Bank of Ireland sells credit card business to Jaja
A consortium led by digital finance company Jaja Finance has acquired Bank of Ireland UK’s credit card portfolio which comprises of Bank of Ireland UK, the AA and Post Office-branded consumer credit cards.
The sale excludes the bank’s Northern Ireland commercial credit card portfolio, while credit cards issued in the Republic of Ireland are also not impacted.
Jaja paid about £530m for the credit card business, the acquisition forming part of its plan to become a major player in the UK credit card market.
Jaja has plans to launch a digital credit card which will be set up and managed on a smartphone app. The card will offer free cash withdrawals and be fee-free to use abroad. It’s not available yet but potential customers can join a waiting list.
Neil Radley, CEO of Jaja Finance, said: “This announcement with Bank of Ireland UK is an exciting and important development in Jaja’s journey and is part of our strategy to create partnerships that will help more people embrace a simpler way of managing credit. Our vision is to enable a new generation of mobile-first credit card products with unrivalled functionality, service and security. We’re excited to be welcoming Bank of Ireland UK customers as cardholders.”
What does the acquisition mean for the Bank of Ireland’s credit card customers?
If you have a credit card with the Bank of Ireland, the AA or Post Office, you can continue to use your credit card as normal and will still have access to the same customer support as previously.
But at some point in 2020 your account will be passed to Jaja – you’ll receive a letter before this happens.
The AA stopped accepting new credit card applications from UK customers earlier this year, while the Post Office is also not accepting any credit card applications at the moment. However, the Bank of Ireland is still offering credit card deals.
The terms and conditions on your credit card should remain the same under the new ownership – you’ll be informed if the interest rate or repayment terms change.