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Thousands switch away from TSB during online banking chaos - MSE News
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But for people who were saying 'I can't make a payment because online banking is down' who are not on DD or SO, it's your own fault. If you're on DD or SO and the bank stops it from being taken, you'd be covered against that. Your provider can tell you if the other bank couldn't didn't collect it, or if your bank stopped them from taking it....
TSB stated the system was going to be down for the upgrade over the weekend, but would be available after a certain time (Sunday evening IIRC). Customers with a payment due on the Monday would have a reasonable expectation that the system would be available to make that payment at some point on Monday.
The fact it wasn't is something TSB have accepted blame for, and their payment of very generous compensation to inconvenienced customers is an indication of the level of blame which can be fairly attatched to the customers involved.
Notwithstanding the above, people would still be well advised to have more than one current account held with providers using different computer systems, in order to minimise their inconvenience in the event of one bank having a major IT fail."In the future, everyone will be rich for 15 minutes"0 -
I'm one of the thousands who has switched over from TSB, to HSBC after close to 10 years being with LLoyds then TSB after the split. I have to say it was a painful couple of months with my finances all over the places thanks to it.
The IT meltdown wasn't a day or a week, it was a planned migration that was planned and executed so badly I'm not willing to keep my money with them anymore.
I was "luckly" to have a lloyds joint account with my wife, however that Monday morning I have forgot mine at home. Finishing in the gym, want to go out from car park both debit card and 2 credit card declined. Had a few quid in the car so managed to get out. Had to borrow money from my boss to buy lunch for myself. Started using our Joint account card, the only one I had.
The story went on and couldn't get access to my money for more than 2.5 weeks, despite multiple calls and attempts to ATMs to take cash out. Website was partially broken for another good few weeks, but escaped most of my money to HSBC from it and only left it for DD and SO and run with 2 banks parallel for some time.
Looking at the TSB website today, multiple services still not available online you have to go into a branch. The nearest for me is over 10 miles. This in 2018 is not acceptable.
Now for fail safe got hsbc advanced, hsbc creditcard, a revolut card and an amex to make sure this never going to happen again. :j And applied to all of these applied online/from my phone.0 -
I'm one of the thousands who has switched over from TSB, to HSBC after close to 10 years being with LLoyds then TSB after the split. I have to say it was a painful couple of months with my finances all over the places thanks to it.
The IT meltdown wasn't a day or a week, it was a planned migration that was planned and executed so badly I'm not willing to keep my money with them anymore.
I was "luckly" to have a lloyds joint account with my wife, however that Monday morning I have forgot mine at home. Finishing in the gym, want to go out from car park both debit card and 2 credit card declined. Had a few quid in the car so managed to get out. Had to borrow money from my boss to buy lunch for myself. Started using our Joint account card, the only one I had.
The story went on and couldn't get access to my money for more than 2.5 weeks, despite multiple calls and attempts to ATMs to take cash out. Website was partially broken for another good few weeks, but escaped most of my money to HSBC from it and only left it for DD and SO and run with 2 banks parallel for some time.
Looking at the TSB website today, multiple services still not available online you have to go into a branch. The nearest for me is over 10 miles. This in 2018 is not acceptable.
Now for fail safe got hsbc advanced, hsbc creditcard, a revolut card and an amex to make sure this never going to happen again. :j And applied to all of these applied online/from my phone.
Not trying to defend TSB in any way for their migration shambles but it should serve once more as a reminder that it's a high risk strategy to rely on a single source of funds. Ever since the big disaster at Natwest/RBS/Ulster, this should have been obvious, and it should be even more obvious now, after the TSB debacle, and some more minor blips at Tesco and Nationwide (and probably others that I can't remember now). Simply moving to one other bank is like jumping from the frying pan into the fire. In other words: don't rely on HSBC, or any current account provider, as your sole source of funds.0 -
If you really want to show TSB, then keep collecting the 5% interest and stop using the account for anything else.
I switched my credit card (nothing to do with the 1% cashback and interest free period ending, honest), but I've not switched current accounts.
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A lot milked it to get free money as a sorry. Those people saying 'I can't pay my bill through online banking due tomorrow because it won't let me log in' isn't the banks fault. Why leave paying a bill until the day before when you've had weeks to pay? Go into a branch, post it, telephone, pay it when it comes in. So many people blamed TSB for things which weren't actually their fault.
Ah, so a bank's own software and processes goes down and it's not the bank's fault? So whose fault is it?
