Tesco Bank

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Company Information

  • Company Name:
    Tesco Bank
  • Website Address:
  • Business address:
    Interpoint Building 22 Haymarket Yards Edinburgh EH12 5BH
  • Phone number:
    0845 217 2050

Tesco Bank (Tescobank.com) was formed in a venture between UK supermarket Tesco and The Royal Bank of Scotland in 1997. It is now fully owned by Tesco and has its own banking license, allowing it to provide credit cards, savings, loans, current accounts, insurance and mortgages to its customers.

Tesco allows customers to use their supermarket Tesco Clubcard points to claim cashback on finance products, making it an especially attractive banking option for many in the UK. Customers who successfully apply for a mortgage can collect Clubcard points each time they make a monthly repayment on their mortgage, with one pointed awarded for every £4 of the repayment. Points can also be accumulated on overpayments.

Tesco Bank has a vast range of mortgages designed to help its customers find their way onto the property ladder. Customers can seek out information about the mortgages available from Tesco Bank by calling the bank’s phone line and speaking to an expert mortgage adviser. Customers can also apply for a mortgage online, but this ‘Execution Only’ application will not come with any expert mortgage advice and requires the customer to already have a strong sense of which mortgage will be best for their circumstances.

Currently, Tesco Bank is offering three different fixed rate mortgage options for customers who want a predictable repayment rate for their mortgage term. The bank has two, three and five year fixed rate mortgages available at a maximum loan to value of 60% through to 85%. All of the standard fixed rate mortgages incur booking and product fees as well as early repayment charges. Fee-saver mortgages are available that hold no product fee, but these have a slightly higher APR.

Tesco Bank also has two year tracker mortgages available that hold initial rates just above the Bank of England base rate. The tracker mortgages shifts to the Standard Variable Rate after the two year term, and a fee-saver option is available for customers who’d rather avoid the product fee in favour of slightly higher interest rates. The Tesco Bank tracker mortgages also hold early repayment charges until a certain date.

19 Reviews of Tesco Bank have been submitted - read the latest 3 below

Online application for mortgage was told 2 day service arrangement. A week later no one has even looked at the case. To make things worse for anything other than a standard valuation the waiting time is 3 weeks. So we will loose the property and all upfront costs. What makes things worse when you contact customer service the reply is you need to have been waiting for two weeks before they can escalate. tesco, stick to supermarkets! Avoid at all costs unless you are not in a rush or expecting anything other than apalling service. Worth taking a slightly higher rate elsewhere!!

Review posted by Coylton

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I have been appalled with this so called bank. If I were you I would stick to the bigger banks or building societies. They can not do the simplest of tasks no matter how basic it is. Service is a complete joke despite the advisers being polite nothing gets done and no ownership is taken. Please stay away from their banking / mortgage services. Trust me you will regret it! You have been warned!

It has taken Husband and I over four months and just before we exchange on our property they forget to tell us our solicitor was not on their panel. Surely it should of been one of the first things stated. And when it gets referred to their panel of solicitors (at a cost to you) it doesn't get picked up at the other end and sits there for the best part of a month.

Once they realise their error they claim to treat things as a priority. However two weeks later we are still pushing for a tick list to be signed off. A complete waste of space.

Only one individual has actually admitted to the mistake but despite her best efforts nothing still is resolved.

Review posted by Begum

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Beware of Tesco mortgages!!!

I applied for a mortgage through their website and all seemed well, then they ask you for £195 deposit (which is non refundable) This was my first concern.

I thought they have decent rates and I have good credit, so carried on with the application.

They wanted wage slips and bank statements, which is fine, I sent these right away. It took them nearly 3 weeks to process them.

They then wanted more wage slips, because they weren't 'new enough'. (they were when they were sent)

They turned down my application saying I had been spending too much in the last 3 months.

That was that, 4 weeks messing you around, then no mortgage and your deposit taken.

The customer service staff are really nice and friendly, but the whole set up seems very unprofessional and slow for one of the countries biggest companies and I feel like I have been robbed.

I would advise people not too hand over any deposit, until you have a guarantee you'll get a mortgage offer.
If people stop giving them deposit money, they might start respecting their customers again.

Review posted by markb73

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