M&S Bank branches to be closed by August 31

The high street giant’s switch to online and phone banking will be complete in weeks – and current accounts will not be available. Keith Findlay reports

The end of the road for in-store branches of M&S Bank follows the growing trend of retail banking customers using their accounts online or by telephone.

Marks & Spencer started shutting in-shop branches of its banking arm last Friday.

M&S Bank current accounts are due to close at the end of August as the financial sevices business refocuses on products and services, with new payment solutions on the way.

James Andrews, senior personal finance editor at money.co.uk said: “The closure of the in-store branches might not be a big deal to customers who already manage their accounts online, but those used to in-person services and unwilling or unable to use remote banking could miss out.

“Everyone with an M&S current account needs to act fast and make sure they either switch or close their account before August 31.

“After this date, your account will be closed completely and you won’t be able to access your money or make any debit or credit transactions.”

He added: “If you want to close your account, there are things to keep in mind. Your account can only be closed with a zero balance, so if your account is overdrawn or in credit, you must deposit or transfer money to get to £0.

“If you’re closing with an overdraft, or transferring that debt to a new account, it’s crucial that you choose a provider with an equal or greater overdraft capacity, otherwise you risk high charges or penalties being applied to your account.

“When the account closes, direct debits and standing orders will also automatically be terminated, so you need to make sure you’re on top of your payments before that happens.”

Money.co.uk is advising M&S Bank current account holders to make a list of all their regular payments, and note down details of the payees. This should help you to easily set up payments from a new account without interruption.

Mr Andrews added: “After August 31 your online statement history will no longer be available, so it might be an idea to print off your recent statements or download them as PDFs and save them.

“If you’re in the process of applying for a mortgage or finance scheme, you’ll need to supply recent bank statements, so make sure you have the documents you need saved in order to avoid a potential delay.

“If you aren’t able to do this yourself, you can request M&S Bank to email you a copy of your transaction history free of charge. If this is done after your account is closed, you will need to supply relevant identification.”

As with any transition to an online-only service, the closure of M&S in-store bank branches may cause issues for some customers, with vulnerable and older customers potentially struggling with the change.

Money.co.uk’s website has information on the impact of a cashless society, and how the UK compares with other countries as more of the world moves to “bin the banknote”.

CLOSING THEIR ACCOUNT: M&S Bank will no longer have branches in stores from the end of next month, including at St Nicholas Street in Aberdeen.