The Bank of Scotland is the fifth-oldest bank in the UK, and has been a subsidiary of the Lloyds Banking Group since 2009. Business bank accounts, savings accounts, debit and credit cards, and other financial products are available to businesses of all sizes.
Bank of Scotland Business Banking Services
Current Accounts
Current accounts are available for new businesses, and businesses with an annual turnover of over £3m, £3m-25m, and £25m+. Account details and transactions can be managed online and on the Bank of Scotland app. Accounts cost £6.50 a month, and there are some extra charges for cash and cheque payments.
Savings account
Instant access, fixed term, and notice accounts are available. You can open an easy access account with just £1, but a minimum deposit of £10,000 is needed for notice and fixed term accounts. Interest rates vary depending on how much you save and how long for. Fixed accounts have a maximum term of 3 years.
Overdrafts
It’s free to set up an overdraft of £5,000 or less, however, there’s a £10 monthly usage fee. For overdrafts of up to £25k, interest is charged at 9.75% per year over the Bank of England Rate. You only pay interest on funds you use.
Business finance and loans
Small businesses can borrow between £1,000 – £50,000, paying it off over either 1-25 or 1-10 years. Large commercial businesses can borrow £50,000+. Interest rates for loans under £50,000 are 9.3% APR (variable) representative.
Bank of Scotland Reviews and Ratings
Trustpilot reviewers are mainly critical – with 76% of reviewers rating Bank of Scotland’s service 1/5. Most complaints involve poor customer service in-branch and on the phone.
Reviewers are more split on Smart Money People and Reviews.co.uk, commenting that statements are clear and staff are helpful. However, some are still very critical of the service they’ve received, pointing out slow response times and indifferent advisors.
On Which?, Bank of Scotland scores 4/5 for online and mobile banking, and 3/5 for customer service, application process, communication, transparency of charges, and complaint handling.
Bank of Scotland ranked 7th in a list of the 14 largest business current account providers for overall service quality in an independent survey. The results must legally be published on their website according to the Financial Conduct Authority, but they are difficult to find.
In the same list of 14 business current account providers, Bank of Scotland also ranked 6th for online and mobile banking services, 7th for overdraft and loan services, 10th for relationship and account management, and 5th for service in-branch.
Trustpilot – 1.6/5 (based on 135 reviews)
Reviews.co.uk – 3.80/5 (based on 10 reviews)
Smart Money People – 2.88/5 (based on 8 reviews)
Which? – 67% Which? Customer Score
Pros
- Competitive monthly account fee and charges.
- Range of products for businesses of all sizes.
- Part of the 7-day Switch Guarantee.
Cons
- Very similar services to Lloyds, so it’s difficult to spot which is better value.
- Poor reviews for customer service.
- Rated poorly for relationship/account management in independent survey.
Website: Bank of Scotland Business Banking