UPDATED info on Nordstroms/TD Bank take over....

Question

Spoke with a scorce very close to the situation in the Nordies EO of credit services because I wanted a few things clarified. After a lengthy phone call, and some reassurrance, this is the breakdown..... 1).  TD Bank will own the debt, not service them. Officially takes over debt on October 1st. 2).  Nordstroms will continue to "service" the credit accts, meaning they still have control over approvals, and CLI on the existing accts, and upgrades to the Visa.   3).  When you call in (in the future)...you will still talk to a Nordies employee, thats not going away. They assurred me that Mr. Nordstrom made it very clear in negoiations with TD Bank, that keeping the relationship with the current cardholders was very important, and will stay active in this. 4).  Even the online accts is NOT changing.  Meaning you will NOT have to "re-register" you card on TD Bank  site.   5). Nordstroms will be sending out letters to all card holders very soon, about the change, and that the ONLY thing changing is that TD Bank owns the debt, they will continuehaving an active role.  This makes me happy.  She said for me to call her back after my acct is 7 months old and she will increase my CL, that will not change

Answer 1

I'm fairly certain this was the same echoing response that's already been floating around since the announcement (and likely the same that is given to other concerned cardholders reaching out to EO).  Doesn't really appear to be much news since the press release though.  Most of the info that you addressed with EO was known... I believe there were a couple more threads floating around in the Credit In The News area of the forums with similar info. Straight from BBR: Nordstrom and TD Bank Group announce strategic credit card relationshipPublished 27 May 2015 Nordstrom and TD Bank Group have announced an agreement under which TD will acquire Nordstrom's existing US Visa and private label consumer credit card portfolio, which currently totals approximately $2.2bn in receivables. In addition, the two companies have entered into a separate long-term agreement under which TD will become the exclusive U.S. issuer of Nordstrom-branded Visa and private label consumer credit cards to Nordstrom customers.This transaction enables Nordstrom to retain all aspects of customer-facing activities, aligning with Nordstrom's strategy of enhancing the customer experience while allowing for improvement in capital efficiency."When we began this process a year ago, our number one goal was to continue to take care of our customers directly. We are pleased to meet this goal through our collaboration with TD, a premiere global financial institution and experienced credit card partner. We found TD to be a strong cultural fit, sharing our customer-focused approach and providing capabilities to help us further enhance the customer experience," said Blake Nordstrom, co-president, Nordstrom, Inc."This agreement with Nordstrom, achieved through great partnership and collaboration, continues the success of our growing North American credit card business," said Bharat Masrani, Group President and CEO, TD Bank Group. "TD will be working with one of the most highly respected retail brands in the world and one with a well-established, national customer base. We are excited that they have chosen us as their credit card partner."
Under the agreement, Nordstrom will sell its credit card receivables to TD at the time of closing. The companies have also entered into a long-term program agreement under which TD, as exclusive issuer in the U.S., will own Nordstrom Visa and private label consumer credit card accounts and fund the associated receivables.Nordstrom will continue to perform account servicing functions, maintaining the current deep integration between its credit and retail operations. Nordstrom will continue to fund and manage the Nordstrom Rewards loyalty program, Nordstrom debit cards, and Nordstrom employee accounts.The terms of the Nordstrom Rewards loyalty program will remain unchanged as a result of this transaction. Nordstrom will be entitled to receive a substantial portion of net revenue generated by the credit card accounts.Subject to regulatory approvals and other customary conditions, this transaction is expected to close in the second half of calendar 2015 and to have a minimal impact on Nordstrom cardholders, customers and employees.TD will fund the transaction with available resources. Nordstrom is currently assessing plans for the use of proceeds in a manner that aligns with its capital allocation approach of returning shareholder value. Nordstrom expects to provide a further update on the financial impact of the transaction in the second half of 2015.