 65 years and wants to stay with Lloyds. I was told that she would have to stay with the branch as a Coop customer, provided everything goes through as expected, and that if she wanted to transfer to a branch that is staying as Lloyds she would be refused (by order of the EU???) by that Branch because she already had the account with the sold off Branch. The only way around it would be to cancel one account....with all the transfer problems that may incur for direct debits etc. and open a new account with her chosen Lloyds Branch. She is 90 years old. Surely that is against her Human Rights not to be able to stay with the bank she prefers without all the hassle of closing and opening new accounts if the transfer is made before the sell off proper. EU interference or what!!

stclair

aprilone wrote: »

Just had a quick look at Forum as I have phoned one of the sell off branches on behalf of my Aunt who has been with Lloyds for 65 years and wants to stay with Lloyds. I was told that she would have to stay with the branch as a Coop customer, provided everything goes through as expected, and that if she wanted to transfer to a branch that is staying as Lloyds she would be refused (by order of the EU???) by that Branch because she already had the account with the sold off Branch. The only way around it would be to cancel one account....with all the transfer problems that may incur for direct debits etc. and open a new account with her chosen Lloyds Branch. She is 90 years old. Surely that is against her Human Rights not to be able to stay with the bank she prefers without all the hassle of closing and opening new accounts if the transfer is made before the sell off proper. EU interference or what!!

I would not panic just yet its still early days..... Put your feet up and watch this space.

If you call the divestment team on 0800 015 0024 you can register your interest to stay. Then you will be advised what to do in the new year.

bendipa

aprilone wrote: »

Just had a quick look at Forum as I have phoned one of the sell off branches on behalf of my Aunt who has been with Lloyds for 65 years and wants to stay with Lloyds. I was told that she would have to stay with the branch as a Coop customer, provided everything goes through as expected, and that if she wanted to transfer to a branch that is staying as Lloyds she would be refused (by order of the EU???) by that Branch because she already had the account with the sold off Branch. The only way around it would be to cancel one account....with all the transfer problems that may incur for direct debits etc. and open a new account with her chosen Lloyds Branch. She is 90 years old. Surely that is against her Human Rights not to be able to stay with the bank she prefers without all the hassle of closing and opening new accounts if the transfer is made before the sell off proper. EU interference or what!!

Why would your aunt want to stay with a bank that nearly went bust, had to be bailed out by the taxpayer, and now has to sell off many of its branches just to stay solvent? The message should be clear. She's better off being with the Co-op who didn't get themselves into a financial mess in the first place and have to be bailed out I can't see what all the fuss is about. It's just a change of name, but she will have the same banking facilities.