Club Lloyds Monthly Fee Waiver Minimum Deposit changing to £2,000

k_man

Forgot to add.
The requirement can also be met in a single payment, without an extra £500 per month, by a monthly transfer in and out from a savings account, assuming sufficient savings.

Band7

Deleted_User said:

Band7 said:

Deleted_User said:

kaMelo said:

Deleted_User said:

kaMelo said:

Deleted_User said:

ZeroSum said:

WillPS said:

Bridlington1 said:

I wonder if Halifax and Bank of Scotland will follow suit.

If Halifax bought it in I suspect it'd have to be phased in as they effectively lock in an offer for customers for 12 months.

I had my suspicions early on that this would be a way for LBG to eventually get rid of the cash rewards but that hasn't happened so far.

It's not a massive issue really, as it just means sloshing a bit more money between accounts, or doing an extra transaction & back again

Actually it is a massive issue for some of us. My income doesn't amount to £2,000 a month so HSBC wont let me switch to them to get the bonus. Annoyingly It does now exceed the £1750 formerly required.

Not really, just withdraw £500 and re deposit it. Job done

They wont let you have the account if you can't show a monthly income of £2000. What part of that do you not understand?

The part I don't understand is why you brought up requirements for an HSBC Advance account and the problems that may cause people on a thread titled;

Club Lloyds Monthly Fee Waiver Minimum Deposit changing to £2,000

Because it was about the throwaway comment by another poster that finding another £500 didn't matter. For some it does.

But not for the Club Lloyds account. You can recycle the same £500, or other amount of your choice, as often as required to make £2,000. There is also no minimum income requirement on this account.

So if it doesn't make any difference, for example you are on the state basic pension (£568), you can just negate it by moving money in, then out, then in, then out, then in, then out and then in again, (all to be done before you pay any bills whatsoever) why are Lloyds doing it? What is their purpose?

I have no idea what Lloyds' purpose is and why they are allowing it but allow they do. That's good enough for me, and should be good enough for everyone else, too,

As an aside: if a pensioner's only income is £568 from basic state pension, they are almost certainly entitled to Pension Credit. As subject for the Pensions board, though, not for this thread.

Bridlington1

Band7 said:

Deleted_User said:

Band7 said:

Deleted_User said:

kaMelo said:

Deleted_User said:

kaMelo said:

Deleted_User said:

ZeroSum said:

WillPS said:

Bridlington1 said:

I wonder if Halifax and Bank of Scotland will follow suit.

If Halifax bought it in I suspect it'd have to be phased in as they effectively lock in an offer for customers for 12 months.

I had my suspicions early on that this would be a way for LBG to eventually get rid of the cash rewards but that hasn't happened so far.

It's not a massive issue really, as it just means sloshing a bit more money between accounts, or doing an extra transaction & back again

Actually it is a massive issue for some of us. My income doesn't amount to £2,000 a month so HSBC wont let me switch to them to get the bonus. Annoyingly It does now exceed the £1750 formerly required.

Not really, just withdraw £500 and re deposit it. Job done

They wont let you have the account if you can't show a monthly income of £2000. What part of that do you not understand?

The part I don't understand is why you brought up requirements for an HSBC Advance account and the problems that may cause people on a thread titled;

Club Lloyds Monthly Fee Waiver Minimum Deposit changing to £2,000

Because it was about the throwaway comment by another poster that finding another £500 didn't matter. For some it does.

But not for the Club Lloyds account. You can recycle the same £500, or other amount of your choice, as often as required to make £2,000. There is also no minimum income requirement on this account.

So if it doesn't make any difference, for example you are on the state basic pension (£568), you can just negate it by moving money in, then out, then in, then out, then in, then out and then in again, (all to be done before you pay any bills whatsoever) why are Lloyds doing it? What is their purpose?

I have no idea what Lloyds' purpose is and why they are allowing it but allow they do. That's good enough for me, and should be good enough for everyone else, too,

I think the whole point is that many people will not realise that you can recycle the same money, so will get their salary paid into it each month, and are thus more likely to use it as their main account. The vast majority of people in this position would then end up using Lloyds for easy access savings, mortgages etc so would be profitable.

Moreover trying to police people recycling money would be pretty hard to do. Some savings accounts do not use confirmation of payee, so it would be impossible to tell if the money was coming from you or someone who happens to share the same name as you. Others receive some if not all of their income in cash, so could have an income of £24k/year, but would be depositing it in cash each month. This would allow people to withdraw £2k in cash each month from one bank, then deposit it back into Lloyds if they really wanted to. Moreover you could just send £2k to a friend/family member, who could send it back again. The list goes on. 

I imagine it's just a lot easier and cost efficient to allow people to carry on as they are.

Section62

Deleted_User said:

Band7 said:

Deleted_User said:

But not for the Club Lloyds account. You can recycle the same £500, or other amount of your choice, as often as required to make £2,000. There is also no minimum income requirement on this account.

