NatWest £125 switch incentive

WillPS

Confirmation that it'll go in by the 27th, +£30 compensation for me. Happy with that.

My Natwest current account was opened the week after my 12th birthday. I found in a drawer the first Solo card I had with them the other day, and the Maestro card I got after turning 18 (one day I'd quite like a 'Black' card to complete the trilogy). If I'm totally honest, there's no chance I'll be closing the account - not just for nostalgia but because I do quite well out of it now, I normally earn somewhere between £10-20 out of Natwest Reward products.

I'm glad the bank was able to sort it for me.

EachPenny

Steve_xx wrote: »

Yes, I see your point. But, the monthly deposit requirement on the Reward Account would not be linked to the potential to collect the bonus because the switch offer is not linked to the account terms, I'd say?

It is a debatable point, but it wouldn't seem to be unreasonable for the bank to expect people to comply with all the account T&C's in order to benefit from the switching bonus.

The offer T&C's do state:-

You’ll be bound by Your Current Account Terms. This document contains all the terms applicable to your eligible account, including any regular criteria you need to meet in order to keep your account and use the account benefits.

...and although it isn't explicit that payment of the bonus depends on this, if you took them to court for failing to pay the £125 I don't think you'd win.

After all, you wouldn't expect NatWest to pay £125 to someone who had opened the account to use for business purposes, or a spot of money laundering.

Steve_xx

EachPenny wrote: »

It is a debatable point, but it wouldn't seem to be unreasonable for the bank to expect people to comply with all the account T&C's in order to benefit from the switching bonus.

The offer T&C's do state:-

...and although it isn't explicit that payment of the bonus depends on this, if you took them to court for failing to pay the £125 I don't think you'd win.

After all, you wouldn't expect NatWest to pay £125 to someone who had opened the account to use for business purposes, or a spot of money laundering.

No, the switch terms are specific to a switching process. Only the terms contained therein would apply when deciding whether or not the appropriate conditions had been satisfied to obtain the incentive.

I had a quick scan of the Reward account and see that the only penalty for not fulfilling various criteria would be to downgrade the account:

5 Reward (including Premier Reward)
5.1 Reward accounts are available to individuals aged 18 or over.
5.2 You can earn points (known as “Rewards”) by using your Reward account. For details
about how you can earn Rewards please see the MyRewards Terms.
5.3 If you open your Reward account from 26 June 2017 onwards, you must:
• pay at least £1,500 in total every calendar month into any personal current
account(s) you hold with us (excluding a Foundation account, Basic account or
a current account mortgage product). The £1,500 can’t be paid in from a current
account or savings account you hold with us, and
• log into our online banking or mobile banking service at least once every three
calendar months.
If you don’t meet this criteria, we may convert your Reward account to a Select
account (which means you’ll stop earning Rewards on household bills).


In this instance, a switch would have still occurred, even if the account terms were not satisfied. The account would be switched and maybe subsequently downgraded.

suaveybloke

Interesting that in addition to their incompetence in procesing the bonus, they are also paying compensation in different amounts to different people....unless you happen to be me, as their email reply demonstrates (btw I put in a polite request enquiring about the delay in being paid):

"Having considered the above and whilst in no way dismissing our failings, I must advise you, in the absence of any tangible loss arising from our mistake, I do not consider this to be a matter which warrants a payment of compensation. I recognise that this is a view that you may not share. "

Seems rather unfair that some get compensation and some don't.

gocat

suaveybloke wrote: »

Interesting that in addition to their incompetence in procesing the bonus, they are also paying compensation in different amounts to different people....unless you happen to be me, as their email reply demonstrates (btw I put in a polite request enquiring about the delay in being paid):

"Having considered the above and whilst in no way dismissing our failings, I must advise you, in the absence of any tangible loss arising from our mistake, I do not consider this to be a matter which warrants a payment of compensation. I recognise that this is a view that you may not share. "

Seems rather unfair that some get compensation and some don't.

