MSE News: Tesco Bank to close ALL existing current accounts - what it means for customers

colsten

There is no switch for overdrafts. Each bank will determine themselves whether and what size overdraft they offer you. You have to apply at your new bank, and you may or may not get the same arrangement you had at Tesco.

That said, overdrafts are one of the most expensive way of borrowing, and you are almost certainly better advised to look at alternatives such as a loan if you require extra funds.

Parcelator

I'd also recommend Starling unless your keen to get a switching bonus (Starling don't offer these). Also not great if you need/like going into branches or withdrawing lots of cash from ATMs.

curl_girl

Advice please!
Tesco bank have refused to switch my current account to my new bank due to High Demand!

Surely this is against the rules on bank switching?

WillPS

curl_girl said:

Advice please!
Tesco bank have refused to switch my current account to my new bank due to High Demand!

Surely this is against the rules on bank switching?

Sounds like grounds for a complaint to me.

sheramber

They probably don't have enough money available on demand.   

Remember the  queues at Northern Rock?

They will need to realise their investments to pay out everybody. They probably didn't  expect a rush as the accounts don't close until November.

bowlesbargain

curl_girl said:

Advice please!
Tesco bank have refused to switch my current account to my new bank due to High Demand!

Surely this is against the rules on bank switching?

They have just done the same to me trying to switch from Tesco to Virgin. Refused the switch on the same grounds

[Deleted User]

sheramber said:

They probably don't have enough money available on demand.   

Remember the  queues at Northern Rock?

They will need to realise their investments to pay out everybody. They probably didn't  expect a rush as the accounts don't close until November.

Had it not been for the reputational damage, I would guess they'd simply forgo the CASS process and give 60 days notice of closure as many of the accounts will have zero /low balances.   

So unlikely to be a money issue - much more likely an infrastructure issue as they aren't a full clearing bank.

WillPS

sheramber said:

They probably don't have enough money available on demand.   

Remember the  queues at Northern Rock?

They will need to realise their investments to pay out everybody. They probably didn't  expect a rush as the accounts don't close until November.

Tosh.

How much money do you think is withdrawn via CASS every day, even in their closure state, compared to withdrawals, DDs, transfers and use of debit card - none of which have been stopped.

curl_girl

bowlesbargain said:

curl_girl said:

Advice please!
Tesco bank have refused to switch my current account to my new bank due to High Demand!

Surely this is against the rules on bank switching?

They have just done the same to me trying to switch from Tesco to Virgin. Refused the switch on the same grounds

Have Virgin responded yet?
I thought a switch was automatic once you had instructed your new bank to switch for you.

Absolutely disgusting behaviour from Tesco Bank. I do hope Martin Lewis knows about this problem and can advise us please?

Chloe_G

How did you get informed that they have refused to switch?