Halifax

Halifax is one of the best known names on the British high street, offering bank accounts, savings, ISAs, mortgages, credit cards, personal loans, overdrafts, car finance, insurance, pensions and investing¹. It sits in the same group as Lloyds and Bank of Scotland, and the Halifax brand is currently changing to Lloyds, which means some products are gradually moving across to the Lloyds name².

Day to day, a Halifax current account costs nothing to run while you stay in credit, though other fees can apply, for example when using your Visa debit card outside the UK³. Eligible money held with Halifax is protected by the Financial Services Compensation Scheme up to £120,000⁴. Halifax sits alongside Lloyds and Bank of Scotland in the same banking group, and as explained later on this page, that has consequences for how much of your money is protected if you use more than one of these brands⁵.

What Halifax offers

Halifax covers most of the things a household does with money. On the banking side there are current accounts, including a basic account for people who do not qualify for the standard range, plus joint accounts. On the savings side there are savings accounts and cash ISAs, alongside stocks and shares ISAs and share dealing for investing. Borrowing includes credit cards, personal loans, overdrafts, car finance and mortgages¹.

Loans are provided by Halifax, which is part of the same banking group as Lloyds and Bank of Scotland⁸. That matters for protection: as explained at the end of this page, eligible deposits held with Halifax are treated separately from any money you hold with Lloyds Bank, so the two do not count together towards one protection limit.

Halifax also publishes a set of savings calculators on its own site, covering how long it will take to reach a savings goal, what regular saving could build up to, and how large an emergency savings buffer might need to be⁹. For a wider view of each product type, see our guides to current accounts, savings accounts, ISAs, mortgages, credit cards, loans, investing and pensions.

Halifax current accounts and how their charges work

The standard Halifax Current Account has no monthly fee: Halifax describes it as free everyday banking when you stay in credit, with other fees possible, for example when you use your Visa debit card outside the UK³. There is no charge for withdrawing cash at a Halifax ATM with a debit card, and Halifax will not charge you for using another bank's cash machine in the UK, though the machine's owner might, so it is worth checking for charges on the screen first⁶.

Halifax is clear that the features and benefits of your account stay the same through the current brand change, and that regular payments such as your salary, standing orders and Direct Debits carry on being paid into and from your account as usual¹⁰. Joint accounts are available, with access through Online Banking and the Mobile Banking app, and you can switch either a solo or joint account from another bank into a joint account with Halifax, provided both people's names are on the new account before the switch is made¹¹.

For people who do not meet the conditions for the standard accounts, for example because they are bankrupt, in financial difficulty, or because information on their credit history cannot be obtained, Halifax offers a Basic Account. You cannot apply for it directly: you start an application for a current account and Halifax may offer the Basic Account instead, following a soft credit search that does not affect your credit score¹². See our guide to current accounts for how these accounts compare across the market.

Charges on the borrowing side work differently from the current account. Some Halifax credit cards carry a monthly account fee, typically on cards with a reward such as cashback or reward points, charged to your statement each month; others carry an annual account fee, charged once a year around the anniversary of the account opening¹³. Halifax's own site lists the current fees for each product.

Savings, ISAs and investing with Halifax

Halifax offers both Cash ISAs and Stocks and Shares ISAs⁴. Within stocks and shares there are two routes: a full stocks and shares ISA aimed at experienced investors, and Ready Made Investments, which use three ready-made funds and are aimed at newer investors⁴. Cash ISAs come in several forms. A regular cash ISA runs for one year, after which the account changes to an Instant ISA Saver¹⁴. A fixed rate cash ISA runs for one, two or five years, and again changes to an Instant ISA Saver when the term ends¹⁴. The Junior Cash ISA works on the same principle: when the child turns 18, the account changes to an ISA Saver Variable in their name, with full access to the money, and they can continue saving tax free¹⁵.

The practical point is that your money does not disappear at maturity: it moves automatically to a variable account and stays within the ISA wrapper, so it continues to benefit from ISA tax treatment. What changes are the terms, including the rate, which is why it is worth reviewing the account at that point rather than leaving it indefinitely. Our ISAs guide explains the annual allowance and how the wrapper works.

