Incentivised business banking switching scheme
Discussion
Natwest, current bank for one of the companies, has sent a letter about the incentivised switching scheme
So I had a look
Apparently, if the company moves its business account from Natwest to Clydesdale, it will get £4,200 cashback and 25 months free day to day banking
Which almost falls into the too good to be true bucket doesn't it?
So I had a look
Apparently, if the company moves its business account from Natwest to Clydesdale, it will get £4,200 cashback and 25 months free day to day banking
Which almost falls into the too good to be true bucket doesn't it?
It's related to the banking crash in 2007 and the bail out of RBS which breached European State Aid restrictions.
First they tried to sell a load of accounts - eventually Santander were the buyer, but the sale collaped.
Then they tried to put some accounts into a new bank, resuscitating Williams & Glynn but that idea fell flat due to concerns over the business environment with Brexit.
The EU sold into the current plan, which was to try and focus on initiatives to improve competition in the business banking world.
See proposed revival of brand on this page - https://en.wikipedia.org/wiki/Williams_%26_Glyn%27...
First they tried to sell a load of accounts - eventually Santander were the buyer, but the sale collaped.
Then they tried to put some accounts into a new bank, resuscitating Williams & Glynn but that idea fell flat due to concerns over the business environment with Brexit.
The EU sold into the current plan, which was to try and focus on initiatives to improve competition in the business banking world.
See proposed revival of brand on this page - https://en.wikipedia.org/wiki/Williams_%26_Glyn%27...
OK, so there are some conditions to getting the free money. Nothing onerous, but there is a degree of vagueness about the timing & the VAT treatment that really should have been cleared up before putting the scheme out there imo
"We will only make an incentive payment to you once we have received funds from BCR, and until we receive funds from BCR, we have no obligation to pay an incentive to you. This means that there will be a period between when you complete your switch and when you receive your incentive. We expect that your incentive will be paid to you within four months of you completing your switch. If the total value of your incentive is £6,250 or over, you will receive your payment in two equal instalments. We expect that the first instalment will be paid within four months of switching, and the second instalment will be paid 12 months after the first payment. Please note exact timescales are dependent on our receipt of the funds from BCR. "
"All incentive payments made by the Bank shall be paid without any deduction or withholding of tax unless required by applicable law. If payments received from us under the incentive are deemed or considered by HMRC to be in consideration for a VATable supply, then the incentive payment will be treated as VAT inclusive. You are responsible for the correct tax treatment of any incentive payments that you receive from us as part of the Business Banking Switch."
"We will only make an incentive payment to you once we have received funds from BCR, and until we receive funds from BCR, we have no obligation to pay an incentive to you. This means that there will be a period between when you complete your switch and when you receive your incentive. We expect that your incentive will be paid to you within four months of you completing your switch. If the total value of your incentive is £6,250 or over, you will receive your payment in two equal instalments. We expect that the first instalment will be paid within four months of switching, and the second instalment will be paid 12 months after the first payment. Please note exact timescales are dependent on our receipt of the funds from BCR. "
"All incentive payments made by the Bank shall be paid without any deduction or withholding of tax unless required by applicable law. If payments received from us under the incentive are deemed or considered by HMRC to be in consideration for a VATable supply, then the incentive payment will be treated as VAT inclusive. You are responsible for the correct tax treatment of any incentive payments that you receive from us as part of the Business Banking Switch."
I did it 18 months ago, and apart from Natwest shutting the account the second it transfered to Santander, making it impossible to get statement for reconsile the account it was smooth.
DD and standing orders moved to, then got £3k from them within weeks.
I must have hit a transactions / turnover target or something because I got a further £1k on the year aniversary.
DD and standing orders moved to, then got £3k from them within weeks.
I must have hit a transactions / turnover target or something because I got a further £1k on the year aniversary.
Clydesdale / Yorkshire was the 'highest bidder' in the switching offer. So I went through the rigmarole of filling in the online application form that I was directed to.
A couple of hours later, the account application was declined and the notification of the rejection was accompanied with a note saying we won't tell you why, so don't bother asking.
So that's the end of that.
Seems a strange setup to me.
A couple of hours later, the account application was declined and the notification of the rejection was accompanied with a note saying we won't tell you why, so don't bother asking.
So that's the end of that.
Seems a strange setup to me.
I have also been offered this after a few letters and even phone calls from natwest.
It does sound too good to be true and if it sounds it, it usually is.
Has anyone been through this? i can only assume the whole country thinks its some kind of scam
as everyone on this post seems to be saying the same thing.
It does sound too good to be true and if it sounds it, it usually is.
Has anyone been through this? i can only assume the whole country thinks its some kind of scam
as everyone on this post seems to be saying the same thing. Here is something about the scheme - it is to do with increasing banking competition
https://bcr-ltd.com/iss/
https://bcr-ltd.com/iss/
Gassing Station | Business | Top of Page | What's New | My Stuff