C and G and Halifax

leu04bs

I am having a dispute with halifax where they have cancelled my overdraft and I am trying to sort an arrangement out to pay them back. I have opened and C and G gold savings book account but a friend has told me as they are all part of the lloyds group they can transfer money accross to pay the overdraft off is this true?

dazza.mk

Normally yes, but this specific instance is more complicated, as Lloyds is in the process of selling branches and accounts to the Coop. Assuming your branch is on the list (which I think all C&G are) normal Right of Ofset for the Lloyds Banking Group will be impacted by the sale to some degree.

http://www.lloydstsb.com/media/lloydstsb2004/pdfs/Verde_transferring_branches.pdf

leu04bs

So should I leave my money where it is or transfer it do you think?

pinkdalek

Halifax and Bank Of Scotland although are under the Lloyds Banking Group with Lloyds TSB and C&G trade under a separate banking licence.

To be honest if you set an arrangement and maintain to the plan then the bank has no reason to take funds from another account.

opinions4u

Although terms and conditions allow it, they don't apply right of set off across brands or banking licences.

System

Probably not but they are both part of Lloyds Banking Group so better be safe than sorry - it's easy enough to find another savings provider.