Ask them to forward it to complaints department. I sent in online form 2 days ago. Got phone call yesterday offering me no compensation as they said I wasnt inconvenienced. Asked them to forward it to complaints department. Same lady phoned back later saying ok can offer £10. I said did you forward it to complaints and she no not yet. I said please do so. Just got email offering £50 compensation which is now in my bank account

18cc

I am sure that bankers read this foum and know what is going on but do they care ?

I wonder how many people on here are switching for the incentiive and then switching out again no idea of course but let's say 500

how many new customers did NatWest get because of the switching incentive again no idea but Nationwide gained 40000 last year and NatWest lost 11000 so let's make an estimate and say the incentive caused 10000 to join NatWest

It may well be that the 500 serial switchers is just seen as the cost of doing business

EachPenny

Steve_xx wrote: »

No, the switch terms are specific to a switching process. Only the terms contained therein would apply when deciding whether or not the appropriate conditions had been satisfied to obtain the incentive.

I had a quick scan of the Reward account and see that the only penalty for not fulfilling various criteria would be to downgrade the account:

In this instance, a switch would have still occurred, even if the account terms were not satisfied. The account would be switched and maybe subsequently downgraded.

No, the switch T&C's specifically reference the account T&C's, and in any event would be interpreted by a court as forming part of the contract between bank and customer. It would be nonsense for the switch T&C's to be taken as standing on their own - not least (as I pointed out) given the potential for the account to be used unlawfully.

Downgrading is not the only 'penalty' open under the T&C's. NatWest also have the right to close the account without giving a reason. Although a specific action of downgrading the account if the T&C's are not complied with, this does not override the right of NatWest to close the account giving the required notice.

I think it is unlikely that NatWest would refuse to pay the £125 if someone didn't comply with a monthly funding requirement. But as I said to start with, it is debatable whether or not the T&C's would support them if they took the decision not to make the payment - it is not clear cut and would depend on the specific circumstances of each case.

littlemissbossy

I queried with Natwest why I hadn't received my switch bonus.

They've paid it to me today... I didn't ask for compensation because I didn't feel that it was necessary.

Steve_xx

EachPenny wrote: »

No, the switch T&C's specifically reference the account T&C's, and in any event would be interpreted by a court as forming part of the contract between bank and customer. It would be nonsense for the switch T&C's to be taken as standing on their own - not least (as I pointed out) given the potential for the account to be used unlawfully.

Downgrading is not the only 'penalty' open under the T&C's. NatWest also have the right to close the account without giving a reason. Although a specific action of downgrading the account if the T&C's are not complied with, this does not override the right of NatWest to close the account giving the required notice.

I think it is unlikely that NatWest would refuse to pay the £125 if someone didn't comply with a monthly funding requirement. But as I said to start with, it is debatable whether or not the T&C's would support them if they took the decision not to make the payment - it is not clear cut and would depend on the specific circumstances of each case.

I do not agree.

The switching terms relate to a set of criteria that needs to be satisfied in order to realise the incentive. Those specific terms are detailed in the offer. Clause 3 of the offer refers to the account/s specific terms and that clause refers to the details of the operation of the account type. It does not relate to the switch offer.

Perhaps we will agree not to agree on this one.

EachPenny

Steve_xx wrote: »

The switching terms relate to a set of criteria that needs to be satisfied in order to realise the incentive. Those specific terms are detailed in the offer. Clause 3 of the offer refers to the account/s specific terms and that clause refers to the details of the operation of the account type. It does not relate to the switch offer.

Perhaps we will agree not to agree on this one.

But the switching terms do not exist in isolation - the offer of £125 is conditional on the existence of an 'eligible account', for which separate terms and conditions apply (as noted by the switch T&C's). We cannot completely ignore the implications of the account T&C's in deciding whether or not the switch T&C's have been complied with.

I've spent years dealing professionally with contracts, including spending time in court over disagreements. One of the things I've learnt from that experience is that contract interpretation by the Courts usually considers the widest interpretation - it is a mistake to believe a very narrow interpretation of the terms will win the day.

But happy to agree to disagree, because it is not something there is an absolute answer to. The situation applies only to a very small number of people, each having unique circumstances.