A scandalous publication about discriminatory treatment from a British bank towards Bulgarians circulated around the web in the recent weeks and provoked a severe reactions in Bulgaria . The article “ Banking fascism of Barclays against Bulgarians“ describes the story of a student in the UK, presented as Todor Baychev , who receives a letter from the British bank. It says that his account will be closed from the middle of April , and as the reason the bank indicates that this is part ot its new policy – to focus its activity on 70 leading markets , and Bulgaria is not one of them.
The BANKER Weekly decided to check that information from the source , ie from Barclays , and understand whether the published is true and what exactly will happen to the bank accounts of the Bulgarians in the UK.
„From Bulgaria we will no longer accept new clients , nor provide to existing clients in our Wealth and investment management services „, said a spokesperson from Barclays . This decision will impact the Bulgarian clients who do not have residency in the United Kingdom . In other words the residency of a person who wants to open an account with Barclays, is now key in the new approach of the bank . For example, if you are registered by documents in Bulgaria, the bank simply will not accept you as a new customer . But if a Bulgarian has residency in the UK or is resident in any of the other 69 countries ( many of them in the European Union) is welcome to open an account with Barclays. The same principle applies if a person has an existing account with the bank, but the status of residence changes (as in the case of the student).
As reasons for the change bank indicates the overall strategy to reduce costs and therefore the number of countries from which the financial institution accepts new clients. „This allows us to better serve our existing customers in our chosen locations,“ says the response from Barclays. On our question whether their policy specifically to Bulgaria is influenced by others – political or social reasons – the bank stressed that the decision was not based on such motives or influenced by the risk profile of customers from Bulgaria.
The specific case of the Bulgarian student has many conventions that could have led to the closure of his account. First, it matters what is the type of the account and how will change the status of the student , after he finishes his education in the UK. For the „Banker“ from the bank explained that the case of the Bulgarian student is probably about change in his permanent resident status after he finished his education in the UK. The British lender firmly denied thah the decision have a connection with the recent tensions in Europe related to immigration flows to the United Kingdom.
A major bank like Barclays would not risk its image or risk being a subject of criticism for discriminatory behavior. The truth is that the British bank has no special relation to the Bulgarians, nor discriminate against our compatriots who live in the UK.
Barclays as well closes bank accounts to individuals and business clients in the United Arab Emirates. Servicing new and existing customers will be discontinued andinthe Isle of Man, as well as many other markets .
Here is what the Barclays spokesperson also said :
Barclays presented Wealth and Investment Management’s new strategy in september 2013. It includes gradually phasing out of services in nearly 130 countries by 2016 and cutting jobs as part of efforts to reduce costs and optimize profits. The bank will focus more on their strengths and work where its business is profitable. Its strategy involves focusing on 70 leading markets in the world. The basic principle of the new policy is the status of an official residence in the country.
