Lloyds TSB - Closing all my accounts!!! Please help!

olly300

ChiefGrasscutter wrote: »

I suspect the real problem is the NUMBER of transactions passing through the account. An employed person is likely to be paid once a month, a sole trader might be paid on a almost daily basis.

It's not just the number of transactions it's also the type.

A physical shop can be a sole trader and so can a lawyer.

The shop will have to bank lots of cash every day as well as cheques (if they accept them my greengrocer doesn't) while a lawyer would probably be paid by cheques or electronically.

The shop would cost the bank more but the lawyer wouldn't.

Hence the bank would offer the shop a business bank account that they had to pay for while the lawyer could now get a business bank account that was free.

In terms of personal current accounts there are lots of banks who are doing their up most to stop people using counter services i.e. paying or taking out cash, and having cheque books. I have 2 personal current accounts that don't come with cheque books as standard.

pinsix

ChiefGrasscutter wrote: »

This bit about use of personal account for 'business' always puzzles me. Obviously I appreciate you can't use a personal account for paying in/out for a Ltd company which you might run as the Ltd company is a seperate legal entity.

Bu, Say if I'm full time employed I get paid and it goes into my personal bank account. If I pay for claimable business expenses then this comes from my bank account and my company later refunds me and that goes back into my account.
This is all OK by the banks.

But if I'm a self employed sole trader (so not a limited company) I get paid by clients to my name and that goes into my personal bank account and when I pay for buying business stuff that goes out of my account.
but this is not OK apparantely?

This first is using a personal bank account for receving payment for business work done by the person.........and the second is using a bank account for errr... business work done by the person.
...and the difference is?


I suspect the real problem is the NUMBER of transactions passing through the account. An employed person is likely to be paid once a month, a sole trader might be paid on a almost daily basis.

You are spot on but the fact that they wont give me a reason is grotesque!!

notts_phil

pinsix wrote: »

You are spot on but the fact that they wont give me a reason is grotesque!!

No its not.

Banks are under no obligation to give a reason. You are not going to get one. accept it and find another bank.

pinsix

Ben8282 wrote: »

I find this to be all very strange. In fact I have difficulty believing it. For a start, how come you have two Lloyds credit card accounts? I am a Lloyds/TSB customer and as far as I am aware you can have only one Lloyds credit card account. And what is this 'by invitation only' black amex? I assume you mean the Airmiles Duo Premier but this is not by invitation only. The 'by invitation only' black Amex is the Centurion charge card, but these do not have an advertised credit limit as they are charge cards and not, as far as I am aware, issued by Lloyds/TSB.

I am also surprised that your branch Manager was not able to be of more help to you, at least as far as giving you a general reason is concerned. Unless this is connected to fraud, I cannot understand why Lloyds no longer wish to offer you a bank account; if they feel you no longer qualify for the Private banking account, unless you are bankrupt, they should at least be able to offer you some sort of account. Have you checked your credit record to make sure there is nothing terrible on it. To behave in this way Lloyds/TSB must be in a state of something near panic.

Also banks do NOT send letters to tell people their credit cards will be closed in such circumstances; they CLOSE them then tell you afterwards because they will worry that you will immediately max out the card and not repay. And what have they said about the balances of the credit card accounts? Are they asking for full immediate repayment or what?

A final thouht from reading your op. Are you running an illegal money lending business financed by 0% balance transfers?

Ben, i actually had 3 credit cards with lloyds but i closed one a while back. Platinum (which i closed) £15000 limit Premier Airmiles DUO £15000 Lloyds TSB Private Banking American Express® Credit Card (this is the discreet invitation only card which lloyds does keep quite about) with £20000 and they told me that they dont normally allow more than 1 cc per customer but they made an exception because i was a valued customer.

The bank manager was very confused himself and he said that everything was perfectly normal on the account and he didnt see a reason why they would do that.

Finally, i didnt use the 0% for lending i just invested it on my company abroad to fit in an extra lorry of goods and earn more money from the business.

ChiefGrasscutter

Actually I can understand "notts_phil" on this one.
In the business sector I worked in we used to refuse to do tenders/quotes for some corporate customers in both UK/abroad.
The main reason we did was usually bad/sharp practice by them or their banks. You know problems over payment, alledged difficulties with the product, constant changes to contracts/requirement....etc.
In short they were a troublesome customer, we didn't give reasons. We simply declined to quote.
I did hear of one customer who managed to annoy every single supplier in the sector and was ringing round desperate for someone to quote them - and no one would!

Cook_County

Have you asked your accountant, lawyer or other professional adviser if they can introduce you to another bank?

pinsix

Cook_County wrote: »

Have you asked your accountant, lawyer or other professional adviser if they can introduce you to another bank?

I can get an account with any other bank and i already have but im really shocked and confused why this has happened because i was a good customer according to them. I was speaking to the account closers unit whom don't seem to know why either and they said i will never be able to have an account with Lloyds again which is really worrying

lolavix

pinsix wrote: »

they said i will never be able to have an account with Lloyds again which is really worrying

With that response it sounds like its because of the high volumes of cash going through the account. You have broken their terms and conditions so unfortunately just have to accept it.

pmduk

pinsix wrote: »

they said i will never be able to have an account with Lloyds again which is really worrying

Why would you want another account with them anyway. I suspect you may need to check for a CIFAS marking, although accounts closed for this reason are usually closed without warning.

the fact that they wont give me a reason is grotesque!!

If they give you a reason they're opening a debate on a subject they're not prepared to reconsider. They've made a decision - you're going have to live with it unfortunately.

pinsix

pmduk wrote: »

Why would you want another account with them anyway. I suspect you may need to check for a CIFAS marking, although accounts closed for this reason are usually closed without warning.

I have checked my credit report and there is no CIFAS info at all.