Less than a quarter of Nationwide's 16m customers will get the £100 profits bonus announced by the building society last week, it has been revealed.
Millions of loyal Nationwide members will miss out on the windfall share of the building society's bumper profits because they do not qualify for a payout under its strict criteria.
On Friday, Nationwide revealed with great fanfare that it was handing out £100 payments so that members could share the spoils of its £340m bumper profits. But million will miss out if they only have one account with Nationwide..
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A total of £340 million will be paid to Nationwide members under its new 'Fairer Share' scheme, after the society recorded its best ever financial results and pre-tax profits of £2.2 billion for the last tax year. Debbie Crosbie, Nationwide's chief executive, said: "We are able to do this because of our financial strength and the fact we're a building society, not a bank, so our profit is used for our members' benefit."
But to be eligible for the £100, members must have had a Nationwide current account since at least March 31 and must keep it open until June. They must also have held at least £100 in savings accounts with Nationwide in March or owed at least £100 on a Nationwide residential mortgage on March 31.
So the rules mean that members who have saved with Nationwide for years will miss out if they don't have a current account too, and those with only a Nationwide current account will also be left out in the cold.
To be eligible for the payment, you must:
1. Have a Nationwide current account open on March 31.
2. Have used your current account earlier this year, depending on the account:
- FlexAccount, FlexBasic or FlexDirect accounts: In two of the three months of January, February and March 2023, you must have received at least £500 into the account (excluding transfers in from other Nationwide accounts). Plus, you must have made at least two payments out of the account in two of those three months. These requirements do not apply if you completed a switch into the account using the official switch service between 1 January and 31 March 2023.
- FlexPlus: You must have paid, and continue to pay, the monthly account fee.
- FlexOne, FlexStudent or FlexGraduate: You must have received at least one payment in or made one payment out of your account during March 2023.
3. In addition to your current account, you must also have had savings or a mortgage with Nationwide in March 2023:
- Savings: You must have held at least £100 in one or more Nationwide personal savings account or cash ISA at the end of any day in March 2023.
- Mortgage: You must have owed at least £100 on a Nationwide residential mortgage on 31 March 2023.
If you've withdrawn your savings or paid off your mortgage since the end of March, you'll still qualify provided your current account remains open.
Laura Suter, at investment platform AJ Bell, told This Is Money that Nationwide does need selection criteria to decide who is eligible, but that long-standing savers may feel frustrated they miss out. She says: 'Part of the reason Nationwide has such high profits is it has not been passing on interest rate rises to savers in full. Some savers may have preferred a rate rise.'
Are you expecting to get the £100 bonus or will you miss out? Join in the conversation below
According to Money Saving Expert, you should find out if you're eligible by tomorrow, Friday, May 26. If you're registered for online or app banking, you should get a notification to confirm you'll be getting the reward and if you're not registered for either, you'll get an email or a letter.
The payments will automatically go into current accounts of eligible members between Tuesday, June 13 and Friday, June 30 and will appear on your statement as 'Nationwide Fairer Share Payment'. All customers due the payment must have a Nationwide current account, so if you close yours before the payment is made, you won't be able to receive it.
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