Tandem to close its credit cards
Challenger bank Tandem will be closing its credit card range later this year.
Its Tandem Cashback credit card was launched in February 2018 and was previously a top pick for overseas spending and cashback, offering 0.5% cashback on purchases worldwide. But it closed to new customers at the end of last year and introduced a £5.99/month fee in March.
Now Tandem has announced it will be closing both its Cashback card and its Journey credit card on 2 November 2020.
What will happen to my cashback?
Cashback is calculated on your monthly spend and credited to your card account at the end of each monthly billing cycle. Tandem says you'll carry on accruing cashback on any spending you do on the cashback card until 2 November 2020, which will be credited to you as usual upon your next billing cycle.
Tandem says that if customers close their accounts before a statement is generated, they won't receive any cashback they've accrued – so it's best to wait until you've received your final cashback payment after 2 November 2020 before closing your account.
It says that when you do close your account, any credit balance you have (including from cashback) will be transferred back into your bank account.
What if I have an outstanding balance?
Tandem says customers will have to pay their balances in full by 3 February 2021.
But if you'll struggle to pay off your balance by then, Tandem says it will be happy to "discuss options" with you.
You can contact Tandem on 020 3370 0970 or by emailing firstname.lastname@example.org.
What does Tandem say?
Tandem Bank co-founder and chief executive Ricky Knox said: "Following the successful completion of our recent investment, and the acquisition of Allium Lending Group, we have taken the opportunity to review the products and services we are building for our customers to ensure we continue to solve real people's money problems.
"The impact of Covid-19 on the way people are now spending in the 'new normal', coupled with a strategic decision to invest in upgrading the core banking technology that underpins Tandem's products and services, led us to the decision to withdraw our current credit card offering.
"That doesn't mean we won't be offering a 'spend' solution again, but simply means our immediate focus will be on building the very best savings products we can and helping more and more of our customers fund their green home investments."