When it comes traditional banking that sets the tone for banking across the world, Lloyds is it. The name is synonymous with financial products. As a whole, the bank experiences the ups and downs felt by the rest of the European banks and the way this is dealt with sets the tone for its operations. The bank offers job opportunities to many across the world and in the different divisions, but how does it compare with others in the industry?
History of Lloyds Bank
When the bank was first founded, it was predominantly for those in the mercantile and manufacturing industries. The founders were John Taylor and Sampson Lloyd, who started up the bank along with their sons. Both founders were in industries far removed from banking and commerce, however, saw the need of a town bank. In 1765, they established the bank in Birmingham.
The bank only had a single office for a century and managed to establish their operations. The bank flourished and expansion was on the cards. Taylors & Lloyds was at the heart of business in this region. In 1852, one of the major events for the bank took place. Taylor decided to remove himself from the bank and not follow in the footsteps of his grandfather. The bank then became known simply as Lloyds & Company.
The bank could no longer merely function as a private bank and converted to a joint-stock company in 1865. This also led to further capital investment in the bank, which was needed for growth. The bank was now run by a board of directors as opposed to three partners.
This move was a great boon for the expansion prospects of the bank. They managed to take over 200 banks in 50 years. 1884 Was a good year for the bank as it managed to take over much of Lombard Street. Some of the takeovers for the bank included Barnetts, Hoares $ Co., Herries, Farquhar & Co., Twinings Bank, and more.
The 20th century allowed the bank to venture into the global arena. This was also the period where the bank relied heavily on women in the workforce, which up until then was still largely unheard of. Furthermore, the accounting system was mechanized for easier flow. It was also during this time when it acquired Capital & Counties Bank, which added a substantial asset boost to the bank.
Lloyds was then known as one of the top five High Street banks. Lloyds Bank didn’t stop there and managed to acquire quite a large portfolio over the next few decades. Overseas branches soon became a reality when the bank decided to venture into countries such as France, Argentina, and Brazil.
In the seventies, technological advancements managed to allow the bank to further increase its footprint. The bank installed its first Cashpoint machine which allowed the cash to be debited from the customer’s account immediately. Further expansions were inevitable and in 1995 the bank was known as the biggest domestic bank in the UK. This was largely due to a merger with TSB and a takeover of Cheltenham & Gloucester Building Society.
Another bank that carries a long and impressive history, is Deutsche Bank.
Access to Lloyds Bank
The online banking facilities allow customers to transact on their accounts anywhere in the world. They also have live support on the website for those who need assistance online. Furthermore, the bank allows customers to open and upgrade their accounts online as well.
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Lloyds Bank is well represented across the UK, with many of the branches based in the main hubs. The bank has recently come under fire for the vast number of branch closures, which affected many of its customers. It also resulted in job losses which have an effect on the economy. Lloyds Bank is confident that 90% of its customers have access to a bank within a 5-mile radius. Furthermore, some branches have extended hours on a Thursday to assist with additional needs.
Lloyds Bank Personal Banking Product Offerings
Lloyds offers a variety of current accounts for customers to choose from. A full review is also available where the details are discussed. Furthermore, it also delves into the merits of the product range while providing readers with the chosen rating. Products customers can look forward to are as follows.
- Club Lloyds – A simple account that offers interest on positive balances.
- Classic Account – Free banking for customers who meet the minimum criteria.
- Platinum Account – A host of insurance options to go along with it.
- Club Lloyds Platinum – Cover and interest on positive balances.
- Student Account – The ideal account for those working on their degree.
- Graduate Account – Superb offering for those who have finished their studies.
- Under 19s Account – A good start to banking for those in their teens.
- Islamic Account – An account in accordance with Shariah Law.
- Club Lloyds Private Banking Current Account – Special perks and a personal banker for the top tier of customers.
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Lloyds Bank Platinum Credit Card
This card is suitable for those who wish to benefit from a long balance transfer offer. Furthermore, the card provides up to 40 months transfer period in which customers will pay a 0% interest fee. The period depends on individual circumstances.
- Customers need to complete the balance transfer within 90 days of account opening.
- Furthermore, the purchase rate offered is 0% for 6 months.
- Also, the APR is variable and competitive once in force.
