Tesco remove Current Account Fee

Sunshine62

Just had a letter to say that Tesco Bank Current Account have removed the £5 Account Fee from 17th September even if you deposit less than £750 into your account per statement month. But Santander put theirs up ????

Archi_Bald

http://corporate.tescobank.com/25/news/news-releases/tesco-bank-removes-fee-on-current-account/?newsid=232

agrinnall

And here's yesterday's thread, so I'm not sure why this one exists at all.

https://forums.moneysavingexpert.com/discussion/5324078

Kim_13

Santander must have been making a loss out of the 123, hence the rise. Customers wouldn't have to have much in the account to make £24 a year in interest. Santander are also losing out on the amount that they have to pass to the taxman, as they are paying it to the customer in the first instance. They might actually have made less of a loss if they didn't have the 2xDD's requirement - since most DD's attract cashback. They were obviously trying to capture the market with a loss leader.

Tesco weren't particularly market leading when the fee was factored in. The £750 loophole was only useful to people with online banking or actually using them as a main account, since a person earning £1,500 p/m could hardly say to their employer that they wanted half paid into their Tesco account and another half somewhere else. The savers were obviously playing the game and Tesco must have known that the fee wasn't going to get them anywhere. Perhaps they'll capture the market before reintroducing the fee with some stricter conditions (especially if other banks start charging.) It wouldn't be good to be the first bank requiring a deposit to actually stay in the account for a period of time.

Tesco have gone down in people's opinions (always easier to blame the messenger rather than the EU) since cutting the credit card rewards, so it's also possible that this is a public relations exercise. With so many people playing the game to avoid the fee anyway, it shouldn't lose them that much in revenue.

Archi_Bald

Kim_13 wrote: »

(always easier to blame the messenger rather than the EU)

and even easier to blame the EU rather than the consumer rights activists that lobbied the EU

skea56

I see this is not available in NI does that mean NI customers cannot avail of this account, or that they still have to pay the fee?

sk56

Archi_Bald

It means Tesco do not offer a current account to NI residents.

I think there have been some threads about this about a year ago, and it's something to do with Tesco's banking licence or some such.

https://yourcommunity.tescobank.com/t5/Current-Accounts/Are-Tesco-Bank-Current-Accounts-available-in-Northern-Ireland/ta-p/997

Kim_13

skea56 wrote: »

I see this is not available in NI does that mean NI customers cannot avail of this account, or that they still have to pay the fee?

sk56

NI customers cannot have the account at all at present. They say it's due to regulatory differences with the rest of the UK, but that they hope to be able to extend the account to them in the future.

jackjones01

agrinnall wrote: »

And here's yesterday's thread, so I'm not sure why this one exists at all.

https://forums.moneysavingexpert.com/discussion/5324078

I have searched high and low and can not find anywhere on this forum that states you can not have more than one thread regarding the same subject. Could you be as kind to direct me to it

Hazzanet

jackjones01 wrote: »

I have searched high and low and can not find anywhere on this forum that states you can not have more than one thread regarding the same subject. Could you be as kind to direct me to it

A bit of an unwritten rule I believe. Keeping everything within one thread means that someone doesn't have to post in more than one place to make a point about the same thing, avoiding duplicate content in the forum and on the web as a whole.

It's always 'suggested' that a search is done before starting a thread to check whether someone else has already made the same point/created a similar thread recently.

I believe the competitions board are particularly sensitive to this.

Also:

http://www.webopedia.com/DidYouKnow/Internet/forum_etiquette.asp

Do Search Before Posting. Before posting a question or asking for help on a particular topic, do use the forum search option to make sure this question has not already been asked and answered by other users. Even if your question does not appear in the thread list, it may still be available as an archived topic in the forum.

compbren

jackjones01 wrote: »

I have searched high and low and can not find anywhere on this forum that states you can not have more than one thread regarding the same subject. Could you be as kind to direct me to it

Ignore this