Is the Tesco Current Account Really Just a HSBC account

Ryan101

I have opened a Tesco Current account and noticed that the sort code begins 40 which is a HSBC sort code, I doubt that Tesco have a Banking Data Centre and all the infrastructure, so is this account managed by HSBC on the HSBC system ?.

Hazzanet

No. HSBC just do their clearing for them. Totally separate.

agrinnall

Tesco do indeed have a "Banking Data Centre and all the infrastructure", I'm guessing but I think it's likely to be somewhere in Edinburgh where the bank is based. They may lease it rather than own it but they are now operating in the same way as any other UK bank. And sortcode is defined by the full 6 digits, you can't make many assumptions based solely on the first two.

colsten

I don't think Tesco Bank ever had any link with HSBC. They used to have a joint venture with RBS but bought out RBS in 2008 or thereabouts.

M&S Bank used to be an appendix to HSBC but they are pretty much separate now.

Both Tesco and M&S have their own full banking licence, which means each of them is covered up to £85K under the FSCS. This information should suffice for the retail customer.

If you google long enough, you can piece together where Tesco Bank has their data centre operations, and who they have contracted to manage the service. It is not another bank.

Gromitt

colsten wrote: »

If you google long enough, you can piece together where Tesco Bank has their data centre operations, and who they have contracted to manage the service. It is not another bank.

I don't think "long enough" and "piece together" is appropriate considering you can download an 8-page case study of their IT structure from the first page of search results

System

Tesco Bank do use HSBC for their clearing services - pretty much in the same way as a building society would.

M&S Bank is a different kettle of fish - As it's a subsidiary of HSBC Bank, it's basically HSBC with a thin M&S veneer.

[Deleted User]

In a similar vein, Metro Bank uses a 20-xx-xx sort code, but they're nothing to do with Barclays, apart from that's who clears for them.