Halifax/Lloyds closing my account in 60 Days!! Extremely worried about CIFAS

Section62

https://forums.moneysavingexpert.com/discussion/comment/81875940#Comment_81875940

Except the banks are free to apply the new rules to old accounts (and some probably will to avoid having two different sets of T&C's for the same account)…

….and if you open a new rules account with a financial provider it means they wouldn't be able to do a "we are closing all your accounts" without following the new rules in relation to those accounts the new rules apply to, so in the OP's case there would be more clarity over what/how/why the reason to close has been made.

Shakin_Steve

https://forums.moneysavingexpert.com/discussion/comment/81875992#Comment_81875992

Providing they chose to implement the new rules retrospectively.

MiwMiwCat

update: I have since spoken to the account review team and they have confirmed that no adverse markers (CIFAS, Nations Hunter & SIRA etc) will not be loaded onto me nor will any other bank know about why it was closed. However they did say it’s an “internal closure” and I won’t be able to bank within the Lloyds banking group.

So essentially I’ve been worrying about nothing, lol.

la531983

Which is what we told you days ago.

HillStreetBlues

https://forums.moneysavingexpert.com/discussion/comment/81875857#Comment_81875857

The same day those Regs come in they are changing the 2 months to minimum of 30 days.

eskbanker

https://forums.moneysavingexpert.com/discussion/comment/81877904#Comment_81877904

I can't understand what they're doing there - s51(4) of the current regulations include:

(4) The payment service provider may terminate a framework contract concluded for an indefinite period by giving at least two months' notice, if the contract so provides

and the new regulations mandate a longer period for post-April accounts but continuing with exactly the same minimum as before for earlier ones:

51A.—(1) The payment service provider may terminate a framework contract concluded for an indefinite period and entered into before 28th April 2026 by giving at least two months’ notice, if the contract so provides

All of the coverage about the new regulations talks of increasing the minimum notice period for termination from two to three months, so I can't see how Halifax believes they have the right to reduce it (Lloyds and presumably BoS have said the same)….

P.S. Like the name edit in the image!

Section62

https://forums.moneysavingexpert.com/discussion/comment/81877946#Comment_81877946

The agreement referred to in the letter is the online banking agreement (only) - so they could pull the plug on your online banking access with 30 days' notice, but this doesn't necessarily mean they will close the accounts you are using the online banking system to access.

eskbanker

https://forums.moneysavingexpert.com/discussion/comment/81877952#Comment_81877952

Ah yes, good spot! Not helpful that they choose to make (and publish) updates to their online banking agreement that just happen to coincide with the date of the regulatory changes affecting the accounts themselves, although maybe the two are actually interdependent in some way(s)?

Section62

https://forums.moneysavingexpert.com/discussion/comment/81877956#Comment_81877956

Speculation, but perhaps as the main banking T&Cs will need to be updated (for new accounts) they plan to update the T&Cs for all accounts on the same date, and the online banking T&Cs amendment is being done at the same time to bring everything into line.

A cynic might wonder if reducing the notice period for terminating the online banking agreement is something of a backdoor way of offsetting the increased notice period for (and difficulty of) closing current accounts. Removing online/app access to a current account would - for many people - make it all but useless to them. The script could be updated to 'Yes, you can use your account for now but we are sorry we can't let you access it online - you are free to close your account now if you wish.'

eskbanker

https://forums.moneysavingexpert.com/discussion/comment/81878121#Comment_81878121

Cynical indeed - I can't imagine the FCA accepting that sort of stunt, in the context of treating customers fairly, etc, as it would (or at least should) be seen as a blatant attempt to circumvent the regulations!