Christmas savings club puts trust in Co-op Bank

VARIETY Christmas Saving Club, based in Newton Le Willows, has placed the £14m savings of its customers in a Co-operative Bank trust account.

There has been a loss of confidence in Christmas savings schemes, following the collapse of hamper firm Farepak two years ago, which resulted in more than 100,000 people losing £40m in savings.

But Variety director Sean Polding said he is confident the money of its 50,000 customers will be safe with the bank.

Valerie Leah, business development manager for The Co-operative Bank, said: “Following the incident with Farepak two years ago and today’s uncertain economic climate, many customers are cautious about Christmas saving schemes. However, we are in a strong position to provide secure saving.”

Christmas savings schemes allow customers to save money regularly throughout the year, and then receive it back as high street store gift vouchers in time for Christmas.

The Variety Christmas Saving Club started 30 years ago and the family-owned business has more than 4,000 agents who operate schemes for friends and family.