32 Month Balance Transfer
This account offers a low fee balance transfer option. Furthermore, customers will benefit from competitive interest rates.
- The account provides a 0% balance transfer rate for 32 months. Also, this is open to those who make their balance transfers within 90 days of account opening.
- Customers will benefit from a low balance transfer fee.
- Finally, the card carries a 0% purchase rate offer.
24 Month Purchase and Balance Transfer
Customers who wish to benefit from low rates all round will find this card to be a suitable option.
- The card carries a balance transfer offer of 0% for up to 24 months. Furthermore, this is open to those who make their transfers within 90 days of account opening.
- Customers will benefit from a low balance transfer fee.
- Also, the purchase rate offer is at 0% for up to 24 months.
24 Month Balance Transfer
The ideal account for those who wish to benefit from 0% rates all round.
- This card provides a balance transfer offer of 0% for up to 24 months.
- The balance transfer fee is also at 0%.
- Customers benefit from a purchase rate offer of 0% for 6 months.
Lloyds Bank Avios Rewards Credit Card Account
This card provides customers with the opportunity to earn Avios each time they use this card for certain purchases. Furthermore, these Avios are the perfect travel rewards and include benefits such as hotels, car hire, and great days out.
- The account provides a 0% balance transfer offer for 24 months. Furthermore, this is for those who complete the balance transfer within 90 days of account opening.
- The balance transfer fee is rather steep at 3%.
- The card also offers an attractive purchase rate offer of 0% for 24 months.
Lloyds Bank Choice Rewards Credit Card Account
This card allows customers to earn choice points. Furthermore, customers can redeem these for vouchers, gift cards, cash back, magazine subscriptions, Avios, and more. Also, customers benefit from a cash back on a percentage of the annual fee.
- Customers benefit from a 0% balance transfer for 24 months.
- The account has a high balance transfer fee of 3%.
- Furthermore, customers will benefit from a purchase rate offer of 0% for 24 months.
Platinum Low Rate
This card is the ideal option for those who wish to enjoy their shopping without the high interest price tag. Furthermore, this card doesn’t offer a balance or purchase rate offer.
- The interest rate is determined by individual circumstances.
- Also, customers will enjoy a 0% balance transfer fee should the transfer be done within 90 days.
Student Credit Card
This is the ideal choice for students who wish to have access to a credit card.
- This card doesn’t offer a balance or purchase rate offer.
- Furthermore, customers will pay a balance transfer fee of 3%.
A surprising new player on the credit card front is Ally Bank. Read the review to learn more.
Savings and Investments
Help to Buy ISA
This account provides first-time homebuyers with the opportunity to save towards it tax-free. Furthermore, other benefits include a bonus from the Government’s Help to Buy scheme of up to a certain maximum.
- Customers earn a variable interest rate. Furthermore, this interest is tax-free.
- The account is available to those over the age of 16. Also, it is only open to those saving towards their first home.
- Customers will need their National Insurance number to apply.
- The account allows for unlimited withdrawals. Furthermore, the Help to Buy bonus does not apply to withdrawn funds.
- It also only requires a deposit of anywhere between £1 and £1,000. Furthermore, customers need to fund the account within 21 days.
- Finally, customers are encouraged to view all the benefits and restrictions online before applying.
Cash ISA Saver
Customers who require an instant access Individual Savings Account (ISA) will benefit from this one. Furthermore, the account pays tax-free interest at a variable rate.
- The account can be opened with as little as £1.
- The account is tax-free for the first 12 months. Thereafter, it will revert to an Instant Cash ISA.
- Furthermore, customers have access to unlimited withdrawals. Also, the account is flexible which allows customers to pay the money back into the account when they’ve made a withdrawal. This will not limit the amount they can save in their cash ISA tax-free.
Club Lloyds Saver
An account that provides access to a savings account that allows instant access to money.
- Balances over £1,500 earn higher interest within the first 12 months.
- The account can be opened with as little as £1. Furthermore, customers can make unlimited deposits.
- Also, the interest is payable monthly or annually on the anniversary of the account opening date.
- The account is only available to existing Club Lloyds current account customers.
- Finally, after the first 12 months, the account will automatically change to a Standard Saver.
