Credit, Collections & Insolvency News
Tesco Bank has announced that all Tesco Bank Personal Current Accounts will close from Tuesday 30th November 2021.
Tesco Bank’s Current Account was closed to new business in December 2019 and will now also close for existing customers.
Tesco Bank will write to Current Account customers to inform them of the closure of their account and to explain the options available to them. Customers will receive their letter in the next two weeks.
The Tesco Bank Current Account was launched in 2014 with around 213,000 accounts currently open. It is estimated that only 12% of Tesco Bank Current Accounts are being used by customers as their primary current account. Most accounts have limited activity or are being used for other purposes, such as a savings pot.
Tesco Bank will provide customers with any support needed during the process of closing or switching their account by the 30th November deadline. Customers can use the Current Account Switch Service at www.currentaccountswitch.co.uk to switch their banking to another current account provider. This is a guaranteed free service and the switch can be done within seven days.
Tesco Bank serves over 5 million customers across a range of banking and insurance products. The closure of the Current Account supports Tesco Bank’s strategy of focusing on products and services that best meet the needs of Tesco shoppers, helping them to manage their money a little better every day.
Gerry Mallon, Chief Executive, Tesco Bank, said “The way customers shop and manage their money is constantly evolving and we are committed to developing products and services which align with the needs of Tesco shoppers.”
“With so few of our Current Account customers using it as their primary account we want to support them to find a suitable alternative dependent on their circumstances. We will pay particular attention to supporting any vulnerable customers and those in need of financial assistance.”
“Customers who have been using our Current Account as a savings pot may be better suited to one of our tailored savings products. And shoppers who are looking for a payment option which allows them to continue collecting Clubcard points in and out of Tesco may want to consider Tesco Clubcard Pay or a Tesco Bank credit card.”
