TSB current account interest cut to 3% - MSE News

bsms1147

Elwood356 wrote: »

Not sure you understood my point - having one thing in T&C while writing to customers to tell them something else is grounds for a complaint.

What did they write to people saying?

eskbanker

bsms1147 wrote: »

What did they write to people saying?

The contentious wording was in an email on 2 May 2018:

For Classic Plus customers, as well as waiving overdraft fees and interest charges incurred in March and April, to show how grateful we are for your loyalty and patience, we are also increasing the interest rate on our Classic Plus account from 3% to 5%. We promise this won’t be taken away after a year.

As Zanderman mentions above, whether or not their conduct is compliant with that mildly ambiguous promise is debated ad nauseam in the thread from when the rate cut was announced in April, together with the fact that Paul Pester (TSB CEO at the time) went one step further in a BBC radio interview to say "That rate doesn't change! So we're not like other banks that give you a high rate and take it away. That rate is there for good".....

DragonQ

No other current accounts offer even 3% interest any more (except first year with Nationwide), so I can't see anyone leaving because of this change. Thus, TSB won't do anything about it.

YorkshireBoy

DragonQ wrote: »

No other current accounts offer even 3% interest any more (except first year with Nationwide), so I can't see anyone leaving because of this change. Thus, TSB won't do anything about it.

Might persuade some to go to Nationwide FlexPlus for 3% on up to £2.5K for their main account, especially if they spend some time above £1.5 K at TSB (e.g. for a few days after payday) and the insurances are worth it to them. And of course there's a possible £100 for switching.

James878

DragonQ wrote: »

No other current accounts offer even 3% interest any more (except first year with Nationwide), so I can't see anyone leaving because of this change. Thus, TSB won't do anything about it.

What do you think about barclays Blue rewards? This seems like it could be a more attractive option now as you'll be gett £10 a month back whereas the £3.75 a month interest with TSB and that is only if you can afford to maintain your TSB balance at £1500

Zanderman

James878 wrote: »

What do you think about barclays Blue rewards? This seems like it could be a more attractive option now as you'll be gett £10 a month back whereas the £3.75 a month interest with TSB and that is only if you can afford to maintain your TSB balance at £1500

Not really comparable, esp as Barclays goes back to normal after 12 months and TSB might carry on longer (or might not!).

But you're missing the obvious point - you don't need to compare and choose one - you can have both.