Club Lloyds Monthly Saver
An opportunity for customers to benefit from the option of saving on a monthly basis. Furthermore, customers will benefit from a very competitive interest rate within the first twelve months of opening.
- The account provides the opportunity to save from £25 to £400 a month by standing order.
- Customers will enjoy a fixed rate. Furthermore, this interest is paid annually on the anniversary of the account opening.
- The account is only accessible to existing Club Lloyds current account customers. Also, each customer can only have one of these accounts in their sole or joint names.
- The account converts to an Easy Saver after 12 months.
- Finally, customers have unlimited withdrawals, however, these withdrawals can’t be replaced.
Fixed Rate Cash ISA – 2 Years
This account provides customers with the means to save and earn a fixed interest rate. Furthermore, the interest is tax-free and customers will have no access to the account within the 2-year period.
- Customers will enjoy a tax-free interest investment with a fixed rate for two years.
- The account allows customers to receive their interest monthly or annually on the anniversary of the account opening.
- Furthermore, customers are required to make a deposit of at least £3,000. Also, customers can transfer their existing ISAs.
- Finally, customers can make withdrawals within the two-year period but will lose 180 days’ tax-free interest. This could eat into the capital.
Junior Cash ISA
An account that provides children with a savings vehicle until they reach the age of 18.
- This account is suitable for those who are able to commit to long-term savings.
- The account can be opened with as little as £1.
- Furthermore, the interest earned on the investment is tax-free.
- ISAs for children have a limit and certain restrictions apply.
- Also, only one Junior Cash ISA can be held for any one child.
- Finally, no withdrawals can be made until the child reaches 18. However, there are certain special circumstances.
This account provides customers with a variable interest rate and instant access to their money.
- The account can be opened with as little as £1.
- Furthermore, customers are able to make as many deposits as they like.
- Also, interest is paid annually on the anniversary of the account opening.
- Finally, after 12 months the account will convert to a Standard Saver.
Customers who wish to put aside some money on a monthly basis will find this account to meet their needs. Furthermore, they will enjoy a fixed interest rate for the first year. Also, the account allows instant access to funds.
- Customers can save between £25 and £250 per month via standing order.
- Also, interest is paid annually on the anniversary of the account opening.
- Customers can have only one Monthly Saver in a sole or joint name.
- Furthermore, this account requires that customers hold a Lloyds Bank account.
- Finally, after 12 months the account will convert to an Easy Saver.
Fixed Bond – 2 Years
Customers will enjoy a fixed interest rate for the 2 years invested. Also, the account doesn’t allow access to the funds within the 2-year term.
- Customers can choose to have their interest paid monthly or annually on the investment anniversary.
- Furthermore, the account requires a minimum opening deposit of £2,000. Also, the deposit needs to be made within 10 days of opening.
- Finally, account closure or withdrawals during the term are only permitted in the event of the death of the account holder.
Online Fixed Bond – 2 Years
An online savings product that provides customers with a 2-year fixed interest rate. Furthermore, the funds are locked in for the full 2 years.
- Customers have the option of having their interest paid annually or on the anniversary of the investment.
- The opening deposit is £2,000. Also, this deposit needs to be made within 10 days of opening.
- Finally, early closures or withdrawals are only permitted in the event of the death of the account holder.
A variable interest account for children under the age of 15. Furthermore, customers have instant access to their money.
- Customers earn a high interest rate on balances up to £20,000.
- The account can be opened with as little as £1. Furthermore, deposits can be made online and in the branch.
- Also, customers will receive their interest quarterly.
- Each child can only have one Young Saver account.
- Finally, the account can be opened online or in the bank, but can only be managed in the bank.
This form of investment allows investors to grow their portfolio without the hassle of paying interest on their returns. Furthermore, customers have the option of low, medium, or high-risk portfolios.
This type of account provides the investor with access to a variety of different funds in the various classes. Also, customers will benefit from low, medium, or high-risk portfolios.
Share Dealing ISA
A flexible and tax-efficient way to invest. Furthermore, there are no capital gains on this investment. Also, returns on these investments fluctuate and aren’t guaranteed.
Share Dealing Account
An account that provides customers with the ability to trade the UK and international shares within minutes.