For investing directly in shares, Halifax offers a Share Dealing Account. To open one you need your address, debit card details and national insurance number to hand¹⁶. Cash in the account can be withdrawn to your nominated bank account online or via the app once it has been credited, and the eligible money you hold is protected by the FSCS¹⁶. Moving existing shares into an ISA has limits: only shares transferred from an HMRC approved scheme can go directly into an ISA, while other holdings can be sold and repurchased within the ISA, known as a bed and ISA, provided the investments are ISA eligible¹⁶. See our investing guide for how share dealing accounts work.

Borrowing with Halifax: cards, loans and mortgages

Halifax's credit card range covers four purposes: large purchase cards, balance transfer cards, everyday spending cards and travel cards¹⁷. Which one suits you depends on what you need the card for, and Halifax's guidance on choosing explains the differences¹⁸. Some cards also allow money transfers, moving funds from your credit card to your UK current account, though transfer fees may apply¹⁹. Balance transfer cards move existing card debt onto a Halifax card; Halifax's balance transfer page sets out how these work and what to check before applying²⁰.

Credit card charges to be aware of include cash transaction fees, which are usually a percentage of the transaction amount, with interest possibly applying from the date of the withdrawal. Cash transactions include ATM withdrawals, buying foreign currency, money orders, wire transfers, paying government or court fines, online trading and topping up electronic money or mobile wallets¹³. Halifax describes cash withdrawals as usually the most expensive way to borrow on a credit card¹⁹. Halifax does not offer credit card cash withdrawals over the counter at its branches⁶.

Personal loans can be used for a wide range of reasons: buying a car, debt consolidation, home improvements, weddings, holidays and energy efficient improvements among them⁸. If you have a Halifax current account you can log in to online banking, answer a few questions and get a quote, and Halifax states that this quote will not affect your credit score²¹. Loans can be repaid early: Halifax's early settlement process explains how this works and what it may cost²². You can pay online if you have a current or savings account with Halifax²². Our loans guide explains how personal loans compare with other ways of borrowing.

On mortgages, existing Halifax mortgage customers can apply to switch to a new deal or borrow more, provided their mortgage payments are up to date, and Halifax states that this eligibility check will not affect your credit score even if you cannot borrow more²³. Halifax also publishes guidance on whether you can get a mortgage with bad credit, which sets out how it treats things like missed payments and defaults²⁴. See our mortgages and home buying guides for how the process works.

Who can get a Halifax account and how credit checks work

For a Halifax credit card, the basic conditions are being a UK resident, aged 18 or over, with a regular income, and not being a student or unemployed²⁵. Halifax's guidance also says you will not qualify if you have been declined for a Halifax credit card in the last 30 days²⁵. A second credit card application is subject to a full credit and affordability check¹⁷.

Before applying, Halifax offers an eligibility checker, which it calls Simple Check¹⁸. It shows which Halifax credit cards you can apply for and what credit limit you might get, and Halifax states that this check does not affect your credit score and carries no obligation to apply²⁶. A full application, by contrast, involves a full credit search that is recorded on your file.

Halifax also offers a free credit score service, called Your Credit Score, provided by TransUnion. It is free to check and does not affect your credit file, and you can register for it online or in the Mobile Banking app²⁴. If an application is declined, that is not the end of the road: Halifax states that you can still apply for a Halifax loan⁸. Our credit scores guide explains what lenders see and how to improve it.

For joint accounts opened online, both applicants need to already hold one or more Halifax products, which can be a current account, savings account, credit card, loan, mortgage or share dealing account¹¹. People who cannot get a standard account may be offered the Basic Account, as described above¹².

How to open a Halifax account or switch to it

You can apply for a Halifax current account online, in branch or by phone²⁷. Accounts can be opened in the app or online without visiting a branch in some cases; where a branch visit is required it can be made without an appointment; and Halifax can also accept documents and information electronically, or by post²⁸. For identification, in most cases you only need one document: a current UK photo driving licence, a UK passport, or a Biometric Residence Permit card²⁷. As part of the application, Halifax will also run checks to confirm who you are, and who anyone else authorised to operate the account is²⁷.

Switching uses the Current Account Switch Service, which moves your old account, held elsewhere, to either a new or an existing Halifax current account and completes within 7 working days⁷. To switch you need the details of the account you are leaving: the sort code, account number, name of the account holder, and the 16 digit debit card number and expiry date from your old bank²⁷. For a joint switch, Halifax also asks for your home address, income details and any arranged overdrafts on the old account¹¹. Remember that you cannot switch a joint account into a solo account until the second party has been removed from it¹¹.

