TSB Customers Advised to Consider Switching to NatWest or First Direct Following Bank Branch Closures
TSB customers are being encouraged to consider switching to alternative banking providers such as NatWest or First Direct after the announcement of branch closures. The move comes as part of a wider trend of high street banks reducing their physical presence due to the increasing preference for online banking services.
Personal finance experts are urging TSB customers to explore different options to ensure they can continue to access the banking services they need. With a significant number of branches set to close, some customers, particularly older individuals, those in rural areas, and those less comfortable with digital banking, may face challenges in accessing essential in-person services.
Aaron Peake, a Personal Finance Expert at CredAbility, acknowledges the shift towards online banking but stresses the importance of finding solutions that cater to all customers’ needs. He highlights the Post Office as a convenient alternative for TSB customers facing branch closures, as it serves as a banking partner for several high street banks, including TSB.
In addition to the Post Office, banking hubs are being introduced as shared spaces where customers from various banks can conduct their banking activities. These hubs, managed by the Post Office, offer services such as cash withdrawals and deposits, account management, and face-to-face support. As of March 2025, there are 139 hubs across the UK, with plans for further expansion.
While alternative banking options like the Post Office and community bankers can provide some level of support, they may not fully replicate the experience of a traditional high street branch. For customers who prefer in-person banking services, exploring other providers like NatWest and First Direct could be a viable solution.
NatWest and First Direct are offering incentives to attract TSB customers looking to switch their accounts. First Direct provides a free £175 for switching, access to a 7% regular savings account, fee-free overseas spending, and a £250 0% overdraft. Meanwhile, NatWest offers a free £150, cashback of £36 annually, and a 6.17% interest-linked regular saver.
However, customers considering a switch should be mindful of the broader context, as NatWest Group is also planning to close a significant number of branches in the coming years. Siobhan Blagbrough, a Financial Crime Manager at Ocean Finance, raises concerns about older generations transitioning to online banking without adequate safeguards, potentially making them more vulnerable to cybercrime and fraud.
To mitigate risks associated with online banking, Blagbrough recommends taking steps such as using strong passwords, enabling two-factor authentication, and avoiding sharing personal information over the phone or email. As the banking landscape evolves, customers are encouraged to stay informed and consider their options carefully to ensure their financial security and convenience.
In conclusion, the changes in the banking sector, particularly the closure of TSB branches, highlight the importance of adapting to new banking practices while ensuring that all customers are supported in their banking needs. Exploring alternative providers and adopting best practices for online security can help customers navigate these transitions effectively and securely.