Lloyds Bank will this week become the first UK bank to let customers deposit cash in their accounts at local shops, using PayPoint’s national retail network.
How the New Feature Works
From Tuesday, August 26, Lloyds customers will be able to deposit up to £300 a day, with a maximum of £600 per month, without visiting a branch.
- Customers generate a barcode using the Lloyds mobile app.
- The code is scanned at more than 30,000 PayPoint stores nationwide.
- Barcodes remain valid for two hours after being created.
- Deposits can be made using either notes or coins, making it easier for households to manage cash locally.
A Push for Convenience
The bank says the move is designed to give customers more choice and reduce reliance on physical branches.
Gabby Collins, payments director at Lloyds, said:
“We’re always looking for smart ways to make banking more flexible. Our latest app feature now allows customers to pay in cash at their local PayPoint in just a few minutes – ideal if they are popping in for milk or dropping off a parcel.”
PayPoint’s Expanding Role
Nick Wiles, CEO of PayPoint, welcomed the partnership, saying it would strengthen the company’s role in communities.
“The ability of Lloyds customers to make cash deposits into their accounts at over 30,000 PayPoint locations will deliver more convenience and access for customers close to where they live.”
PayPoint already provides services including bill payments, parcel returns, and government transactions, with its stores often serving as a financial lifeline in areas with fewer bank branches.
Why It Matters
With many high street banks closing branches in recent years, the scheme offers Lloyds customers a more accessible way to handle cash. Industry observers say it could also set a precedent for other UK banks to follow.