The Switch Service redirects payments that arrive at your old account, moves your standing orders and Direct Debits, and arranges for the old account to be closed. Our current accounts guide explains the guarantees the service gives you if something goes wrong.

Banking with Halifax: app, online, branches and phone

The Halifax Mobile Banking app is available to Online Banking customers, and to use it you need an up to date phone number registered with Halifax, Wi-Fi or data on your phone, and an Apple App Store or Google Play account²⁹. Halifax has said it will be closing the app and online banking for the Halifax brand as part of the move to Lloyds²⁹. Customers who do not use online or mobile banking can start using the Lloyds app now to see their existing Halifax accounts, using their Halifax account details²².

For cash, withdrawals over the counter at a Halifax branch are no longer available, and Halifax does not offer credit card cash withdrawals over the counter either⁶. You can withdraw cash at any Lloyds, Halifax or Bank of Scotland branch, subject to your remaining balance and the cash held at that branch³⁰, and you can deposit and withdraw cash at the Post Office just as you would at any Halifax branch³¹. You can also take out up to £300 a day from your current account at selected PayPoint stores across the UK, free, using your debit card and PIN³².

Halifax states that you can contact it in exactly the same ways as now, using the Halifax, Lloyds and Bank of Scotland apps, online banking, in branch or by phone³¹. Credit cards can be applied for online, by phone or in branch²⁵, and in the Halifax app, provided you are registered for online banking, by selecting Apply and then Credit cards²⁶.

Halifax is changing to Lloyds: what it means for customers

The Halifax brand is changing to Lloyds². Halifax says everything about how your accounts work stays the same, including your account numbers, sort codes, policy numbers and roll numbers, your card details and PINs, your standing orders and Direct Debits, and your payments and repayments². Your credit score will not be affected by the change², and the protection you have stays the same³³.

Some products are already moving. Halifax says you can still apply for a Halifax loan right now, but there will come a time when Halifax loans stop being available³³. Credit card applicants may be directed to Lloyds²⁶. If you use the Halifax app you can continue to apply for a Halifax savings account⁹. The features and benefits of your current account stay the same, and regular payments carry on as usual¹⁰.

Nothing about the change requires you to act on a message: as with any bank, be wary of texts or calls claiming you must do something urgently because of the rebrand. The scams and fraud guide explains the current patterns.

Scams, service record and making a complaint

If you get a call claiming to be from Halifax, you can check it was genuine by hanging up and dialling 159, which connects you to Halifax³⁴. Suspicious texts can be forwarded to 7726, a free number for reporting scam texts³⁵. Halifax also warns about SIM swap scams, where a fraudster who has stolen your details contacts your mobile provider to move your number to a new SIM, so that they receive your bank security codes³⁵.

For scams where you are tricked into sending money yourself, Halifax reviews all scam cases to make sure a payment was made with genuine care and can then decide on a refund for any money lost³⁶. Halifax offers 24 hour help for reporting a suspected fraudulent incident or transaction³⁷, and its guidance is to get in touch immediately if you think you have been a victim of fraud. Halifax publishes personal service quality information covering things like how it handles fraud reporting³⁷.

To complain, contact Halifax first. If Halifax cannot settle your complaint, you can refer it to the Financial Ombudsman Service, which is free and independent³⁰. Halifax's number for calls from the UK is 0345 720 3040³⁸. Our consumer protection guide explains the ombudsman process step by step.

FSCS protection: shared across Halifax and Bank of Scotland

The Financial Services Compensation Scheme protects up to £120,000 of the eligible money you hold with Halifax⁴. That limit is applied to the total of any deposits you have with Halifax, Bank of Scotland, Bank of Scotland Private Banking, Lloyds and Lloyds Bank³⁹. In other words, money in accounts under these brand names counts together towards one £120,000 limit, so spreading money between them does not increase protection.

Halifax states that eligible deposits held with Halifax will continue to be considered separately from any money with Lloyds Bank, and that FSCS protection is unchanged by the brand change². So a customer with money at both Halifax and Lloyds Bank has two separate £120,000 limits, one for each bank, while money at Halifax and Bank of Scotland shares a single limit.

The same protection covers investing: the FSCS protects the eligible money you hold with Halifax share dealing¹⁶. Halifax's banking business is authorised by the FCA, with its status effective since 1 December 2001, and its permissions include accepting deposits, entering into regulated mortgage contracts as lender, and entering into regulated credit agreements as lender⁵. Our consumer protection guide explains what FSCS covers and where it stops.