Lloyds and Halifax Closing my Accounts?

MABLE

JackLadder wrote: »

Today, I received two letters, both from Lloyds Banking Group, telling me that they are closing all of my accounts, on a given date, and if I apply for any accounts with them before that date, they will be closed on that date, and any applied for after it will be closed at short notice.
unquote

They are not even giving you the chance to have Basic bank account because as stated above any further accounts will be closed.

The whole situation seems very odd Jack.

starM

Jack, If they refuse the appeal. Best will be request SAR. With that at least u would know what notes was made by lloyds.

tristen93

Ed-1 wrote: »

National Hunter (NH): There seems to be 3 statuses that can be attached to an application: 'Clear', 'Inconsistency' and 'Applicant Refer'. What I'd like to know is who decides what status to give an application - the loading member (i.e. the bank you apply to) or the National Hunter system? When a bank submits application data to National Hunter, does NH automatically run the data against other application data it holds in the applicant's name and it churns out a status/flags any inconsistencies for the bank to look into or can the bank you are applying to see other application data and they decide what status to give the application?


I believe that the fraud status is set by the loading organisation as they are not allowed to edit the loading members data.


Quote from National Hunter Website: National Hunter are unable to amend or remove data without the organisation’s permission. If you believe the information held is incorrect, we would advise you to contact the organisation you applied to.

MABLE

SevenOfNine wrote: »

I didn't say it would, I merely asked a couple of QUESTIONS. Though from your response, you seem to be saying you know what aspects of the account operation WON'T have any bearing on the closures. Can you share any others.

By my experience and having worked for the bank in the 90's. Hope that is clear enough!

Also if he did not meet the criteria of his accounts they would hardly stop him from opening another type of account that requires no set criteria.

enthusiasticsaver

Banks do not have to give reasons why they do not want customer's business but it may well be that it has been flagged with unusual activity and does not fit in with their business plan. Lots of people are opening large numbers of current accounts particularly the ones that pay high rates of interest. The banks are offering high interest on current accounts to expand their customer bases and offer a banking relationship which will lead to other profitable business. If they think they are flogging a dead horse then they have it within their power to shut accounts down.

If you have an account which has very little activity, does not pay bills ( normal utility bills not fake £1 or tesco internet saver direct debits) or attract a monthly salary and has money paid in and then straight out again then the bank may have taken the decision it does not want your business. I am not saying this is the reason but it may be they have looked at the fact that you have at least two current accounts (LLoyds and Halifax) and decided that you are just shunting money around for current account interest (presumably on LLoyds) and Halifax rewards.

I do not think you will be the only person in this position as it is my guess that they will all start to clamp down on this now it looks as if a lot of people are moving from ISAs to current accounts to get better interest rates.

enthusiasticsaver

Apologies Jack but I have just seen that your Club Lloyds account is your main current account so I am guessing that your salary and bills go out of there. To ask someone to close an account that is obviously being used as a main account is unusual unless they suspect some fraud or money laundering is going on. Do you have any foreign transactions go through regularly?

RuthnJasper

enthusiasticsaver wrote: »

Apologies Jack but I have just seen that your Club Lloyds account is your main current account so I am guessing that your salary and bills go out of there. To ask someone to close an account that is obviously being used as a main account is unusual unless they suspect some fraud or money laundering is going on. Do you have any foreign transactions go through regularly?

JackLadder wrote: »

I've never done any foreign transactions in any account, so it won't be that.
Thank you for your replies.

Jack.

Hope you get some satisfactory answer in due course Jack. x

Wurst

I can understand why banks might want to close the current accounts of those of us who are just taking advantage of their promotional interest rates.

But why cut off their nose to spite their face - by saying they will not accept any future business from the same customer? What if in future he wanted a pension plan or life insurance or any of the other poor quality overpriced products which banks love to peddle to their most naive and trusting customers?

They seem to be saying they don't want him as a customer at all. Possibly they are in error, or think they know something that hasn't yet been disclosed.

Or maybe they just calculate that if he's sufficiently value-conscious to be "playing the game" with their current account offers then he's unlikely to want to buy any of their other rubbish; so no loss to them.

keiran

It can't possibly be because he's an unprofitable customer....in that case there will be millions of customers who'll be told their accounts will be closed

There's something else going on. Either the bank has serious suspicions, or more likely, they have made a serious error

jonesMUFCforever

I ask again - OP are you a UK national?