Tesco Bank emailed me saying they are Migrating to Barclays

GeoffTF

wmb194 said:

Initially for 10 years. Coca-Cola owns the Costa brand whilst Barclays would probably have to pay Tesco fees to use its brand so long term it'll depend on how the Tesco branded accounts and cards fare.

The link in that post is dead, but Google found the page for me. It says: "Under the terms of the strategic partnership with Tesco for Barclays UK to market and distribute credit cards, unsecured personal loans and deposits using the Tesco brand, Barclays UK expects to pay Tesco royalty, new account and Clubcard participation fees of approximately £50 million per annum in total."

It also says: "The business being acquired includes approximately 2,800 employees, encompasses technology and operational infrastructure and made an adjusted operating profit of approximately £85 million in the 12 months ended February 2023. Barclays UK’s intention is to integrate the business into its operational infrastructure over time."

It remains an open question what will happen to Tesco Clubcard Pay+ over time, but it is a convenient small payments and backup account for me at the present time.

bery_451

Hi coming back here, has the migration been completed yet in November?

After Barclays have taken over then does anyone know whether Direct Debits will be supported with the Tesco Clubcard Pay+?

eskbanker

bery_451 said:

Hi coming back here, has the migration been completed yet in November?

After Barclays have taken over then does anyone know whether Direct Debits will be supported with the Tesco Clubcard Pay+?

The sale transaction completed as planned on 1 November.  No changes to product features....

Fingerbobs

eskbanker said:

bery_451 said:

Hi coming back here, has the migration been completed yet in November?

After Barclays have taken over then does anyone know whether Direct Debits will be supported with the Tesco Clubcard Pay+?

The sale transaction completed as planned on 1 November.  No changes to product features....

Their first act in my case was to cut my credit limit from over 8k to under 1k. 
Mind you, I haven't used the card for over a year. 

aurion22

I objected to the sale to Barclays and have now made an official complaint to Tesco Bank. I do not want to bank with Barclays but, because I took out a Fixed Rate Savings account, Tesco Bank will not return my money until it matures in 2026!
I just want my money back.
:-(

eskbanker

aurion22 said:

I objected to the sale to Barclays and have now made an official complaint to Tesco Bank. I do not want to bank with Barclays but, because I took out a Fixed Rate Savings account, Tesco Bank will not return my money until it matures in 2026!
I just want my money back.
:-(

What makes you believe that a corporate acquisition entitles you to break the terms of a fixed term product?

WillPS

eskbanker said:

aurion22 said:

I objected to the sale to Barclays and have now made an official complaint to Tesco Bank. I do not want to bank with Barclays but, because I took out a Fixed Rate Savings account, Tesco Bank will not return my money until it matures in 2026!
I just want my money back.
:-(

What makes you believe that a corporate acquisition entitles you to break the terms of a fixed term product?

It's an interesting question. If the Co-op Bank was taken over not by a building society but by, say JPMorgan Chase (who have a pretty terrible record "ethics"-wise, if you buy in to that), and a customer had taken a long-term fix with them because of their strong ethics record; would said customer have a valid case that the proposition they bought in to has been compromised by the transaction?

I suspect the answer is probably morally yes but legally no.

Of course this isn't exactly the situation described here (Tesco are hardly a particularly "ethical" company) but it's an interesting scenario.

Hoenir

aurion22 said:

I objected to the sale to Barclays and have now made an official complaint to Tesco Bank. I do not want to bank with Barclays but, because I took out a Fixed Rate Savings account, Tesco Bank will not return my money until it matures in 2026!
I just want my money back.
:-(

Complaining unfortunately won't achieve anything other than wasting people's time. You are tied to the contract that you entered into in making the deposit. 

eskbanker

WillPS said:

eskbanker said:

aurion22 said:

I objected to the sale to Barclays and have now made an official complaint to Tesco Bank. I do not want to bank with Barclays but, because I took out a Fixed Rate Savings account, Tesco Bank will not return my money until it matures in 2026!
I just want my money back.
:-(

What makes you believe that a corporate acquisition entitles you to break the terms of a fixed term product?

It's an interesting question. If the Co-op Bank was taken over not by a building society but by, say JPMorgan Chase (who have a pretty terrible record "ethics"-wise, if you buy in to that), and a customer had taken a long-term fix with them because of their strong ethics record; would said customer have a valid case that the proposition they bought in to has been compromised by the transaction?

I suspect the answer is probably morally yes but legally no.

Of course this isn't exactly the situation described here (Tesco are hardly a particularly "ethical" company) but it's an interesting scenario.

Not convinced that 'buying into a proposition' is really a tenable argument, but as you accept, it's academic here!

Not sure what, if anything, Barclays and Tesco have done for those customers who now hold more than £85K in the combined body, as this would be a valid reason to seek some sort of response IMHO....

Section62

eskbanker said:

aurion22 said:

I objected to the sale to Barclays and have now made an official complaint to Tesco Bank. I do not want to bank with Barclays but, because I took out a Fixed Rate Savings account, Tesco Bank will not return my money until it matures in 2026!
I just want my money back.
:-(

What makes you believe that a corporate acquisition entitles you to break the terms of a fixed term product?

The flip side to that question might be what happens if someone (which certainly includes some regulars on this forum) has a lifetime ban from one of the banks which takes over (and fully absorbs) another bank with which that someone had a particularly favourable product (not necessarily fixed-term).

Could the bank (legally) offload that customer because they don't want to do business with them?  (I'm guessing 'yes')