Lloyds Report Good Pre-Tax Profits

The Lloyds Banking Group, comparative to last year’s less pleasant recordings, have a pre-tax profit of £2.1bn. This has been recorded despite the bank deciding to store £500m in light of the PPI compensation claims that appear to be never-ending and are now recorded as totalling £7.3bn.

“The state-backed bank said it had made a statutory pre-tax profit of £2.1bn in the first six months of 2013, compared to a loss in the same period last year of £456m.

The profit also reverses a £150m loss for the second half of 2012.

Lloyds said it had spent £1.28bn so far this year dealing with the claims, including £380m on the administration of the compensation process.

The bank, 39pc owned by the government, said it will start talks with regulators in the coming months about restarting its dividend.

Antonio Horta-Osorio, the Lloyds' chief executive, said in statement: 'We are now well on track to create a bank with a leading cost position, lower risk, a lower cost of equity, and products and services focused on our customers' needs, to deliver strong, stable and sustainable returns to our shareholders.'

Bad debts at Lloyds fell 43pc to £1.8bn.

The government is expected to start offloading its £20bn stake in the bank with a sale of around a quarter of its shares.

Mr Horta-Osorio said that the lender was now in a position to enable the state to reduce its stake.

'It is up to the government to decide how and when to do it. I believe we have completed the first phase ... the share price is now in a position where the government can return taxpayers' money at a profit,' he said.

The shares sale could start as early as next month.

George Osborne said in his Mansion House speech in June that the Government was "actively considering options for share sales. He added: 'Of course, we will only proceed if we get value for the taxpayer.'

Lloyds shares rose 4.5 - or 6.6pc - to 73p in early trading on Thursday, well above the 61.2p break-even threshold set by the Treasury for a disposal of some of the state's holding.

Mr Horta-Osorio must see at least one-third of the state's holding sold at above 61.2p or the bank's share price rise above 73.6p by 2018 in order to receive his annual bonus. The clauses were inserted this year following discussions between Lloyds and the government.

The Lloyds chief said the hopes to float TSB Bank by mid 2014. The initial public offering follows the collapse of the sale of 600 branches to the Co-operative Group. The disposal was imposed by Brussels following the state bailout of the lender during the 2008 financial crisis.”

Lloyds have been in the headlines a lot recently in light of the new European Union laws regarding domination of the banking sector in the UK and this is just another thing for the group to be pleased with.

If you are a new or existing Lloyds customer and would like to speak with a member of their customer services department regarding any of the products and services they offer or anything discussed in this article, contact their customer services department via the Lloyds TSB contact number. You can also read more about Lloyds and the repercussions of the new European laws Here.

This article was originally sourced from The Telegraph. 

HSBC Branch Closures Due to Protests

Following the string of companies revealed for not paying their fair share of tax, protestors took to the streets to make sure everyone knew just how much they disapproved of this behaviour. HSBC however were hit a little harder than others and several of their branches had to be shut because of the demonstrations.

“UK Uncut targeted 13 locations and succeeded in shutting branches in Glasgow, Sheffield, Brixton and Regent Street in London – branches which HSBC initially said would be "open as usual".

The group arrived at the Regent Street branch at about noon, 30 minutes after it had been shut ‘temporarily’, to protest against the government's welfare cuts by ‘transforming’ it into a food bank.

The campaigners highlighted research showing that 500,000 people regularly rely on food banks, with almost half saying it was because of cuts or delays in benefits payments.

The group of between 50 and 100 protesters at the central London branch accused HSBC of making matters worse by ‘dodging tax’.

The protesters set up a food bank on the street in front of the branch and put tape across the front door which had the message ‘Closed by UK Uncut’ written across it.

A HSBC spokesman said the branch ‘shut temporarily at 11.30am as a precaution’, adding: ‘It may open later.’

Earlier, the spokesman said: ‘Our branches will be open as usual this Saturday; however our clear priority is the safety of our customers and staff. We are aware that our branches are a focus of UK Uncut for the day and we will take any precautions necessary.’

On the HSBC website, the Saturday opening hours for the Regent Street branch are listed as 10am until 3pm.

Murray Worthy, a spokesman for UK Uncut taking part in the protest on Regent Street, said: ‘We came here to shut it down and it's shut down. We can't go on with business as usual with the big banks dodging tax, while hundreds of thousands of people go hungry. That's what we came here to do and that's what we've done.’

He added: ‘We're here today because we think it's an outrage that half a million people now rely on food banks in the UK.’

Worthy accused HSBC of using tax havens more than any other bank.

The HSBC spokesman added: ‘HSBC takes tax transparency very seriously. Globally, HSBC paid $9.3bn [£6.1 billion] in tax last year, up from $8bn in 2011, and just in the UK the bank paid a total of $1.6bn dollars in taxes.’”

