Halifax closed my accounts. Do I still get my fixed interest?

paulk77

Hello

My wife and I have banked with Halifax for over a decade.  No major complaints (though we have the usual small ones).

Last week, they texted my wife to advise that they've decided to close all her accounts in two months time and that they have removed her online access with immediate effect.

We called them for an explanation and were directed to the Account Review Department, which confirmed that the decision had been made to close the accounts, and they were under no obligation to tell us why.  They told us to go into a branch and transfer all the funds elsewhere.

All our savings are in one of these accounts, a fixed interest 1-year bond, which I believe is all paid at the end of the term.  That 1-year period expires next month, prior to the end of the two-month notice period luckily.  I'm hopeful that if we wait until after that date to move the funds out, we'll still receive the interest we are due.

In such a case, does anybody know whether the bank is still required to pay the interest?  I assume that if we meet our end of the bargain (i.e. leave the money in the account for 1 year) the bank is still obliged to pay this interest, despite the fact that they have shown us the door and are waiting for us to use it.

Has anybody been in a similar situation before?

Incidentally, I think I know the reason they closed it.  My wife has some crypto assets which she has been selling recently to pay for some extra expenses we've incurred recently.  The funds from those sales have been arriving into her Lloyds account.  Both Lloyds and Halifax sent us closure messages on the same day.

Hoenir

paulk77 said:

Incidentally, I think I know the reason they closed it.  My wife has some crypto assets which she has been selling recently to pay for some extra expenses we've incurred recently.  The funds from those sales have been arriving into her Lloyds account.  Both Lloyds and Halifax sent us closure messages on the same day.

As part of the same banking group they communicate with each other. The crypto is most likely the final trigger. Banks don't want the regulatory hassle of the dilgence required. 

You'll receive interest up to the date of closure. 

paulk77

Thanks Hoenir.  That's what I suspected.  We actually tried to keep the crypto funds in Lloyds and away from our savings in Halifax for just that reason, but forgot they were part of the same group!

Anyway, great to hear that we should still receive our interest.

Cheers!