[Ireland] Ulster Bank warns of payroll risks as first account closures loom

Ulster Bank has warned business customers whose accounts face being frozen from the middle of October, as it winds down in the Republic of Ireland, that they face risks meeting payroll and receiving and making general payments if finding a new account provider is delayed, The Irish Times reports.

In mid-April, the bank started formally writing to groups of business and personal account customers giving them six months’ notice to move their business to another provider and close their accounts.

The six-month deadline starts to kick in on a rolling basis from the middle of next month.

On September 20, Ulster Bank reportedly said that it had met business representative groups to update them on its phased withdrawal.

“Ulster Bank is urging customers to take action to ensure continuity of service for their business banking needs. If a customer does not switch or close a business’ current account, it could have implications for their business in terms of paying their employee wages, their suppliers and receiving payments for their own goods and services,” the UK-owned bank said.

“We understand also that many customers will choose to keep their account open during their period of transition to a new provider. If at the end of their six-month notice period a customer has not moved their account, the account will become non-operational and after a month will be closed with a cheque issued for the account balance.”

Ulster Bank is part of the NatWest Group, it issued a similar public warning for personal current and deposit account customers earlier this month.

“Customers should ensure that they have opened new accounts and updated their employer, pension provider, the Department of Social Protection, if they receive regular payments from them, or any other body they receive payments from,” the statement said.

“They also need to ensure direct debits or any other regular payments leaving their account such as standing orders, subscriptions, or payment card details on websites are updated with their new account details, to ensure they don’t miss any payments.”

Source: The Irish Times

(Quotes via original reporting)

Ulster Bank has warned business customers whose accounts face being frozen from the middle of October, as it winds down in the Republic of Ireland, that they face risks meeting payroll and receiving and making general payments if finding a new account provider is delayed, The Irish Times reports.

In mid-April, the bank started formally writing to groups of business and personal account customers giving them six months’ notice to move their business to another provider and close their accounts.

The six-month deadline starts to kick in on a rolling basis from the middle of next month.

On September 20, Ulster Bank reportedly said that it had met business representative groups to update them on its phased withdrawal.

“Ulster Bank is urging customers to take action to ensure continuity of service for their business banking needs. If a customer does not switch or close a business’ current account, it could have implications for their business in terms of paying their employee wages, their suppliers and receiving payments for their own goods and services,” the UK-owned bank said.

“We understand also that many customers will choose to keep their account open during their period of transition to a new provider. If at the end of their six-month notice period a customer has not moved their account, the account will become non-operational and after a month will be closed with a cheque issued for the account balance.”

Ulster Bank is part of the NatWest Group, it issued a similar public warning for personal current and deposit account customers earlier this month.

“Customers should ensure that they have opened new accounts and updated their employer, pension provider, the Department of Social Protection, if they receive regular payments from them, or any other body they receive payments from,” the statement said.

“They also need to ensure direct debits or any other regular payments leaving their account such as standing orders, subscriptions, or payment card details on websites are updated with their new account details, to ensure they don’t miss any payments.”

Source: The Irish Times

(Quotes via original reporting)