Still waiting on Interest Rate decision?? Come on Tesco's show customers a bit of loyalty!

  • DavidPye's Avatar
    Hi asked the question below a month ago and really feel Tesco's should inform its customers of its decision so we can all make sensible decisions on whether to stay loyal to Tesco's or move on! Hi, it will help in planning investments to understand how the guarenteed "until 1st April 2019" interest rate of 3% will change on all current accounts up to £3000 per account after 1st April 2019 for accounts opened in 2017. Nationwide inform their customers several months in advance of changes to their incentive rates, do Tesco's Bank anticipate offering the same support to their customers to let them know if there will be a change to the current account variable rate after 1st April 2019 now or are they planning to attempt to keep customers from switching accounts to better rates by keeping the 3% incentive? Your help on this would be appreciated, thanks, David.
  • 6 Replies

  • JOEL's Avatar
    Former Your Community Expert
    We have no further information to provide at this time but I would like to clarify that as per our Current Account Terms & Conditions, we will give at least 60 days’ notice of any changes to the credit interest rate or points allocation to allow customers to make an informed decision. We will notify customers of any changes by letter or email.
  • DavidPye's Avatar
    Thanks for taking the time in replying Joel. It would be nice for you to confirm that the 3% interest rate will apply to all current accounts held with Tesco Bank since 2017 as your reply doesn't actually confirm that the offers taken up by customers for 3% interest on balances up to £3000 will hold; as the terms we signed up to justs stated interest rate guarenteed until 1st April 2019. Are you saying all accounts will still continue to recieve the 3% until account holders recieve thgis 60 days notice letter irresepctive of T&C's stated at the time the accounts where opened? I just neeed this point clarifying, thanks.
  • JOEL's Avatar
    Former Your Community Expert
    Accounts opened prior to April 2017 and after April 2017 have differing conditions on how the interest is earned, but the rate will remain at the existing 3% for all current account customers until the 60 day notice is issued and this notification period has passed. I will confirm that we won’t simply remove the rate on the 1st April 2019. I hope that makes things a little clearer.



    The difference in the conditions of current accounts opened before and after the above date is confirmed here: https://www.tescobank.com/current-ac...and-conditions.
  • DavidPye's Avatar
    Hi Joel, thanks for the clarification. I do though still feel a large company like Tesco's has already made decisions on this so it should be willing to share its plans with its customers for a longer term view than 60 days notice. However, I do appreciate your time in confirming where we are now. Kind regards, David.
  • DavidPye's Avatar
    Hi Joel, looks like I will be moving my accounts from Tesco's after they have announced (no letter!! or cutomer first approach, just a big headline in the papers!!!) that they are cutting the rates to a measily 1% from June 14th. I am not sure if Tesco's have thought this through as most people who hold a balance of £3000 in each of their Tesco's accounts will now move to those offering 5% (TSB) or RSB (1.5%) etc. Customer Loyalty has not been rewarded in my opinion!! Bye Tesco's......
  • CarolineM's Avatar
    Former Your Community Expert
    I'm sorry to hear that, . We have sent out letter regarding this, I'm sorry if it hasn't reached you yet. You can also find out some more information by following the link I have shared below. Apologies these changes haven't been suitable for you, hopefully we'll be able to offer something more favourable in the future - Caroline



    https://yourcommunity.tescobank.com/...m-p/24893#M509