M&S Bank closing all current accounts

Alexland

The current account market must be bad if there is no provider willing to buy or take on the business.

ctdctd

Alexland said:

The current account market must be bad if there is no provider willing to buy or take on the business.

It's run by HSBC group - surprised they didn't offer a switch to HSBC or First Direct.

Sea_Shell

So I wonder what will happen to customers who do nothing?

Their account is just closed and their balances...disappear?

What if you're in overdraft?


I don't have any M&S accounts, so just curious.

phillw

ctdctd said:
It's run by HSBC group - surprised they didn't offer a switch to HSBC or First Direct.

There may be contractual reasons why they can't.

When HSBC bought M&S Bank, they agreed to pay M&S a share of the profits. There is likely a clause that says they can't close the bank and steal all the customers.

I can't find any details of the renewal
https://news.sky.com/story/m-s-bank-chief-fox-quits-as-hsbc-link-comes-up-for-renewal-11546381

Living_proof

Does this herald the demise of free in-credit current account banking?

Rich2808

Given the monthly saver account is closed to new business I didn't see much merit in the M&S account anyway - you might as well just bank with HSBC or First Direct (same group who at least still have a monthly saver). M&S credit cards and insurance will of course remain valid. Although the insurance is actually provided by Aviva - with an M&S logo.

EarthBoy

Sea_Shell said:

So I wonder what will happen to customers who do nothing?

Their account is just closed and their balances...disappear?

What if you're in overdraft?


I don't have any M&S accounts, so just curious.

All questions answered in the FAQs on the website.
https://bank.marksandspencer.com/current-accounts/mands-current-account/

IAMIAM

I am not surprised, mentioned this a few months. They will integrate First Direct into the HSBC brand next without doubt 

Sea_Shell

Thanks, yes should've looked...

As we're closing all current accounts, if you don't do anything in terms of transferring/switching or closing your account, it'll be frozen in August and you'll need to get in touch with us to confirm how you'd like to proceed. Once the account is frozen, you won't be able to access your funds any longer. You will still be able to view your account on Internet Banking and the M&S Banking App.


Let's hope we don't get inundated with threads moaning about having their accounts frozen in August!! 😉

WillPS

Living_proof said:

Does this herald the demise of free in-credit current account banking?

No.

Pretty whacky to suggest a brand with such a small market share offering that is somehow the lynchpin, given the almost every other brand also offers free in-credit banking.