Halifax has warned customers and bank account holders over a “penalty” that applies to one of its accounts.The bank told a customer they would have to visit a branch to close the account in the wake of the Christmas and the New Year season.
A customer got in touch with the bank as they had opened a Fixed Saver account, which is currently paying 3.75 per cent for a one-year term Once you have launched the account, you have to deposit £500 or more within 10 days of opening it. You can make as many deposits as you want during the 10 days.
The customer wrote: “Can I close it online via the app? Only just opened it, it’s the wrong one I’ve opened and put some money in it.” The bank said in response: “This would need to be closed in branch as early closure would mean you would pay an interest penalty.”
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The saver was alarmed to be told they may have to pay a penalty, saying: “What is that? I’ve only put [in] £400. How much would I have to pay? It’s a error accidently made opening wrong account up, why do I need to pay a penalty?”
Halifax then issued a clarification over the initial tweet from the customer service. In it, the financial provider told the customer: “Apologies for any confusion. There is a cancellation period of 14 days. Customers are entitled to change their mind without financial loss, so any early closure loss of interest will need to be refunded to customer.”
The saver spoke out again and asked if they could close the account online as their nearest branch is “a long way away”. Halifax replied and then said in response: “A fixed account would need to be closed at a branch please.”