-
Thanks Nigel. The branch will close on the 14th November so I’ll be sure to raise the Consumer Duty principles with the bank.
Like many of you I don’t hold out much hope of success but if that transpires to be the case I’ll bite the bullet and move the money elsewhere.
If the branch closes on 14 November where will you have to travel to to close the account at a later date?
I think I’d be taking the money out ASAP. Why let Virgin Money have the continued use of your 6 figure sum when they make it difficult for you to withdraw it?
Why don’t you open a GIA and invest the money in the stockmarket? It’s likely to make more in the long term which is what you’re after. And open a stocks and shares Junior ISA account for each child and transfer the maximum £9k into each JISA each year. The only caveat with a JISA is that no-one can access the money until they are 18.
I think the GIA (drip-feed into the ISA) is probably the route we will end up going down. Obviously some more risk involved here though than a guaranteed BoE base-rate +1% which is why up until this point I was content to use this option. Though Peter’s suggestion of withdrawing some of the cash and leaving the remainder invested also has some merit.
Re: bank closure dates, a central London branch closes a couple of weeks later, but after that it would require a trip up to the Midlands.
“If for example that required a biannual trip to Newcastle, that to me feels somewhat of an inconvenience to access their own money, even if several of you feel like it’s acceptable. ”
I don’t think it is acceptable, but I think you have summed it up well “it is somewhat of an inconvenience”. You have to weigh up the benefit of keeping the better rate of interest, with the new somewhat inconvenience of access to the money.
Given what’s happened to bank branches over the last decade in terms of closing, I’m guessing many thousands have found themselves in a similar or worse position.
Is the issue that you need to dip in to the account regularly or just that you want it to be local when the time comes and the funds are needed?
I don’t think Virgin Money could refuse a closure request if you made one in writing, enclosing the passbook if there is one, and an instruction to return the balance upon closure by cheque. Of course, you would no longer have the account if you did that, but it’s an option to keep the account alive if this is a lump sum that you expect to stay put for a long time.
Also worth bearing in mind the law of unintended consequences. Say you were successful, and Virgin Money were forced to change the terms of the account to allow distance access – do you not think, while they’re at it, they might also alter the terms such that the interest rate is no longer as beneficial as it currently is?
Mad to think there won’t be a branch in London.
Is the issue that you need to dip in to the account regularly or just that you want it to be local when the time comes and the funds are needed?
I don’t think Virgin Money could refuse a closure request if you made one in writing, enclosing the passbook if there is one, and an instruction to return the balance upon closure by cheque. Of course, you would no longer have the account if you did that, but it’s an option to keep the account alive if this is a lump sum that you expect to stay put for a long time.
Also worth bearing in mind the law of unintended consequences. Say you were successful, and Virgin Money were forced to change the terms of the account to allow distance access – do you not think, while they’re at it, they might also alter the terms such that the interest rate is no longer as beneficial as it currently is?
Mad to think there won’t be a branch in London.
I suspect, within a year or so the only branch will be in Glasgow.
- You must be logged in to reply to this topic.
Popular articles this week:
