LLoyds TSB branch sell off - For customers who wish to stay with Lloyds

Jaycee_Dove

I am longstanding customer (37 years) of Lloyds and living in a town with a branch that is not being transferred (to the new TSB interim bank pre the possible sale to the Co op).

However, being still registered at an older branch in a far distant town (as LLoyds do not transfer you if you move) that branch IS being sold on and my account is being sold with it.

I have posted before about this issue, but received a letter today advising me to call an 0800 number to talk to a dedicated team just set up for any customers effected by this branch sell off.

After spending the afternoon on that number I wanted to report the outcome.

Firstly, if you want to be moved on along with the branch where you are registered (to TSB and then possibly the Co op) you need do nothing. Your account number stays the same and the transfer will occur on its own in a few months.

If you wish to stay with Lloyds then you MUST call the number in the letter once you receive it (you will need it as they ask for the reference).

I was the first person who had asked to stay with Lloyds to be dealt with by the friendly Scottish staff employed to do this job - she told me. So it was all new to her and she hopes things will speed up with practice.

It is not a simple process. If you have more than one account (eg bank account, ISA, credit card) it will take an hour or longer on the phone. The letter warns of this.

The reason - as they explain - is that you cannot just transfer. They will first close your old accounts and then offer you new ones and treat you as a brand new customer however long you have banked with Lloyds.

As such they have to go through loads of small print and read out all the details of accounts they can offer you. They stress these might not be as good as the accounts you have now as they will be just ones available to new customers.

Moreover, they go through how they will need to check all your credit records and ratings and emphasise that you could be turned down.

They have to do this process for each account you hold.

That said they will give you a new account number there and then at your chosen 'new' branch and will look after all the Direct Debits and Standing Orders transfers. But stress you will need to notify any incoming payees such as employers.

You can use your existing account until this new one becomes available (they suggest about 4 weeks). So there is no disruption of use of ATMs or cheque books whilst you wait acceptance.

Despite the drawbacks it was a smooth process and so far so good is all I can say.

Just thought this report might help anyone getting these letters.

ChiefGrasscutter

I'd bill them for your time at £200 per hour

rb10

Jaycee_Dove wrote: »

That said they will give you a new account number there and then at your chosen 'new' branch and will look after all the Direct Debits and Standing Orders transfers.

You may have to notify some DD providers - a few will not accept a notice of change from a bank, has to be from the account holder.

Keep an eye on your online banking over the next few weeks to make sure they all change over. And keep enough money in both accounts to cover unexpected debits from one or the other.

But as you say, the process is as simple as moving from one bank to another.

Jaycee_Dove

Thanks for the advice. Will do.

LornaPa

I have just come off the phone from speaking with the Help centre too. They were helpful, however, I'm not happy.
My original branch where my account was opened is changing to TSB Scotland. The branch that I actually use now is less than one mile from where I live.
I want to stay with Lloyds and not transfer. So, why can my account not be moved to my now local branch and stay with Lloyds??
Yes I could open a new account but then I have to reset all my direct debits and standing orders, change my banking details with my employer, contact people who pay into my account.......... Why should I? Where is my choice in this??
I don't want a new account number, I've had my present one for over 40 years. Plus, I hold several joint accounts for service users I care for at my local branch. I don't want to have to have 2 different lots of internet banking. Surely there must be someone I can complain to about this. Why should I have all the hassle of changing everything just to stay with the bank I chose in the first place??!!

pqrdef

LornaPa wrote: »

Yes I could open a new account but then I have to reset all my direct debits and standing orders, change my banking details with my employer, contact people who pay into my account.

It's all BACS's fault. Their account numbering system goes back to the manual cheque-clearing era, when it was a good idea to have sort codes linked to branches.

You wouldn't be able to transfer your account to your local branch without changing the sort code, which would be no better than opening a new account.

The new redirection system would help, but it starts too late.

Really, it's the regulators' fault. They need to be disabused of the idea that customers can be shunted around like this.

Jaycee_Dove

Lorna, I have had these same discussions as you - both in branch, on the phone with Lloyds and in threads on here since last Summer (where some posters seem to think I was being paranoid about this - maybe rightly).

I have been with them for 37 years. In the past when they moved house they transferred my account smoothly to the new branch each time. 11 years ago they told me they no longer bothered as it was not necessary.

