M&S Money Announces Reduction of Loan Rate to 6.9% APR

LONDON, March 3, 2011 - M&S Money has revealed is has reduced the rate on its personal loans from
7.5% APR to 6.9% APR (representative).

The offer applies to individual loans (
money.marksandspencer.com/loans/personal-loans/overview/) between
GBP7,500 and GBP15,000.

Loans are available between GBP1,000 and GBP25,000 with flexible
repayment terms over 12 to 84 months. Customers who apply for a personal loan
(money.marksandspencer.com/loans/personal-loans/apply/) with M&S Money
have the option of making no repayments for the first three months, subject
to lending criteria.

Colin Kersley, M&S Money chief executive, said: "Our new loan rate,
together with the M&S Credit Card offer of 0% for 15 months on shopping,
makes our credit products highly competitive in the market."

The offer is also available with M&S Car Buying Plan which allows
customers to defer a fixed percentage of their loan, giving them a number of
options at the end of the term. These options include the customer keeping
the car and continuing to make monthly payments until the whole of the loan
is repaid, the customer keeping the car and paying off the remainder of the
loan with a lump sum or the customer can sell the car and use the money made
from the sale to pay off the remainder of the loan.

About M&S Money:

M&S Money (the trading name of Marks & Spencer Financial Services) was
founded in 1985 as the financial services division of Marks and Spencer Group
plc.

The company is a top ten credit card provider and the second largest
travel money retailer in the UK. M&S Money also offers a range of insurance
cover, including home insurance and car insurance, as well as loans, loan
payment protection (
money.marksandspencer.com/loans/personal-loans/payment-protection-insurance/)
, savings and investment products.

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In November 2004, Marks & Spencer sold M&S Money to HSBC. HSBC Holdings
plc, the parent company of the HSBC Group, is headquartered in London. The
Group serves customers worldwide from around 8,000 offices in 87 countries
and territories in Europe, the Asia-Pacific region, North America, Latin
America and the Middle East. With assets of US$2,418 billion at 30 June 2010,
HSBC is one of the world's largest banking and financial services
organisations. HSBC is marketed worldwide as 'the world's local bank'.

M&S Money has an executive committee comprising an equal number of
representatives from HSBC and Marks & Spencer.

    PR Contact:

    Liz Neild
    Media Relations Manager
    M&S Money
    8 Canada Square
    Canary Wharf
    London
    E14 5HQ
    +44-(0)1244-686-068
    money.marksandspencer.com

PR Contact: Liz Neild, Media Relations Manager, M&S Money, 8 Canada Square, Canary Wharf, London, E14 5HQ, +44-(0)1244-686-068, money.marksandspencer.com