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

shockingaffair

I suspect that with the sale to Co-op, this will result in closure of a number of the existing Lloyds branches that are in close proximity to Co-op branches thereby causing job losses. I also suspect that Lloyds were rather wary of a new competitive bank such as NBNK who promised to bring a new edge and a spark to banking and that they do not think Co-op will be such strong competition.
Puts one in the mind of an "old pals" act to keep out a newcomer!!

opinions4u

this will result in closure of a number of the existing Lloyds branches that are in close proximity to Co-op branches thereby causing job losses

While it may lead to a handful of branch closures, the Co-op aren't exactly a massive high street presence, and their premises are often small.

So if neither set of premises has capacity for both sets of customers then closure is unlikely.

As for job losses, branch staff below the management levels will rarely be made redundant. Transfers to vacant positions in other branches are more likely. Even with management, there will usually be alternative employment somewhere within the branch network.

WhiteHorse

The reason for the Lloyds sale is an EU ruling. Does it apply to the Bank of France? Or any foreign bank?

jennifernil

callum9999 wrote: »

I know but the exact same principle lies behind it.

I don't know why they shouldn't be allowed to do that? What do you think they are - a charity? Believe it or not, multinationals don't base their decisions on what their customers want, but on what they want (yes, this often correlates with what the customer wants as they need to attract business, but not always). If you want to stay with Lloyds then I'm sure they will have some kind of mechanism where you could change the home branch to a branch they aren't selling.

As far as i understand it, Lloyds don't actually want to sell. as WhiteHorse said, they are being forced to sell.

I didn't choose to bank with the Co-op, I choose Lloyds. I suppose they can do what they like with the actual branches, but I don't see why they should have to, or even be allowed to, sell my account to another bank without even asking me.

Up here in Scotland we have already lost the Halifax name, now it's all Bank of Scotland, and it is NOT the same thing under a different name, the accounts are different too. For example, Scottish children have lost out as they cannot have the Halifax 6% regular saver.

Now Lloyds are going, what happens with the various accounts? Will Co-op offer a current account like the Vantage, will they have a children's savings account that pays the same interest as the Young saver?

Moving some accounts to an English branch is fine, but for children's accounts you need a nearby branch.

If the Co-op do not offer equivalent accounts then we are losing out yet again, not to mention the hassle involved.

JuicyJesus

WhiteHorse wrote: »

The reason for the Lloyds sale is an EU ruling. Does it apply to the Bank of France? Or any foreign bank?

Should that bank be taken over by its respective Government, yes.

Mikhail

Lloyds to sell branches to Co-op: what it means for you...
For me it means absolutely nothing. Lloyds is an awful bank with awful services. To those who love Lloyds because of the Vantage I recommend to switch to a more decent organisation, i.e., first direct, Nationwide and open e-saver which offers a better rate without any limits. I moved to first direct a couple of months ago and opened e-saver in Saffron BS which pays 3.15% APR. This month it is AA finance which pays 3.20% APR. There are absolutely no advantages having Lloyds account anymore. Tomorrow I’m going to my ‘sold’ branch to close my account again, because Lloyds has failed to close my account from the first attempt.

realaledrinker

The English branches listed as Lloyds in fact have a bias towards ex Halifax premises.

Plus does a bank with designs to join the Big 5 really need so many rural Scottish branches??

realaledrinker

Should keep a few hundred management 'consultants' gainfully employed for the next few years if nothing else.

realaledrinker

gettingthere28 wrote: »

I am not sure it will just be the Bank Accounts, Savings Accounts and Mortgages Either !, as with the RBS sale it also included Credit Cards that were open at a branch, so (And I hope not) that your Credit card was opened at a branch which is to be transferred to the co-op then you could end up with a co-op credit card.

I did speak to Lloyds Credit card department who said there had been no offical word on it but yes it was likely that it could happen.

My bank account was opened in Threadneedle Street London and its not closing, but my local branch opened my Credit Card account and that branch (As it is in Scotland) is closing so don't know if my Credit Cards is linked to my Current Account in Threadneedle street or not.

Transfers like this are done using sort codes as the basis for selection - which do not really apply to credit cards, so doubt this very much.

realaledrinker

jennifernil wrote: »

If the Co-op do not offer equivalent accounts then we are losing out yet again, not to mention the hassle involved.

The Co-op will not be forking out £1bn+ only to then offer crap products and interest rates to the accounts they inherit. Their idea is to build market share and they won't do that by ostracising their new customers.