So if it doesn't make any difference, for example you are on the state basic pension (£568), you can just negate it by moving money in, then out, then in, then out, then in, then out and then in again, (all to be done before you pay any bills whatsoever) why are Lloyds doing it? What is their purpose?

None of us will know for sure, the 'nudge' factor k_man suggested is one possibility, another is someone at Lloyds believes by increasing the threshold, 'x' thousand customers will start paying the £3 monthly fee generating Lloyds additional revenue - no doubt there are some people out there willing to pay £3/month to avoid the "hassle" of paying money in and withdrawing it again.

My income is significantly less than basic state pension.  The only impact this change will have on me is I'll need to increase the amount of a faster payment.

The poster who said "It's not a massive issue really" was spot on. Perhaps Lloyds want people to think otherwise?

[Deleted User]

I don't think its any surprise this account doesn't feature anywhere on best bank accounts section of the main website. It's pretty crap. I have had it (twice) to get £250 in switching bonuses but left both times as soon as the money was received.

Bridlington1

Deleted_User said:

I don't think its any surprise this account doesn't feature anywhere on best bank accounts section of the main website. It's pretty crap. I have had it (twice) to get £250 in switching bonuses but left both times as soon as the money was received.

As far as rewards accounts go it is pretty poor. I'm just in it for the 5.25% regular saver and the £50 0% overdraft (and the switching incentives as you say). I've got Lloyds set up as my nominated account for quite a few savings accounts so I usually have money bouncing through pretty regularly anyway so it just seemed a nice little bonus to get whilst I was at it.

The only thing is that they keep pestering me to try their personal wealth managers every time I log into internet banking. I'm flattered but have neither the income, nor the savings to qualify so don't know what their game is. Is anyone else getting this? It's been ever since I got the Club Lloyds account back in March 2022.

Olinda99

Don't be flattered - a personal wealth manager is just a fancy name for a salesman so they can try and sell you their products

[Deleted User]

Bridlington1 said:

Deleted_User said:

I don't think its any surprise this account doesn't feature anywhere on best bank accounts section of the main website. It's pretty crap. I have had it (twice) to get £250 in switching bonuses but left both times as soon as the money was received.

As far as rewards accounts go it is pretty poor. I'm just in it for the 5.25% regular saver and the £50 0% overdraft (and the switching incentives as you say). I've got Lloyds set up as my nominated account for quite a few savings accounts so I usually have money bouncing through pretty regularly anyway so it just seemed a nice little bonus to get whilst I was at it.

The only thing is that they keep pestering me to try their personal wealth managers every time I log into internet banking. I'm flattered but have neither the income, nor the savings to qualify so don't know what their game is. Is anyone else getting this? It's been ever since I got the Club Lloyds account back in March 2022.

Well like I said, it was just an account I used as part of the switching merry-go-round, currently now with TSB, missed the Co-op refer a friend (annoyingly) but will move on again as soon as I am able. Could have stuck with Lloyds, had I put the maximum £400 a month in the regular saver I would have earned £135 in interest but I got £125 from the TSB with much less effort and hardly any waiting. My permanent (sort of) account is with Barclays where the £4800 you put into Lloyds regular saver will earn £245 in the Rainy day account.. Could have done both I guess but I've stopped regular savers, can't be arsed with the year wait. I'm approaching 67, I could be dead before they mature, one year I will be, that's a certainty.

As for your question, I don't recall being pestered but I only had the account for 5 months. Good luck with everything.

Band7

Deleted_User said:

I don't think its any surprise this account doesn't feature anywhere on best bank accounts section of the main website. It's pretty crap. I have had it (twice) to get £250 in switching bonuses but left both times as soon as the money was received.

It might be "pretty crap" for you but it's a firm favourite with many others. I love the CL account, have held it on and off for many years. It has always provided me with access to good Regular Savers, downgrading and upgrading as might be required/sensible is a doddle, and a switch bonus or two has come in handy, too. Some cinema goers like it, and some also get their free magazine every month. 

A great example for different people having different uses for, and opinions about, different accounts.

Zanderman

Bridlington1 said:

The only thing is that they keep pestering me to try their personal wealth managers every time I log into internet banking. I'm flattered but have neither the income, nor the savings to qualify so don't know what their game is. Is anyone else getting this? It's been ever since I got the Club Lloyds account back in March 2022.

We've had (Mrs Z-man and myself) Lloyds Club Accounts for years, never been pestered like you describe.  Maybe you should review your marketing preference settings?

As for all the stuff on here about whether the accounts are worth having we just use them now for the perks - mag subscription and films.  Haven't used them for getting interest for years as the rates have been so poor. And we don't use the Reg Savers either. We just pay in, and out, the 1500, to get the perk, and we'll be adding another 500 in and out soon to match the new 2000 requirement.