CMA stops banks bundling current accounts with BBLs.

CMA has taken action to stop Clydesdale Bank from forcing small business customers to open a business current account with it in order to get a BBL. It said the practice breaches legal undertakings that 8 large banks have given not to bundle in this way. Even though customers would not initially have incurred any charges on the account, CMA said they may have kept them open longer than the initial fee-free period rather than opening a more suitable account with another provider. The bank has written to customers to remind customers of their ability to switch providers and alternatively to offer then a fee-free loan servicing account.

The notice follows similar action against Lloyds.

Emma Radmore