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Customers who wish to purchase their dream home or simply refinance it will rely on a mortgage loan should they not have enough in their savings. Furthermore, these types of loans usually have a longer repayment period than other types of loans, which make the installments more manageable on a monthly basis.
First Time Buyers
Customers will have a loan that suits their individual needs. Furthermore, they can delve into the finer details such as the interest rate and repayment term. They will also find out how much deposit they need to put down, and also the costs in terms of the attorneys.
Lloyds Bank offers advice and assistance for those who are in the market for a new property. Furthermore, customers will have access to some great mortgage products that provide peace of mind during the big move. Also, customers will know all the details upfront and won’t need to worry about last-minute hassles.
Customers who require a large amount of cash and want the advantage of paying smaller installments will find this option to be ideal. The loan provides customers with access to the equity in the property. Furthermore, the loan can be used for any purpose the customer sees fit, such as renovations, purchase of another asset, holidays, and more.
An impressive mortgage selection is available at Credit Agricole.
Fixed Car Finance
This type of finance provides a structured approach. This is the ideal solution for those who wish to stick to a fixed monthly payment without the hassles of fluctuations. Furthermore, customers will have a fixed rate for the duration of the term. Also, this is a hire purchase plan, which means the car cannot be sold until the last installment is paid.
Flex Car Finance
This is a personal contract purchase agreement with a fixed monthly repayment. Furthermore, customers have the benefit of a fixed interest rate for the duration of the term. Also, customers have the choice to hand it back or keep it at the end of the term.
This type of insurance provides the customer with cover for their homes. There are two parts to the cover. The first is the household content, which is everything in the home. The other is on the structure itself. Furthermore, there are special rates for customers who decide to combine their cover. Customers also need to keep an eye out for additional special offers.
- Home Insurance
- Accidental Damage Cover
- Outbuildings Cover
- Content In Outbuildings and in the Open Cover
- Personal Belongings Away from the Home Cover
- Pedal Cycle Cover
- Students’ Contents Away from Home Cover
- Legal Expenses Cover
- Home Emergency Cover
- Home Insurance Premier
- Unlimited Buildings Insurance, Unlimited Contents Insurance, Unlimited Accidental Damage Cover, and Unlimited Replacement Locks and Keys Cover (no excess)
- Contents in Outbuildings Covered up to a Certain Limit
- Contents out in the Open Covered to a Certain Limit
- Generous Alternative Accommodation Cover Limits
Car insurance that will meet the needs of the customer. Furthermore, this cover includes a guaranteed replacement car cover for the first 12 months. There is also a range of optional extras, such as Motor Legal Protection, RAC Breakdown Cover, No Claims Discount Protection, and Keycare.
My Life Insurance
This product is available to those who are existing Lloyds Bank customers and are registered with Internet Banking. Furthermore, the policy can be taken out by those between the ages of 18 and 59. Also, the policy is for a single life and is not suitable for those who require joint cover. Finally, customers can also choose between level and decreasing cover.
Vans require something a little different than normal car insurance, which is why this policy is a great option. Furthermore, the policy provides peace of mind whether the van is used for business or personal excursions. Also, the insurance offers added extras such as Tools and Van Contents Cover and Motor Legal Protection.
This is no longer offered by Lloyds, however, existing customers are still accommodated.
Mobile Phone Insurance
This is ideal for those who will suffer financial loss should something happen to their phone. Furthermore, the cover extends to loss, damage, theft, and breakdown. Also, this product is for Added Value Account customers.
Different businesses have different needs. Furthermore, businesses require something a little more tailored than the product offerings to individuals. Customers can look forward to a whole host of insurance products, such as:
- Public Liability Insurance
- Tradesman Insurance
- Professional Indemnity Insurance
- Landlord Insurance
- Shop and Salon Insurance
- Working from Home Insurance
- Pub, Restaurant and Café Insurance
- Manufacturers and Wholesalers Insurance
- Office Insurance
- Surgery Insurance
- Commercial Landlord Insurance
- Also Hotel and Guest House Insurance, and
- Vehicle Insurance
Discover what a South African bank has to offer in their insurance category.
