Nationwide buy out of Virgin Money - query Fairer Share payment

WillPS

https://forums.moneysavingexpert.com/discussion/comment/81908773#Comment_81908773

I doubt that'd be the spin the tabloids would go for.

Remember this is all about generating good publicity for Nationwide, it's a giant marketing exercise rather than something anyone has any right to!

friolento

https://forums.moneysavingexpert.com/discussion/comment/81909018#Comment_81909018

It's essentially the same words. No promise of anything, not even to longstanding Nationwide members - and we know from the many posts in this Forum that some longstanding Nationwide members were unhappy that they weren't eligible for previous payments.

It's really pointless to speculate what the terms for any 2026 Fairer Share payment might be. The only sure thing we know at this stage is that the tentative date certain Virgin account holders will become Nationwide members is April 2 2026 (plus some other changes which are all mentioned in the official Q&A)

Exodi

WillPS

Big ole numbered bullet here: https://uk.virginmoney.com/nationwide-membership/

I think we have a different interpretation of that.

I don't draw from that they're teasing the possibility of making a fairer share payment this year, moreso the future possibility. I think it would be more weird to pay a portion of last years member profits to people that technically only joined the month before.

WillPS

to make a big point of it as a virtue of membership would be odd if they intend to exclude them.

Again, I think we have a different interpretation. They are not excluding them, many might not have met eligibility criteria to get a payment this year, but likewise there will be some that have. If they met the eligibility criteria in future years, they would be entitled to receive the fairer share payment. There is no exclusion.

WillPS

Remember this is all about generating good publicity for Nationwide, it's a giant marketing exercise rather than something anyone has any right to!

I can see you're quite pessimistic about Nationwide, though I will agree with you somewhat on this point.

I can understand it is a one-off but it makes little sense as a regular feature of being a member. Logically if they have a surplus of profits, they should be reducing their lending rates, and/or increasing their savings rates. As you say, it feels like a marketing strategy.

MeadowsVale

Had the email the other day about Virgin Money being absorbed into Nationwide next month. I have a credit card with VM which I've had for many years and it's a shame credit card holders won't get any fair share payment, especially as CC holders would have given VM some value I would assumed. I have no other relationship with VM or Nationwide.

Anyway, I'm thinking of closing my VM credit card as they refused my recent request for a limit increase even though all the compare sites say I'm 100% eligible for another VM credit card including the airline rewards cards.

Ergates

https://forums.moneysavingexpert.com/discussion/comment/81909118#Comment_81909118

The Building Society Act determines who is and isn't eligible for membership - and unsecured lending (including credit card) does not confer eligibility. It has nothing to do with what value you have or haven't given to Virgin or Nationwide.

Nationwide (I believe) only offers credit cards to people who already have another product with them, so this scenario does not arise with them.

WillPS

I think it would be more weird to pay a portion of last years member profits to people that technically only joined the month before.

Members who joined in the first 3 months of the year every previous before every previous bonus have been eligible. You could open a Nationwide account today, switch completing on the last working day of the month and so long as you also open and deposit £100 in a savings account that'd be bonus paid (presuming previous terms remain).

Not that weird.

Again, I think we have a different interpretation. They are not excluding them, many might not have met eligibility criteria to get a payment this year, but likewise there will be some that have. If they met the eligibility criteria in future years, they would be entitled to receive the fairer share payment. There is no exclusion.

It's still a point they made which they didn't need to make though. Who's to say there even will be a fairer share payment in 2027 or beyond? Presumably Nationwide have an idea that they might, but anything could crack off by then.

If they weren't going to be eligible, which surely they would know by now - I think it'd be far wiser of them to be clear about that when setting expectations.

I can see you're quite pessimistic about Nationwide

Not at all! They're among the most generous with current account bonuses at the moment… anyone handing me and my family hundreds of pounds is absolutely in my good books.

I support Nationwide and building societies in general.

WillPS

https://forums.moneysavingexpert.com/discussion/comment/81909041#Comment_81909041

It's a marketing exercise, designed to generate endless column inches of the 'good news story' variety. I suspect when they need to stop making the payments they'll be quite careful to make sure there is no further expectation, otherwise they'd generate column inches of a different variety!