NatWest to take on millions of Sainsbury’s bank customers in DAYS – what does it mean for you?
NATWEST will take on millions of Sainsbury’s customers in days after it secured approval for the transfer from the High Court last week.
All of Sainsbury’s Bank’s personal loans, credit cards and savings accounts will be gradually transferred to NatWest, with the process beginning on May 1.
The transfer will be completed by the end of the year.
Travel money and insurance services provided by Sainsbury’s Bank will remain unchanged.
Sainsbury’s announced plans to wind down its retail banking division in January 2024 so it could focus more closely on its core retail operations.
NatWest agreed to acquire the supermarket bank in June last year.
Then in August Sainsbury’s Bank pulled its credit card and loans for new customers ahead of the takeover.
The bank then stopped accepting new savings account customers in March 2025.
The transfer was subject to High Court approval, which was granted on April 16.
As a result, the transfer will go ahead, although there will be no immediate changes for customers.
What does it mean for me?
There will be no immediate changes to how you use and access your account.
You will still be able to access the Sainsbury’s Bank website, app and online banking.
There will be no change to any direct debits or standing orders you have or how you spend and make payments.
You can still collect Nectar points with your credit card and the system to do so will be no different.
Your personal loan repayment, amount, date and rate will also be unchanged.
If your account is in arrears then any agreement you have in place about repayment of debt, for example repayment plans, will continue on your existing account.
HISTORY OF SAINSBURY'S BANK
SAINSBURY'S Bank, founded in 1997, started as a joint venture between J Sainsbury PLC and Bank of Scotland, a subsidiary of Lloyds Banking Group.
The supermarket took full ownership of the business back in 2014 for £248million.
However, six years later, new (and remaining) chief executive Simon Roberts announced the supermarket would embark on a “food first” strategy to refocus on its core retail offering and improve returns.
Last summer, Sainsbury’s Bank offloaded its £479million mortgage book to Co-op Bank.
The bank has about 1.9 million active accounts and offers a range of banking products to retail customers only, including credit cards, savings, personal loans, general insurance and travel money.
It also operates a network of ATMs and in-store travel bureaux.
In June 2024, NatWest announced a deal to purchase Sainsbury’s Bank.
Sainsbury’s Bank will pay out £125million to NatWest and £250million to Sainsbury’s as part of the agreement.
Keep making any payments you have agreed to.
NatWest will let you know if any changes need to be made to your support arrangements in the future.
You will be given at least 60 days’ notice of any changes to your account.
You can still contact Sainsbury’s Bank in the same way as before.
If you have an issue with your account or need additional support then you should still contact Sainsbury’s Bank.
This could include if you have a question, want to make a complaint and start a dispute.
You will still be contacted by Sainsbury’s Bank about your account until it tells you otherwise.
NatWest will become the Isa manager for all Sainsbury’s Bank Isas from May 1.
Other than the change in Isa manager, your account will continue to function as normal.
If you have Isas with both Sainsbury’s Bank and NatWest or Ulster Bank then the accounts will remain separate and you can continue to contribute to them within the £20,000 Isa allowance.
The Bank has written to its Isa customers to give them more details about what the Isa transfer will mean for them.
What happens when my account is moved to NatWest?
Your account should be moved to NatWest systems towards the end of this year.
Once your account is migrated to the NatWest system you will not be able to use Sainsbury’s Bank’s online banking and mobile app to access your account.
There will be some steps you will need to take to access your account using NatWest’s online banking and mobile app.
NatWest will be in touch with you with instructions on what you need to do, including what to do if you are already a NatWest customer.
Where possible your new account will be the same as your existing one.
This will include the overall amount of interest charged for credit cards, the amount of interest earned for savings and any promotional offers.
If you do not want your account to be transferred to NatWest then you can close it and pay back any outstanding balance or withdraw funds.
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