Lloyds Bank Startup Banking Product Offering
This division takes care of the businesses who are new to the scene or have turnovers of less than £ 1 million per annum. Furthermore, this division takes care of all the needs associated with businesses in this segment to encourage growth.
This is the ideal account for those who wish to filter their transactions through a single account. The account allows fo deposits and payments. Furthermore, customers will have access to a debit card and internet banking.
- During the first 18 months, customers will enjoy free day-to-day banking, should they meet all the criteria as certain restrictions apply.
- The account provides a simple pricing structure and includes free electronic banking.
- Also, customers enjoy dedicated support from the UK-based business management team.
Loans and Finance
A business loan can help the business meet certain growth and financial objectives. Furthermore, the loans need to be within the affordability for the business.
Base Rate Loan
With this loan, the rate varies with the Bank of England bank rate. Customers can choose a term between 1 to 25 years. Furthermore, the loan amounts are in excess of £1,000. There are no early repayment costs for those who wish to settle the account early. Also, customers can borrow on a secured or unsecured basis. Finally, this type of loan offers capital repayment holidays to qualifying customers.
Fixed Rate Loan
Customers who apply for this loan will have the benefit of paying a fixed rate for their entire term. This allows them to budget effectively. Furthermore, the tenure is anywhere between 1 to 10 years. Loan amounts are between £1,000 and £50,000 and customers don’t pay early repayment costs. Also, the loan can take place on a secured or unsecured basis. Finally, qualifying customers can make use of the capital repayment holidays.
Commercial Fixed Rate Loan
This is a larger loan for customers who require a fixed rate. Furthermore, the rate can be fixed for a period of 1 year to the full term of the loan. These loans run between 1 and 25 years. Also, customers can borrow on a secured or unsecured basis. Finally, qualifying customers can make use of the capital repayment holidays.
This is ideal for those who require running capital throughout the month, as they only receive bulk payments at the end of the month. Furthermore, customers will only pay interest on the amounts they use. Customers can also apply for a limit that suits their business.
This type of facility allows customers with invoices to reputable business to finance those invoices. Furthermore, customers receive up to 90% of the value of the invoices in as little as a day. Also, this facility allows customers to pay their suppliers without having to wait for payment from customers. Finally, this type of facility allows the business assets to fund the growth of the business.
This type of facility allows the business to continue with its normal operations without the stress of payroll commitments. Furthermore, this facility focuses on just the payroll requirements, and funds 100% thereof. Customers will enjoy the benefit of a managed sales ledges, as well as debtor protection. Finally, customers will also enjoy credit checks and credit control.
With this type of finance, clients can purchase assets without hassles. Furthermore, with the variety of finance options on offer, there is bound to be suitable finance for each type of asset. Also, with finance, customers can enjoy the benefits of the asset immediately without having to wait for a cash lump sum or savings to accumulate.
With this type of finance, customers can purchase a property from which to base their operations. Furthermore, customers have the option of a variable or fixed interest rate. The LTV on these properties can go up to 70% of the property and in extreme cases, a bit more. Also, customers enjoy capital repayment holidays for up to two years fo qualifying customers.
Residential Buy-to-Let Mortgage
This is the ideal option for customers who wish to earn rental income from their properties. Furthermore, the mortgage repayment terms can be anywhere between 3 to 25 years. Also, the LTV on these properties is usually 70%, however, is negotiable. Finally, a capital repayment holiday may be available for up to 12 months. This is to be taken at the start of the loan.
Enterprise Finance Guarantee
This type of finance allows a payment period of up to 10 years for smaller loans, and up to 5 years for large ones. Furthermore, customers have the choice between fixed or variable interest rates that are determined by their circumstances. Also, the loan allows for flexible draw-down arrangements. There are also benefits from capital repayment holidays, available in certain circumstances.
This allows some flexibility where payments are concerned. Furthermore, customers decide whether to pay the minimum or full balance.
- Customers enjoy up to 45 days’ interest-free credit
- Each card can have an individual spend limit
- There are no Sterling transaction fees
This is the ideal companion to those who need flexibility during the month, however, wish to settle the full balance every month. Customers will enjoy up to 36 days’ interest-free credit. Furthermore, each card can have an individual spending limit. Also, customers won’t pay Sterling transaction fees.
