Norwich and Peterborough Building Society (N&P) has this week been taken over by Yorkshire Building Society (YBS), which means big changes for many of its 420,000 customers.
The N&P name will remain and access to accounts will stay the same, but savers' protection limits could change, while some mortgage borrowers will also see the cost of their home loan drop.
Here's how N&P customers are affected:
- Account access: Customers can continue to access their accounts both online and by phone via the same methods as before the acquisition. They can also use N&P branches, which will remain for a minimum of two years. They will not be able to access their accounts in any of the Yorkshire Group's other branches (YBS, Barnsley Building Society, Chelsea Building Society).
- Savers' limits: Savers will be limited to one FSCS depositor protection limit of £85,000 per individual or £170,000 in total for joint accounts, across the Yorkshire Group. Anyone with a total balance that is more than the FSCS limit as a result of having both an N&P account and another Yorkshire Group account will have 57 days from today to reduce their balance without notice or loss of interest.
- Will savings and current account rates change? No. However, now could be a good trigger to switch account if you're earning below the top rates.
- Mortgage changes: Customers still have an N&P mortgage but the money will be owed to the Yorkshire Group. N&P borrowers with a standard variable rate mortgage will automatically see their rate drop from 5.35% to 4.99%. Customers will be notified by post this month.
YBS this week also completed its acquisition of Egg mortgages and savings, which involved the transfer of 550,000 customers.
Meanwhile, from Monday, Egg credit cards will no longer be accepted following its takeover by Barclaycard (see the Changes for Egg customers news story). Customers should use the Barclaycard they should have been sent.