Lloyds moves customers to new TSB bank

18 June 2013

Lloyds has moved to reassure customers after moving many of them to a new bank that will bear the TSB moniker.

TSB merged with Lloyds in 1995 and nearly 5 million Lloyds customers are likely to be offloaded to the newly formed TSB branches by September. More than 600 branches are being transferred to the new bank after the collapse of the deal that would have seen them move to the Co-operative group.

The Co-operative, which is currently trying to plug a gap in its capital, pulled out, citing economic reasons.

As a result of this change, customers that hold a current account managed by a branch that is set to transfer to TSB will be transferred automatically to the new bank, along with all their savings accounts, mortgages and credit cards.

Lloyds has said private banking customers were not affected and would stay with Lloyds. These customers have had their accounts transferred to branches that are not moving to TSB.

Individual customers who do not wish to become TSB customers will need to close their existing account and open a new one in one of the retained branches.

By Tony Aynsley

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