NatWest has commenced the transfer of 1.8 million Sainsbury’s Bank customers today. Last June, Sainsbury’s Bank announced the decision to shift its personal loans, credit cards, and savings accounts to the high street building society, with the transfer officially starting on May 1. All personal loans, credit cards, and savings accounts from Sainsbury’s Bank will be included in this transfer, expected to finalize by the year’s end.
Customers of Sainsbury’s Bank have been assured that there will be no immediate alterations to how they manage or access their accounts until the transition is complete. This means that all direct debits, standing orders, transactions, payments, and transfers to and from savings accounts will continue uninterrupted. Additionally, customers will retain the ability to accrue Nectar points using their credit cards.
NatWest will also assume the role of ISA manager for all Sainsbury’s Bank ISAs starting May 1. For individuals holding ISAs with both Sainsbury’s Bank and NatWest or Ulster Bank, the accounts will remain separate, allowing contributions within the £20,000 ISA limit. ISA customers have received detailed communication from the Bank regarding the implications of the ISA transfer.
Sainsbury’s disclosed plans to wind down its retail banking division in January last year to focus more on its core retail operations. The acquisition by NatWest was finalized in June 2024, involving the absorption of £1.4 billion in unsecured personal loans, £1.1 billion in credit card balances, and approximately £2.6 billion in customer deposits from Sainsbury’s Bank.
The transaction excludes Sainsbury’s Bank’s commission-income activities, such as insurance, ATMs, and travel currency services. Argos Financial Services remains unaffected by the deal. In August 2024, Sainsbury’s Bank ceased offering credit cards and loans to new customers, followed by the discontinuation of new savings account enrollments in March this year. On April 16, approval for NatWest’s formal takeover of Sainsbury’s Bank was granted by the High Court.
NatWest has committed to providing customers with a 60-day notice of any changes to their accounts. Efforts are being made to maintain consistency where feasible, including the total interest charges on credit cards, interest earnings on savings, and promotional offers. Following the migration of accounts to the NatWest system, customers will no longer be able to access them through Sainsbury’s Bank’s online banking and mobile app. NatWest will guide customers on setting up online accounts for access to their funds.
Customers who prefer not to transfer their accounts to NatWest have the option to close them, settle any outstanding balances, or withdraw funds. For the latest financial news, including updates on universal credit, furlough, employment rights, travel advisories, and emergency financial assistance, subscribe to our Mirror Money newsletter.