For more information on the products and services offered by HSBC, contact their customer services department. Call the HSBC customer service number and be immediately connected to a member of their team. Also, read our News Feed for all of the latest news about HSBC.
This article was originally sourced from The Guardian.

Santander Remove Current Account Charges

Santander news update: Banking group Santander have removed the monthly fee from their current accounts at the cost of the benefits their customers enjoy.

“About 300,000 Santander customers who pay a monthly fee for their current account are to be moved to free accounts and stripped of the benefits they currently enjoy, it emerged on Wednesday.

In March the City regulator tightened the rules on the selling of so-called packaged accounts – which typically charge a monthly fee for benefits that can include travel insurance and card protection – amid concern that some banks and building societies had been mis-selling them.

Santander indicated the decision was not linked to any regulatory moves, saying: "We want to improve service for customers, and to do that we know we have to simplify our product range."

Santander stopped selling new packaged accounts in March 2012, but is now going further by ditching them for existing customers. Five current accounts with fees from £10-£20 a month are affected: Reward, Premium, Travel Reward, Family Reward and Premier 50.

On 19 October everyone who has one of these accounts will be moved on to Santander's Everyday current account. They will no longer pay a fee but will forfeit their perks – including, in some cases, preferential interest rates and fees.”

The move to take the charges off their current accounts is welcomed by many customers because there is often a feeling amongst customers that they should not have to pay a monthly fee for keeping their money somewhere but it does often come with benefits. However, to counter the removal of fees Santander have had to also remove the benefits that customers experienced. This is less relished by the customer as obviously if they’re going to pay for a service, they expect to receive something for that payment.

Santander bought banking group Abbey National in 2009 with the re-brand taking place in January 2010. Santander are now a major presence on the UK high street having also purchased Alliance and Leicester and now all of those branches are Santander branches. The company have not experienced the same problem as Lloyds TSB though and are still considered to own a small enough portion of the market to not be considered unfair. The European Commission have ruled that there must be a certain number of banks and options available to customers and therefore each bank can only have so many branches and therefore so much domination in the market.

For more information on Santander, Click Here and speak with a member of their customer services team. This article was originally sourced from The Guardian.

HSBC’s Work in the Community

As one of the major UK banks, HSBC have a corporate responsibility to contribute to the community spirit and to donate time and money to charity/ies in reinforcement of this. HSBC employees dressed themselves up as an array of superheroes to entertain some of the children from Bluebell Wood Hospice in North Anston in Yorkshire. The stunt was organised to coincide with National Children’s Hospice week and is just the most recent in a string of activities organised by HSBC to assist with the fabulous work that they do at Bluebell Wood.

The banking group have to date managed to raise in the excess of £183,000 for the charity and their staff have volunteered more than 2500 hours of their time to help at the hospice. The volunteers have helped with a range of activities from children’s parties to decorating rooms and gardening. They strive to do anything they can to help the team at Bluebell Wood as well as keep the children’s spirits high. The activities that the team have undertaken to raise money for the hospice spans from black-tie events to charity golf days so there’s something for everyone!

This helps to maintain a positive reputation in the eyes of their customers, investors and so on and in a nod of appreciation towards these are the other events run by HSBC that includes things such as former British and Irish Lions putting in appearances at particular branches for their customers to meet.

Over six days at the end of May and beginning of June, just prior to this year’s British and Irish Lions’ tour of Australia, a selection of players including but not limited to Matt Dawson, Kyran Bracken, Mark Regan and Brian Moore were available at different stores around the UK to meet their fans. This helped to build hype around the upcoming tour, which incidentally was fantastically played and won by the British and Irish Lions and provided excitement for the employees of each branch too!

Once again the idea is focussed on children and the invite details the opportunity to have their picture taken with one of the Lions Legends. It’s a positive image for HSBC to endorse, the fact that they are supportive of the future.

For more information on any of the products, services, offers, competition, career opportunities and so on that are offered by HSBC, contact them via the HSBC phone number and speak with a member of their customer services department. Also stay up to date with all of HSBC’s news here: http://www.customerservicescontact.co.uk/news/hsbc-news-update-laundering-settlement-approved/

The Other Side of Banks

There is often more than one level of customer service offered by businesses, i.e. if you are a loyal or ‘regular’ customer. When it comes to banks this loyalty basically equates to how much money you keep with your bank and you will find that the more you put in, the better service you get.

Some banks for instance have a separate section within each of the branches for their more, loyal, customers. Often these customers have a premier account or equivalent and therefore the section is titled thus and customers are greeted by a receptionist and shown into a waiting room. This has sofas, tea and coffee, water, books, magazines, an internet connection and a television with the news or other nondescript programme running for background noise. The idea is for the customer to feel at home and relaxed, in theory because they are looked after so well their money is also – one reflects the other.

