The Banking Code Compliance Committee has published a Guidance Note to provide guidance for subscribing banks on meeting obligations in the 2025 Banking Code of Practice for closing an account in credit without a customer’s consent.
The guidance covers key considerations such as the need to provide meaningful explanations to customers for closing an account where possible, as well as issuing clear and timely notices. It also recommends better practices, including minimum notice periods and prompt payment of remaining funds.
It also discusses a bank’s decision to close an account to manage money laundering, terrorism financing and sanctions risks.
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Author: David Jacobson
Principal, Bright Corporate Law
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About David Jacobson
The information contained in this article is not legal advice. It is not to be relied upon as a full statement of the law. You should seek professional advice for your specific needs and circumstances before acting or relying on any of the content.
