Lloyds to buy MBNA?

edited 28 November 2016 at 10:21AM in Credit Cards
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planteriaplanteria Forumite
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edited 28 November 2016 at 10:21AM in Credit Cards
talk of Lloyds buying MBNA.. which would significantly change the credit card market in the UK.

http://www.dailymail.co.uk/money/markets/article-3958520/Deal-hike-credit-card-bills-Lloyds-7bn-swoop-rival-control-one-four-card-debts.html

in the interests of a competitive, varied marketplace, i hope that Cerberus win the business. as a standalone business in the UK i would hope they will continue to compete hard in the BT market. without them Barclaycard could ease right back and stoozing deals could be cut back.

but we never know.. maybe Lloyds will fancy taking Barclaycard on, head on :) and the idea of two of our major UK banks being the leading card providers is not all bad.

i have a Lloyds balance to clear by January and was looking to clear and close shortly. but i might keep the account open now. i might be dreaming, but if they would let me merge my MBNA and Lloyds limits i'd have an account for some serious stoozepotting when the time is right :)

anyone care to speculate as to the chances of this deal proceeding?
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  • planteriaplanteria Forumite
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    good question adindas..
    sometimes card providers will agree good repeat deals.
    and also it can be possible to apply for a new, second card with a provider, and then transfer the limit across to that account. i've done this to increase limits and stoozepots quite effectively with MBNA and Barclaycard over the years.
  • PeacefulWatersPeacefulWaters Forumite
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    It's an odd move for Lloyds given that they already have millions of banking customers...under their brands! Virgin Money have some decent BT deals too...worth a look!

    LBG has a relatively rigid IT platform for credit cards but did announce a strategy to compete more with Barclays a few years ago. They've made little progress.

    MBNA have managed to build a customer responsive IT platform with a wider range of services than LBG tend to offer.

    It could be a positive thing for lloyds and finally bring about more competition for the ever dominant Barclays.
  • SystemSystem Forumite
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    The writing was on the wall after the interchange cuts for MBNA.
    That said, I think Lloyds is too big as is.
  • PeacefulWatersPeacefulWaters Forumite
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    Heng_Leng wrote: »
    The writing was on the wall after the interchange cuts for MBNA.
    That said, I think Lloyds is too big as is.
    I'd usually agree.

    But they're pretty modest in the credit card market where Barclays dominate balances, market share and th merchant side of things.
  • reduxredux Forumite
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    Hasn't MBNA been rumoured for ysars to have been for sale?

    What is changing that turns it into a deal now instead of already some time ago?
  • planteriaplanteria Forumite
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    it has redux, and it's a good question.

    and yes, RiaChoudhry. there was talk of Virgin taking over MBNA - having moved away from their collaboration.
    It could be a positive thing for lloyds and finally bring about more competition for the ever dominant Barclays.

    i agree. within the stooz community MBNA have been the biggest player, and so perhaps to some of us it is surprising how strong Barclays are within the credit card market.
  • SystemSystem Forumite
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    Bank of America tried to sell of many of their non-US assets after the 2008 crash - including MBNA.

    It was never really off the market, but the EU interchange fee reduction, probably gave BOA fresh impetus.
    redux wrote: »
    Hasn't MBNA been rumoured for ysars to have been for sale?

    What is changing that turns it into a deal now instead of already some time ago?
  • rtho782rtho782 Forumite
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    If Lloyds buy MBNA I will be closing my account.
    Deposit Saved since 01/12/15: [STRIKE]£13,000 / £15,000[/STRIKE] House Bought!

    Debt Cleared since 01/12/15: £6,000 / £7,500
  • bigadajbigadaj Forumite
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    rtho782 wrote: »
    If Lloyds buy MBNA I will be closing my account.

    Well if that doesn't put them off, nothing will.
  • Nebulous2Nebulous2 Forumite
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    rtho782 wrote: »
    If Lloyds buy MBNA I will be closing my account.

    Which one? Lloyds or MBNA?
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