This card allows business spend to be debited directly from the business account. Furthermore, customers will have access to free cash withdrawals at Lloyds Bank ATM’s in the UK.
The chance to get access to available cash at any ATM displaying the LINK sign. Furthermore, the card also provides the customer with access to other service options.
Business Banking Instant Access
This type of savings provides business owners with the opportunity to earn some interest on their surplus funds. Furthermore, the interest is calculated daily and paid monthly. Also, business owners have instant access to the funds.
Fixed Term Deposit
This type of account is only for the business that won’t need access to the funds in a hurry. There are no withdrawals allowed until the maturity date. This type of investments allows the customer to set a term anywhere from 1 day to 3 years. Furthermore, the investments have a fixed rate of return. Finally, the minimum opening deposit is £10,000.
32-Day Notice Account
This account is ideal for businesses who need to put away funds for a specific project, asset, or more. The account requires the customer to give 32 days’ notice. In order for the account to remain open, it requires a minimum balance of £10,000. Furthermore, the account has no set term.
Clients’ Call Account
Call accounts are ideal for customers who wish to keep their funds separate, but still require instant access to it. Furthermore, the account doesn't require a set term or notice period. This is only suitable for holding client money, however.
Designated Client’s Call Account
These accounts suit attorneys, estate agents, and others who need to keep their clients’ deposits in a separate, interest-bearing account. These accounts are only suitable for holding accounts. Furthermore, customers have instant access to withdrawals of any amount. Also, notice periods have no set terms.
Businesses don’t only require the means to make payments to their suppliers. They also need access to service products where they can receive payments. Some of these methods include:
- Card terminals
- Faster payments
- Same-day payments
Those who require additional services on the global front will have access to the following:
- Payment Services
- Currency Accounts
- Foreign Exchange
- Import and Export
Lloyds Bank Established Business Product Offering
Apart from the products offered to small and start-up businesses, established businesses have access to an extended range.
There are a variety of current accounts to suit the needs of the various businesses. Apart from the basic current account, there are accounts for schools, clubs, charities, and societies.
Loans and Finance
Apart from the loans offered to startup businesses, customers also have access to:
Capped Base Rate Loan
This loan provides customers with the capital they require to take their business to the next level. Furthermore, the variable rate payable will not go above a maximum or capped rate during the 5-year capped rate period. The rest of the terms of the loan are in line with the other products in this range.
Lloyds Bank Corporate Business Product Offering
In this segment, customers have access to all the products in the small start-up, and established business markets. Furthermore, they also have access to the following:
International Trade Portal
This is a crucial product for those who take part in international trade. Apart from providing top of the range features, it also helps businesses remain compliant. Customers will also be able to identify the right markets. They would also understand market conditions, build relationships, assess costs, and find new opportunities.
Review of Lloyds Bank
Customer Satisfaction Reviews
There aren’t many reviews readily available of the banking giant.
According to a customer satisfaction survey done by Which?, the bank sits fairly low on the ladder. It does top other big names such as Barclays, HSBC, RBS, and NatWest, however. The bank scores an unimpressive 59%.
Employees who work for the bank find it much more satisfying than the customers. The bank scores 3.9 of 5, and job security/advancements and management were the biggest detractors.
Financial Stability Rating
The government recently sold a big portion of their stake in the bank after the bank’s bailout in 2008. This spells good news for the bank as it enters the private sector once more. The bank also enjoys satisfactory ratings from Moody’s, Fitch, S&P’s, and DBRS.
Security of Funds
The Financial Services Compensation Scheme cover certain deposits with Lloyds Bank plc. These are up to the specified limits. Different regulations govern deposits within the different divisions. Also, the cover differs from region to region.
Review by Critical Reviews 8 of 10
This is a large banking organization that provides a wealth of products and services. There are branches across the world and the bank relies heavily on the insurance leg of the business. Furthermore, the bank is fairly consistent in terms of stability ratings after the financial disaster of 2008.
Some of the aspects that affect this rating are the low customer satisfaction rating. Also, the low levels of job security experienced by the staff. These two aspects are critical for different reasons. The bank will enjoy higher rating should these levels increase.
Does Lloyds Bank beat a customer favorite such as DBS Bank? Read the full review to learn more.