permanent tsb bank is acquiring the deposit business of Northern Rock Ireland which has over €650 million of deposits from some 17,000 customers. This is the second major acquisition of deposits by permanent tsb bank in the past six months. In February, the bank successfully acquired €3.6 billion in deposits from Irish Nationwide Building Society which have now been fully integrated into permanent tsb bank. The Northern Rock customers will join the 110,000 new savings customers that have already joined permanent tsb so far this year. The sale is expected to complete by the end of 2011, subject to approval from the Minister for Finance.
Speaking today, David Guinane, Chief Executive of permanent tsb bank, said that the deal demonstrated the ability of permanent tsb bank to provide a compelling competitive force in the Irish marketplace;
Coming so soon after the acquisition of the Irish Nationwide Building Society deposit business, this is a very significant transaction for permanent tsb bank and is an important strategic step for the bank. Deposits are critical for all Irish banks going forward and we have become the major player in the deposit gathering space. Having successfully acquired almost €4.25 billion in new deposits as a direct result of these two transactions as well as growing our own deposit business, we’re clearly on the right path and I look forward to welcoming the 17,000 new customers to our network.
permanent tsb is now among the fastest growing savings banks in the country. Its innovative Interest First Savings Account has already taken in €2.6bn since its launch twelve months ago. Overall the bank expects to continue to increase its deposit book share as it has done in each of the past 3 years.
Terms & Conditions for Northern Rock Customers
All Terms and Conditions will remain the same for Northern Rock customers during the transition and all transferred deposits will come under the Irish Guarantee schemes when they are transferred. There is no impact on customer accounts and all normal customer channels remain available.
