MSE News: Lloyds to sell 632 branches to Co-op: what it means for you

stclair

callum9999 wrote: »

It sounds like they went in and asked for the branch staff to close her account and reopen one - so basically just asking to transfer branches in a convoluted way, which is why they said no.

Which is why I don't see why they are refusing to just apply for another account (either in branch, or if they refuse by phone or internet). As you say, Lloyds have said you can remain a customer if you open a new account, and I haven't been corrected so far so I'm assuming it's possible to do now. Yes she'll have different account numbers, but for some unknown reason she needs to do a lot of stuff in branch so it doesn't sound like she really uses that account for many direct debits etc. that would be too complex to transfer over to a new account.

In that case its gonna be tough cookie as the said branch is being rebranded TSB.

So the only option is them then is to open a new account at another branch to stay with lloyds..

jennifernil

I don't think you can open a new account now, if you are still a customer, without it being given a number that will automatically assign it to your existing branch, which in the OP's case is moving away from Lloyds.

She would first have to close ALL her Lloyds accounts, then apply at the branch in Wales to open new accounts.

She has no guarantee that they will allow her to open any new accounts. If she has savings accounts, there could be a penalty to close a fixed term account, and until ALL her accounts are closed, she is still a customer whose accounts will be sold.

Yes, she has internet and can do most banking there, but if you live in a small village, and use the local shop, you may well need to make more cash purchases than many of us are used to doing. The village will not have an ATM, so she has to travel to the bank regularly to withdraw some cash, so she needs a bank that has a local branch.

She has a local Lloyds branch, but after the sale of her accounts, will not be able to use it, hence the need to move to/stay with a bank whose branch she can use.

Her original branch is a good distance away, but the nearest branch of Lloyds will be staying with Lloyds, and her mother also has her Lloyds accounts at this nearest branch, so she ideally wants to open accounts at this branch.

stclair

jennifernil wrote: »

I don't think you can open a new account now, if you are still a customer, without it being given a number that will automatically assign it to your existing branch, which in the OP's case is moving away from Lloyds.

She would first have to close ALL her Lloyds accounts, then apply at the branch in Wales to open new accounts.

She has no guarantee that they will allow her to open any new accounts. If she has savings accounts, there could be a penalty to close a fixed term account, and until ALL her accounts are closed, she is still a customer whose accounts will be sold.

Yes, she has internet and can do most banking there, but if you live in a small village, and use the local shop, you may well need to make more cash purchases than many of us are used to doing. The village will not have an ATM, so she has to travel to the bank regularly to withdraw some cash, so she needs a bank that has a local branch.

She has a local Lloyds branch, but after the sale of her accounts, will not be able to use it, hence the need to move to/stay with a bank whose branch she can use.

Her original branch is a good distance away, but the nearest branch of Lloyds will be staying with Lloyds, and her mother also has her Lloyds accounts at this nearest branch, so she ideally wants to open accounts at this branch.

The divestment team have said a new account can be opened on a new sort code however they will be treated as a brand spanking new customer. This can all be done by calling them on 0800 015 0024. Then once the new account is open they can close the other one.

callum9999

stclair wrote: »

In that case its gonna be tough cookie as the said branch is being rebranded TSB.

So the only option is them then is to open a new account at another branch to stay with lloyds..

I thought the branch was staying as Lloyds - this is just because she's still registered at an old branch that is rebranding as TSB?

Though they've made the whole scenario ridiculously complicated. Why they couldn't just say "my local branch is Lloyds but I'm registered at an old branch that will become a TSB" instead of half a page of solid text I don't know!

stclair

callum9999 wrote: »

I thought the branch was staying as Lloyds - this is just because she's still registered at an old branch that is rebranding as TSB?

Though they've made the whole scenario ridiculously complicated. Why they couldn't just say "my local branch is Lloyds but I'm registered at an old branch that will become a TSB" instead of half a page of solid text I don't know!

Christ knows I've lost track of it all to be honest Callum9999.

Reading the OPs other threads they are an author so that might have something to do with the long posts lol

Alls I know is if you want to stay with lloyds you need to open a new account ;-)

dalesrider

stclair wrote: »

Alls I know is if you want to stay with lloyds you need to open a new account ;-)

I think you may find that the FSA are keeping a eye on things and people opening new accounts from branches that are being transfered and then closing the branch acc's down.
Anyone doing this could cause lloyds some serious issues with the authorities...
Perhaps better to wait till all is done and dusted and then do things. When it causes least loss/trouble with the likes of ISA's

Lloyd's are stuck between the rock & hard place. They HAVE TO be seen to be adbiding by the regulators. And at a guess that will mean opening the books up to be checked for opening/closing acc's.
But also want to do the best for customers that want to stay with them.

To me the only reason to stay with a bank would be if they are offering better than any other bank....
There is no other reason.

agrinnall

I don't really understand why the FSA should hold Lloyds responsible for a customer making their own decision on who to bank with. Is it the FSA's job to say to customer X that they must not do business with bank Y? Sounds like gross interference in the market to me.

stclair

dalesrider wrote: »

I think you may find that the FSA are keeping a eye on things and people opening new accounts from branches that are being transfered and then closing the branch acc's down.
Anyone doing this could cause lloyds some serious issues with the authorities...
Perhaps better to wait till all is done and dusted and then do things. When it causes least loss/trouble with the likes of ISA's

Lloyd's are stuck between the rock & hard place. They HAVE TO be seen to be adbiding by the regulators. And at a guess that will mean opening the books up to be checked for opening/closing acc's.
But also want to do the best for customers that want to stay with them.

To me the only reason to stay with a bank would be if they are offering better than any other bank....
There is no other reason.

If you call 0800 015 0024 and ask about staying with the bank to aviod the transfer they will advise you have to open a new account "thier words not mine" they are open between 8am and 8pm give them a call to ask the question. Their could be chance I was mis-advised by Helen this morning.

Every one said that about the FSA keeping an eye on things when santander/RBS sale was on the cards. However the bank still went ahead put a process in place to allow the transfer of accounts to happen it was just the bank could not promote it unless you asked the question. I would have thought the same rule applies to Lloyds.

Thrugelmir

agrinnall wrote: »

I don't really understand why the FSA should hold Lloyds responsible for a customer making their own decision on who to bank with.

Lloyds have to appear neutral and not offer a customer an easy transfer.

pmduk

agrinnall wrote: »

Sounds like gross interference in the market to me.

The whole situation is the EU interfering in the market in the first place. Including the enforced sale of RBS group branches.