I have numerous direct debits paying energy accounts, credit card accounts, broadband, mobile, etc and all of them without exception are paid on the due date. So by your own standard if the bank goes down and a direct debit is not paid it's my own fault because they are paid on the due date?
We need to get this straight: If or should we say "when" a bank's processes go down that's the bank's responsibility. Conversely the bank is wholly responsible and should pay compensation and do deserve to lose the customers who refuse to accept repeated failures, as in the case of TSB!0 -
I get where you are coming from but to what extent should customers as a whole share the blame for wanting something at rock bottom prices or to pay nothing for it and then wail loudly when as expected sooner or later it all goes wrong?
We in the UK are pretty well unique in the world for not paying any monthly fee for having the services of a current account. So we should expect it to be non functional every now and then.
Its all a bit like the low cost airlines - you know it is dire you know the service is appalling - but it it cheap and you just hope that when the inevitable catastrophe happens and the unfortunate passengers are stranded for days on end it not on your flight but someone else's.0 -
I get where you are coming from but to what extent should customers as a whole share the blame for wanting something at rock bottom prices or to pay nothing for it and then wail loudly when as expected sooner or later it all goes wrong?
We in the UK are pretty well unique in the world for not paying any monthly fee for having the services of a current account. So we should expect it to be non functional every now and then.
Its all a bit like the low cost airlines - you know it is dire you know the service is appalling - but it it cheap and you just hope that when the inevitable catastrophe happens and the unfortunate passengers are stranded for days on end it not on your flight but someone else's.https://www.fca.org.uk/firms/fair-treatment-customers
Outcome 5: Consumers are provided with products that perform as firms have led them to expect, and the associated service is of an acceptable standard and as they have been led to expect.
I don't think it's actually the case that banks are not adequately resourced to provide the services (such as standing orders and direct debits being processed accurately and on time) they promise customers, but even if they were loss-making businesses, they have a regulatory duty to meet the obligations they set themselves in relation to consumer contracts. Any breach of contract or failure to provide the services they have led customers to believe they can rely on is 100% their fault.
Low cost airlines are under a different regulatory regime (the T&Cs of a budget airline don't promise much in the way of service standards, and neither do statute or regulator), but even they have to compensate and refund customers if a flight is cancelled. It would never be considered the customer's fault for paying too little for the service.
The reason some customers don't pay anything for banking services is because they are cross-subsidised by other customers.0 -
All the attention in the switching stats seems to be pointing towards TSB, although the figures aren't particularly all that significant.
No one seems to be mentioning, or even picking up on, the continued decline of the Co-op Bank. Not in the headlines anymore, and actually closer than they have been for years in becoming a profitable and stable bank, but still hemorrhaging customers - heading towards a quarter of a million lost since the switch stats started.
https://photos.app.goo.gl/pNf4VxZcrFZY7gWg7
This is despite the fact for much of that time, there were offering a £100 or bigger switching bonus. (Net figures are only 153,877 lost but a good share of people joining just for the bonus will probably be playing the current account game to earn the £4 a month and not be "real" current account users)
Unlike with TSB, customer experience for current account users has been minimally impacted during the Co-op Banks woes (branch closures like everyone else but day to day running continued without issues, and even a £5.50/month incentive scheme introduced) but still nearly a quarter of a million have left since stats started. Many will be MSE-ers that grabbed the bonus and ran, but many won't be.
They're officially closing their cash machine network by the end of this year (the few that are left are all being transferred to NoteMachine), they've ditched personal loans and student accounts, mortgages are now broker-only and credit cards are for current account customers only. No one seems to be noticing this bank's slow contraction.0 -
We in the UK are pretty well unique in the world for not paying any monthly fee for having the services of a current account. So we should expect it to be non functional every now and then.
Not true:
I am well acquainted with the argument that the U.K. is an island of free banking in an ocean of fees charged elsewhere. But it's quite simply not true. For example, my French bank (current) account is free and we are currently seeing new challenger banks coming to the U.K. from other countries where they offer their bank accounts for free, for example N26 from Germany.
I don't exactly know where the fallacy came from. However it does go a long way towards justifying the arm-and-a-leg fees charged by banks for example when accounts go overdrawn or a payment bounces due to lack of funds. As it goes, "Yeah but we get banking for free" but it's not actually free because someone somewhere is paying for it.
The situation is however changing and some banks are beginning to charge a fee for their services, for example Triodos and some banks while still offering free banking have cut back on fees, for example Lloyds Bank.0 -
Haven't closed any of our TSB accounts,
as we are still waiting for the complaints we made in
May 2018 to be resolved0
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