New Lloyds Club current account

Ed-1

Dird wrote: »

How would they know what is/isn't third party?

What was in the 'account name' field of the direct debit wasn't my name. If it was the direct debit would have failed to set up.

Archi_Bald

Ed-1 wrote: »

What was in the 'account name' field of the direct debit wasn't my name. If it was the direct debit would have failed to set up.

None of my 2+ dozen Tesco DDs have my name in the 'account name' field. They don't even have the 'account name' of the respective account. I just use nicknames for my accounts in my Tesco DDs. The funding accounts are, however, all held by myself.

Whether Tesco under the covers receive the actual account holder name, I don't know. But I have never known the set up of a DD to fail because of a problem with the account name.

ceredigion

Ed-1 wrote: »

I wouldn't do that - the reason Tesco gave me for closing the accounts was that I had direct debits set up to a third party which was forbidden in their terms and conditions.

You sure.
Had this out with colsten the other weak.

Ed-1

ceredigion wrote: »

You sure.
Had this out with colsten the other weak.

Yes - it states "a linked account is another account you have told us about and held in your name with another bank in the UK."

Page 2:
https://www.tescobank.com/assets/sections/savings/pdf/tesco-instant-access-terms-and-conditions.pdf

Also:
https://yourcommunity.tescobank.com/t5/Internet-Saver/What-is-a-Linked-Account/ta-p/568

"When you add a Linked Account we check that you are the owner of that account and that you are authorised to make payments to and from it. If this check doesn't complete successfully, you may be asked to send proof of ownership."

Archi_Bald

Ed-1 wrote: »

I wouldn't do that - the reason Tesco gave me for closing the accounts was that I had direct debits set up to a third party which was forbidden in their terms and conditions.

They probably mean to forbid it in their T&Cs, but they aren't actually saying it, in either the Internet Saver T&Cs or the Instant Access Savings Account T&Cs. Only time they refer to a "DD account in your name" is under "Cancelling Transactions". This is very sloppy T&C-writing, and they would have a hard time in Court to convince anyone that a 3rd-party DD is against their T&Cs as they stand at the moment.

What I can see (with my highlighting) in the online banking is: "If moving money in from another account in your name for the first time, we'll set up a Direct Debit Instruction, which normally takes 10 days to process.". The actual DD instruction form also seems to imply that the DD must come from the holder of the account that gets debited. But they cannot say their T&Cs forbid a 3rd party DD as, in their current form, they do not.

Archi_Bald

Ed-1 wrote: »

Yes - it states "a linked account is another account you have told us about and held in your name with another bank in the UK."

Page 2:
https://www.tescobank.com/assets/sections/savings/pdf/tesco-instant-access-terms-and-conditions.pdf

Also:
https://yourcommunity.tescobank.com/t5/Internet-Saver/What-is-a-Linked-Account/ta-p/568

"When you add a Linked Account we check that you are the owner of that account and that you are authorised to make payments to and from it. If this check doesn't complete successfully, you may be asked to send proof of ownership."

Where does it say that the Linked Account is the account the DD refers to?

It is also not really true that they check the ownership "when you add a Linked Account" as they certainly do not do that at the time of adding. More sloppy T&Cs.

gingercordial

Archi_Bald wrote: »

None of my 2+ dozen Tesco DDs have my name in the 'account name' field. They don't even have the 'account name' of the respective account. I just use nicknames for my accounts in my Tesco DDs. The funding accounts are, however, all held by myself.

Whether Tesco under the covers receive the actual account holder name, I don't know. But I have never known the set up of a DD to fail because of a problem with the account name.

I was unable to set up DDs from my Tesco accounts to some Halifax Reward accounts which were still under my maiden name. The set-up failed and was referred for further checks and they would not budge, requiring original bank statements from Halifax showing a name matching that on my Tesco accounts. I couldn't even persuade them with a marriage certificate to prove the link.

In the end I had to change my name on the Halifax accounts (I simply hadn't bothered to do so yet), turn on paper statements and wait for a statement to be issued in the new names to be able to send to Tesco, who then finally unblocked the DD set-ups.

I don't know if it always fails but they certainly didn't like it with me.

Ed-1

Archi_Bald wrote: »

Where does it say that the Linked Account is the account the DD refers to?

It is also not really true that they check the ownership "when you add a Linked Account" as they certainly do not do that at the time of adding. More sloppy T&Cs.

That is what you are doing when you set up a direct debit - you are setting up a new linked account (as confirmed in the letter you get when you set one up each time!). Goodness knows how much paper they waste on sending those confirmation letters even if you've opted for paperless settings.

Also see their definition of a 'third party linked account': https://yourcommunity.tescobank.com/t5/Internet-Saver/What-is-a-linked-third-party-account/ta-p/585 and "you can't use Linked Third Parties to move money into your account, so they won't display on the Money In page."

Archi_Bald

gingercordial wrote: »

I don't know if it always fails but they certainly didn't like it with me.

It definitely does not always fail, as I have over two dozen DDs which do not have my name. For example, if my name is John Smith and my account 1234567 is with Lloyds, I would give Tesco an 'Account name' and an 'Account Nickname' of "JS Lloyds 1234567".

As I said earlier, perhaps they receive the actual account holder name under the covers. Although I have many different actual account names - e.g. Mr J Smith, Mr John Smith, John Smith, JS Smith, Mr JS Smith etc etc - it would be utter coincidence if any of the account names on my current accounts would actually match my Tesco account name. So not sure what they would be comparing, and how they'd decide the account is mine or not mine.

gingercordial

Archi_Bald wrote: »

It definitely does not always fail, as I have over two dozen DDs which do not have my name. For example, if my name is John Smith and my account 1234567 is with Lloyds, I would give Tesco an 'Account name' and an 'Account Nickname' of "JS Lloyds 1234567".

As I said earlier, perhaps they receive the actual account holder name under the covers. Although I have many different actual account names - e.g. Mr J Smith, Mr John Smith, John Smith, JS Smith, Mr JS Smith etc etc - it would be utter coincidence if any of the account names on my current accounts would actually match my Tesco account name. So not sure what they would be comparing, and how they'd decide the account is mine or not mine.

My account nicknames were and still are Halifax 1, Halifax 2 and Halifax 3, so it was definitely the underlying account names they didn't like (and said so on the several calls I made about this). I think their systems would have enough tolerance to allow Mrs J Smith vs Jane Smith and so on, but did not like Mrs Jane Smith vs Miss Jane Bloggs.

They seemed completely unable to override this even with a marriage certificate (I didn't actually want to have to go into Halifax to make the change and flag up that I still have three running Reward accounts, so tried my best to sort it via other routes) so it seemed to be something written into the system.

But as always with banks it may depend on the person on the phone and their training or lack thereof.