Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

TSB says yes to home shopping

Nigel Cope
Tuesday 07 January 1997 19:02 EST
Comments

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

TSB is hoping to turn the tables on retailers that have moved into banking by offering a home-shopping service as part of a new current account.

The move comes as Sainsbury is poised to announce further details of its new telephone banking operation, the latest in a series of forays by retailers into the banking arena.

The TSB Select account - which customers must pay a fee of pounds 3 a month to join - offers a hotline that will enable members to find the best price on more than 25,000 items including hi-fis, fridges and washing machines.

As there is no catalogue customers must decide broadly which product they want before contacting the hotline. The deals offered include those from manufacturers selling direct. The prices are compiled through database operator CUC Europe.

"Prices will be significantly cheaper than those available on the high street," claimed Peter McNamara, TSB's managing director of current accounts.

TSB says it will make no margin on the sale of products but hopes to gain revenue through credit card transactions and finance deals. The account also offers a motoring service where customers receive a guaranteed pounds 500 off a new car.

Rivals said service was unlikely to work. "We considered this idea but didn't feel it had sufficient appeal," said Gordon Rankin, head of personal banking at Barclays.

He said TSB's idea was simply another example of "charged for" bank accounts.

Barclays launched Barclays Additions in October where account-holders also pay a monthly fee. NatWest has since launched NatWest Premier.

Mr Rankin said the flurry of launches would help establish the market for bank accounts where customers pay a monthly fee for a premium service. "The old method of having one kind of account for all customers is gradually giving way as people seek more choices."

TSB claims that customers will recoup their pounds 3 a month charge if they make two purchases yearly.

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in