A MAJOR high street bank with 27million customers is making a big change to fees.
Lloyds Bank is rolling out a shake-up to its Club Lloyds package bank account from today, after The Sun exclusively revealed the changes.
Club Lloyds is a type of current account that provides extra benefits compared to their standard account.
It runs like a typical account, allowing direct debits, standing orders, and other standard banking operations.
However, it also offers a range of lifestyle benefits such as a Disney plus subscription, cashback rewards, and access to linked savings accounts with preferential interest rates.
But Lloyds is rolling out several perks for Club customers from today.
Club Lloyds customers will no longer pay foreign currency or cash withdrawal fees when using their debit cards abroad.
Lloyds Bank will increase the interest-free allowance on Club Lloyds arranged overdrafts from today.
These services are already available for Club Lloyds Silver and Club Lloyds Platinum current accounts.
An overdraft enables you to borrow money through your current account if you run out of cash.
Typically, there’s a fee for going overdrawn, which increases the more you borrow.
However, some banks, including Lloyds, provide interest-free buffers, meaning no interest is charged until your borrowing exceeds a certain threshold.
[bc_video account_id=”5067014667001″ application_id=”” aspect_ratio=”16:9″ autoplay=”” caption=”Inside the hubs restoring high street banking and reversing the tide of mass branch closures” embed=”in-page” experience_id=”” height=”100%” language_detection=”” max_height=”360px” max_width=”640px” min_width=”0px” mute=”” padding_top=”56%” picture_in_picture=”” player_id=”default” playlist_id=”” playsinline=”” sizing=”responsive” video_id=”6362065016112″ video_ids=”” width=”640px”]Also, from today, Lloyds is raising this threshold, so you won’t be charged daily interest on the first £100 you borrow – up from the current £50 limit.
That’s not all – there are more changes afoot for Club Lloyds customers.
Currently, they’re charged a £3 monthly fee, but this is waived if you deposit £2,000 or more into the account.
By June 2, this will be hiked to £5 for users of the service.
[authenticated-scripts src=”%3Cscript%20class%3D%22palin-poll%22%20src%3D%22https%3A%2F%2Fwww.thesun.co.uk%2Fpollingwidgets%2Fv3%2Fwidget.js%3Fquestion_id%3D112359%26game%3Dpolling%22%3E%3C%2Fscript%3E” type=”embedded” width=”100″ /]That means customers could end up paying an extra £24 a year if they do not meet the £2,000 threshold.
This change will also affect customers with Club Lloyds Silver and Club Lloyds Platinum current accounts, as they are charged the standard Club Lloyds monthly fee in addition to their respective account fees of £11.50 per month for Silver and £22.50 per month for Platinum.
OTHER BANK CHANGES
Lloyds is not the only lender to announce changes.
The Sun revealed Co-op banking customers were subject to a number of “minor tweaks” .
This includes getting money back if they have been the victim of fraud.
Co-op customers could also see their account shut down immdiealty if the bank thinks you are at risk of going bankrupt.
Elsewhere, The Sun has also revealed that HSBC is shakng up its mobile banking app for the first time since 2012.
Come May, Nationwide also plans to make some changes for its current account and FlexDirect users.
That includes lowering the fee for sending large amounts of money to someone in the UK through CHAPS.
CHAPS stands for Clearing House Automated Payment System and it is used by customers who need to send money between banks in the UK.
Nationwide currently charges customers £20 to send large amounts of money between UK bank accounts but it said from May it will lower this to £15.