THIS Friday (June 18) Halifax will start shutting the doors of its 44 branches for the last time, and some 750 staff will be left without a job. The second phase of branch closures will occur on June 23.
Current accounts, credit card accounts and short-term savings accounts will be shut down. Customers need to cancel any direct debits or standing orders, and any money left in accounts will be paid back to customers.

Current accounts
Once your Halifax branch closes you current account will be closed and your debt card (Visa debit) will no longer work. You must clear any money you owe the bank, including an overdraft. If you can’t, you will be offered a personal loan at 10% for between one and five years.

If you have exceeded your authorised overdraft facility for four consecutive months or more the loan won’t be offered to you. Instead, the current overdraft rate of 12.93% for an authorised overdraft (and 23.75% for an unauthorised one) will apply.

Switching code
The Irish Banking Federation has put in place a switching code that it has standardised the switching process to help you switch current accounts across all banks so no matter which bank you choose, it should be smooth and easy. You should also be up and running in about seven days with all of your payments and direct debits ready to go. Best of all, the banks will do most of the work for you.
Best alternative: Permanent TSB’s Switch account pays 2% interest if you lodge €1,500 into the account every month. Fees and charges are low.

Credit cards
If you cannot clear your credit card balance, and provided you are not more than one month in arrears, you can avail of a loan. Instead of paying the 13.4% credit card rate the loan rate is 10% and you can still pay as little as 3% of the balance each month. The loan stays in place until the loan is cleared.
Best alternative: AIB Click card with a purchases rate of 9.5%.

Personal loans
Your Halifax loan will continue under the existing terms until it is paid off or you decide to close it early. If you wish to redeem your personal loan early the bank may force you to pay an early settlement fee

Mortgages
Your mortgage will continue under its existing terms as normal until it is paid off or you decide to switch to another financial provider.

Deals
The bank insists it will not do deals on outstanding credit card or loans. If you cannot pay the bank says your debt may be taken over by a debt collection agency.