Obviously they did not forsee the change of ownership issues.

My account is registered at a town I have not lived in for nearly 12 years - 100 miles away in England, not Wales (where I now live). That branch is being sold. Not the one where I have banked every week for over a decade.

But it is the customers they are selling on and not the branches and I was told on asking in branch last year that this would be easy - not to worry etc - but also that they have to make it a little tough for us to stay as otherwise they woukld be selling branches without customers, defeating the object.

However, the process does indeed so far seem smooth. My only concern is this.

I had an ISA that I opened AT the Welsh branch some years ago. Even though I opened it at my current branch (not the one where I am still supposedly registered) it was registered (I now gather) at the branch where my current account used to be.

This ISA matured last week. I went in branch and transferred it to a new Lloyds account at their suggestion last week before the old tax year ended to keep all options open for this new year. I reminded them of my situation about my old branch being sold on. They said it was irrelevant. Not to worry.

When I called the transfer number this week I was advised I had to transfer my ISA as well as my current account even though it was only a few days since I just took it out.

I pointed out that I transfered it last week so as not to effect my 2013-14 tax year allocation. They told me that closing it and reopening it at the branch where I actually opened it at (!!!) would not effect this.

But I will be very upset if it in any way restricts my ability to open new ISAs this year as that was precisely why I opened the new account at Lloyds last week (only to have them now close it and open it again this week after the new tax year has started).

Yorkie1

Do not 'close and open' your ISA - make sure it is transferred by the new branch. (I'm sure that's what you meant, but just thought I'd flag it up for others reading, in case they misunderstood).

Thrugelmir

Jaycee_Dove wrote: »

Obviously they did not forsee the change of ownership issues.

To create a seperate entity to sell on to meet the requirements of the EU directive has been a major exercise. A far from simple task.

altocumulus

I have a slightly different issue.

My accounts are staying with Lloyds - but I am resident in Scotland where there are to be no Lloyds branches available for me to use - I am warned that paying in, either by cash or by cheque may be done and may be charged....!

Hopefully the Post Office will still accept pay-ins.

But whatever method I use, I shall lose the instant credit of interest.

Customers come last, again !
Lloyds constantly blame the EU regulations, but it was their own decision to close totally from Scotland.

Jaycee_Dove

Yorkie1 wrote: »

Do not 'close and open' your ISA - make sure it is transferred by the new branch. (I'm sure that's what you meant, but just thought I'd flag it up for others reading, in case they misunderstood).

Lloyds told me on their help line that it HAD to be closed and reopened by them on this dedicated phone line to facilitate those who ask to stay Lloyds TSB customers - despite it being just 4 days old at the time.

Indeed they said on the phone it created an idiotic situation where she had to tell me that they (lloyds) were going to apply to my current holder (lloyds) to ask themselves to agree to the transfer!

She agreed that this sounded absurd but absolutely assured me that it would not effect me in any way. I asked them more than once pointing out why it mattered.

She said that it was opened as a Lloyds ISA, will still be a Lloyds ISA (the exact same one) but had to be reopened so it was registered AT the branch where I actually opened it (in Wales) as opposed to the branch in England where my account was still registered and so would thus be the ISA.

She totally agreed it was a mess but emphasised I would not lose anything by way of this scenario. But that - being only a few days between opening it in branch and now reopening AT that branch (if you see what I mean ) I will probably get two lots of paperwork for the same ISA with two different registered branches - and I should ignore the first one and just accept the second.

I am glad I am not the one having to sort out potentially thousands of such requests to stay from Lloyds TSB customers innocently being sold on via an old branch that they once visited but long since moved away from.

Plus I still have no idea how/if this will effect my Lloyds TSB credit card. I did ask and was told they were not sure if that needed to be moved but would 'look into it' !

As an update, very quickly, I got my new bank account details and ATM card yesterday. They have advised that all direct debits will be transferred from 8 May. Up to then I can still use my old account but from that date should only use the new ATM card and cheque book (which I have yet to receive). No cheques issued after 8 May via the old account will be accepted.

The new account number and ATM/Visa Debit card can still be used with the PIN from the old account unless I choose to change it. In case anyone was wondering about needing to recall another PIN.