smile - no longer taking new applications

WillPS

https://forums.moneysavingexpert.com/discussion/comment/81890151#Comment_81890151

Do they offer an explanation as to why Nationwide and Cumberland, both building societies whose primary lending activity is naturally mortgage lending, score so low?

Seems like they've set some rather arbitrary scoring hurdles if mutual organisations which exist entirely for the benefit of their members score lower than a for-profit publicly traded bank.

confederated

https://forums.moneysavingexpert.com/discussion/comment/81890617#Comment_81890617

Yes, I thought I’d explained that. Several banks have no investment in industries considered unethical, like fossil fuels , but that’s it - so a new fintech, for example, gets points just for not getting its hands dirty. Triodos does better because it goes further and actively invests in ethical concerns and lends money only to businesses which are considered ethical. That’s a good few extra steps. Ethical Consumer says that Triodos 'isn’t involved in any controversial sectors, doesn’t pay any director over £1m, has a positive approach to pay ratios and is considered to be providing a social and environmental alternative to mainstream banking through its sustainable lending and investing'. Ethical Consumer also looks at bank activities in off-shore tax havens. Nationwide lost a few points after the purchase of Virgin Money which has a subsidiary in Jersey. It also loses points for paying its CEO over £7m. A carbon-neutral operation is good, but if it is achieved by carbon offsetting points are deducted.

smokindragon

We've had a smile current account for ages — by far the oldest we have. But have only kept it because it's a "smilemore" account which is a good deal for RAC membership and mobile insurance. Co-Operative stopped issuing new Smilemore acccounts years ago, but maintained existing ones. Does anybody know whether Coventry will maintain the Smilemore services?

Thanks

Stuart_W

As things currently stand, there are no plans to change any existing services due to the merger, it's continuing to be business as usual. They have recently reduced the price of Co-op packaged accounts and are promoting them so if it's mainly the RAC membership and mobile insurance, you might want to consider moving to Everyday Extra (co-op can internally manage smile to co-op transfers, I've gone both ways in my time!) to only pay £12 a month. Smilemore does have additional benefit such as the airport passes or optional gadget insurance. I don't think smilemore is likely to be going anywhere for the time being. They've also kept Privilege Premier for existing customers, which is a bit like smilemore and hasn't been available to new customers for many many years, so I think you're likely to be fairly safe. Packaged accounts are generally profitable so I can't see you getting the boot anytime soon! Complete conjecture of course on my part.