Lloyds Closing Bank Account

alphabravocharli

Hi, Does anyone face issue of bank closing account.

PRAISETHESUN

Unfortunately, it is clearly stated in the T&Cs for most bank accounts these days they the banks can reserve the right to close your account with 60 days notice, or sooner if they suspect something fishy (eg. money laundering, etc). Your account will continue to operate without issue up until the closing date, when they will block the debit card, and transfer any remaining balance to their holding account - which is a HUGE pain to get back if this happens, so make sure you withdraw any credit balance before that date.

As for why they have decided to close your account, only they can know. You might be able to contact them to request an explanation, but my money is on that they will fob you off and refer to some generic part of their terms that says they are allowed to do so. Just open an account with a new bank, use the CASS to switch all your payments and balance and away you go - you might even be able to take advantage of some of the switching incentives

https://www.moneysavingexpert.com/banking/compare-best-bank-accounts/

[Deleted User]

Have you asked them?

Willing2Learn

hassan.attique wrote: »

I can open any other bank account other then Lloyds, Halifax or there was 1 other one i don,t remember the name. I specifically asked lady that can this cause me problem in opening account in other banks. She said no i will be fine and can use switch facility as mentioned in the letter.

Lloyds, Halifax and Bank of Scotland are the banks you cannot use as they all the same company. A switch should work fine for you.

[Deleted User]

Just switch away to another bank then

bobblebob

Seems crazy that banks are allowed to just get rid of you without a full explanation. Fair enough I get they're a business so can choose not to have you as a customer, but seems only fair that they give a reason for this just incase there was some error that has flagged your account.