Also in the room are customer service assistants, often very well presented and there to assist you with your every need. They will ensure that you have whatever drink you desire, that you’re comfortable and then will ask what your business is today. This allows them to make sure you speak with the right advisor – situated in offices just off this room, they wouldn’t want you to have to go back out of this area and mingle with the regular customers. They are also present to time manage for the advisors in meetings. It is a walk-in service and therefore there can be busier and quieter days, on those busier days it is the assistants’ job to manage the customers and keep them updated with how long they will wait. Knowing that you have a 30 minute wait makes it much easier to sit through. These advisors are there to help with literally anything, they strive to make your life as comfortable as possible and often go so far that they can begin to make you feel quite the opposite of welcome and comfortable!

The idea of their attention is firstly to make sure you are aware of their gratitude that you have chosen to bank with them but it also allows the advisors in meetings to provide exceptional service to whoever they’re with, without jeopardising the next customer’s service. Distractions like drinks and speaking with a customer service assistant who will keep you updated will keep their tolerance levels high. Happy customers are customers that remain with the bank for a long time.

To read more about customer services, read our articles on Ezine by following this link http://ezinearticles.com/?Customer-Relationship-Management-Software-Comparison&id=7680692

The Problems of Borrowing and Lending Money

Neither a borrower nor a lender be. Said Polonius in Shakespeare’s Hamlet. He’d turn in his fictional grave if he saw the number of loan companies available on the market these days!

The major problem with these companies is their demographic. If they were honestly providing a service wherein people in full time work find themselves struggling with an unexpected bill one month could borrow a small amount of money and pay it back, with interest after the next payday, then they would not advertise predominantly on daytime television. They also apply extortionate interest rates to the borrowed amount, leaving customers more out-of-pocket than they were before they got this loan.

The companies have received heavy criticism in recent months from regulators who have noticed this targeting and are implying that these companies are too tailored towards these members of society and it is actually bordering on the unfair. These companies exploit the vulnerable members of society who cannot pay back the loans and their advertisements emphasise the speed and ease of service discouraging customers to make thorough checks with regards to their ability to pay the loan back. The regulators have not reached any firm conclusions regarding the amount of interest charged but that is one of the major issues raised by customers; the adverts are carefully moulded to promote the ease with which loans are granted. This means customers give less thought to whether they can afford it or how much interest they are going to pay back; they simply see the possibility to have more money in their bank account.

That sounds condescending but it is the loan companies at fault here, the adverts epitomise the point Polonius was trying to make when he went on to say “For loan oft loses both itself and friend,
And borrowing dulls the edge of husbandry.” The loaning of money between people – regardless which side you’re on – is dangerous and one or the other becomes irate. In this world of corporate companies that lend money it is often infinitely more complicated than just ‘an irritation’ but the basic idea is there, money is too precious to be exchanged temporarily with such little contemplation.

For more information on payday loans and companies such as Wonga who are in the spotlight with regards to these advertising campaigns and the interest rates, have a read of our news articles on Wonga at http://www.customerservicescontact.co.uk/wonga-telephone-number/. Alternatively to speak with a member of Wonga customer services, Click Here for all contact details.

Payday Loan Advice

It’s easy to get sucked in to the idea that pay day loans are the way forward if you’re short of cash this month – we are inundated with emails, texts, phone calls and adverts on the television and internet offering us ‘free’ money, supposedly. The key is to not fall into this trap, payday loans are not free money; nothing in life is free! Payday loans in particular are renowned for extortionately high interest rates and if you do a basic comparison between the companies you will see that if you were to borrow, for example £100, the best deal out there will expect you to pay £125 back to the company. 25% interest rate on a loan that only lasts 30 days is absurd and ultimately you will end up worse off.

The major companies are all competing with each other to offer the best deal but the difference between the exact amount of money lent and returned is miniscule and therefore it is all about exposure and customer services. The greater exposure the company receives the more people are likely to borrow from them and this creates, in theory, a perpetual cycle of popularity and success. Therefore all of the companies offer the same ridiculous interest rates because they have to make money, that’s the basic rule of business and in order to gain said exposure initially they have to pay to advertise.

So, if you do find yourself in the position of needing a short-term loan are these companies the best way to get that money? The easy answer is no because the interest is so high and the pay-back time so short that the implications of a late payment is grave. However, this is easier said than done when you have bills to pay and mouths to feed. It’s also easy to recommend a budget that you stick to; look at how much you need each month and strive to stay within those boundaries but that again is easier said than done. When you do find yourself in the position of needing to borrow money from a payday loan company check the following things: how long the loan is for, exactly how much you need to borrow and don’t borrow anymore, how much the interest is going to be, how much extra interest will be whacked on top of the pay back total if you are late paying it back and how reputable the company is. Have a look on their websites, they all have review pages now and you can see how other customers have faired with them.

For more information, speak with the Wonga customer service department.