Halifax to vanish?

MDMD

https://forums.moneysavingexpert.com/discussion/comment/82003694#Comment_82003694

The GB News article says

“Customers who hold accounts with both Halifax and Lloyds will continue to benefit from separate Financial Services Compensation Scheme protection limits due to the group's corporate structure.”

The only way I can see this would work is if rather than BOS using Halifax as a trading name as they do now, they changed it so BOS trades as Lloyds

King_Of_Fools

https://forums.moneysavingexpert.com/discussion/comment/82003694#Comment_82003694

Going by what the article says, in the short term nothing will change. Halifax customers will continue to be served by the BoS licence.

However, even if they do not actively move people to Lloyds in the longer-term, it will happen passively. If you open a new savings account, for example, it will be under the Lloyds banking licence. All they have to do is lower the interest rates on old Halifax savings accounts and most people will move.

GTR_King

Existing customer will be transferred over gradually with accounts moving to Lloyds etc!

I might move my Halifax account to another bank I have not used yet or close it!

jackjones01

https://forums.moneysavingexpert.com/discussion/comment/82003692#Comment_82003692

I suspect this is why it’s on the cards. It would save them a fortune 👍

jackjones01

https://forums.moneysavingexpert.com/discussion/comment/82003643#Comment_82003643

I have a Halifax account and live in Scotland, I’d rather have a BOS account than Lloyds

info_maniac

OH was planning to open Lloyds and Halifax 2 year fixed ISAs at 4.5% (to maximise the cashback on offer):

https://www.halifax.co.uk/isas/cash-isas/isa-transfer-offer.html

https://www.lloydsbank.com/isas/cash-isas/cash-isa-offer.html

Good idea or abandon the plan?

wmb194

https://forums.moneysavingexpert.com/discussion/comment/82003692#Comment_82003692

This is already happening - it happened in my town last year: Halifax closed and Lloyds remains - and Halifax customers are now able to use Lloyds branches.

King_Of_Fools

https://forums.moneysavingexpert.com/discussion/comment/82003720#Comment_82003720

Short term nothing will change (except perhaps the logo on the app).

I doubt anything would change within 2 years, either. But even if they did propose to move the Halifax account under the Lloyds banking licence, they have to give you the ability to move you money elsewhere penalty free.

King_Of_Fools

https://forums.moneysavingexpert.com/discussion/comment/82003716#Comment_82003716

Well technically you already do have a BoS account, Halifax customers have been able to use BoS branches ever since the Halifax banking licence was moved under BoS in 2007.

It sounds like the only plan at the moment is to change the trading name from Halifax to Lloyds - it will still legally be a BoS account.

GTR_King

I agree with that!

Products like Mortgages fixed savings etc will stay under Halifax brand till your fixed term ends!

Current accounts credit cards will gradually move over with logos changing on statements & letters & products in the app!

Will take time!

Wonder how many people will leave with this change!