Avoid First Direct - They are gonna charge all customers £10!

pinkfluffybabe

superjames4 wrote:

just called First Direct:
me "I've heard First Direct are going to charge £10pm - is that true?"
FD "something is coming in but it's too soon to tell"
me "but is it likely to be the case?"
FD "yes, but wait until you hear an official announcement, we will write to you in any case"

Oh dear :rolleyes:

CopperPlate_2

superjames4 wrote:

just called First Direct:
me "I've heard First Direct are going to charge £10pm - is that true?"
FD "something is coming in but it's too soon to tell"
me "but is it likely to be the case?"
FD "yes, but wait until you hear an official announcement, we will write to you in any case"

OH DEAR!!! indeed :eek:

CopperPlate_2

"wedges" and "thin edges" spring to mind!

If FD, who were supposed to be the most customer friendly bank (according to whom, I should ask?) are going to start this practice, where on earth does that leave the rest of them? If one sees that another is getting away with it, they'll all soon be jumping on the bandwagon. Or will is incite competition between them?

If this is true, and it appears that something is in the pipeline, then it's a shame that it's FD that's the first to bring it in. It's the sort of thing you expect from one of the Big Four - but then FD is part of HSBC...only the biggest bank in the UK...and which apparently now needs the extra revenue this would generate.

M_Thomson

A big thanks to everyone who claimed back bank charges that they ran up due to it being their own fault. I really look forward to having to pay a fee for my current account and higher rates on credit cards. These fees and interest rate increases will affect people like myself who are on low to modest incomes, yet manage to stay within their overdraft limits.

blueiosoma

If this does happen, would a way around it be to set up extra accounts with them? for instance an e-saver account (this was going to be my intention anyway).

It'll be interesting to see some T&C's about it.

Shame about this though, Ive heard nothing but good about them.

CopperPlate_2

M_Thomson wrote:

A big thanks to everyone who claimed back bank charges that they ran up due to it being their own fault. I really look forward to having to pay a fee for my current account and higher rates on credit cards. These fees and interest rate increases will affect people like myself who are on low to modest incomes, yet manage to stay within their overdraft limits.

I have to say - and this has been said countless times over - that the few spoil it for the majority. I'm not standing on a pillar and saying that I manage my finances perfectly (I never seem to have enough) but I would do without something rather than go overdrawn.

I know that it is hard - sometimes very hard when you are trying to live within restricted means, but I've seen some posts on this site stating that charges amounting to £1500 over 16 months or so have been claimed back!

I cannot imagine how you can rack up charges of this magnitude in, what I think is a short space of time. Maybe I'm just being naive and I'm a very lucky person not to have to watch every single pound or penny that I spend. For that I am grateful, but I don't exist on unlimited means and I can't spend indiscriminately, so I have to know when to stop or I'll be penalised. Fair enough, you go overdrawn and you are charged. Once, twice, three times maybe. But thousands of pounds of charges smacks of being unable to control spending or being in a situation of real poverty where the basic expenses really do outweigh the income. For those in the latter category, such unfair charges should be cut. For the former, they are an appropriate penalty or wake up call to 'cut your cloth'

Sermon over and apologies if I've offended anyone who has racked up charges through no fault of their own, through a situation beyond their control, or through real hardship having an impact on their ability to get by.

CP

Tim_L

Is the idea of YOU actually paying for the costs of your banking so bad? Since it would appear the alternative you are suggesting is that it should be paid for by people in marginal difficulties?

General charging for current accounts is not going to happen any time soon. Banks would love to do it, which is why they are starting to try to offer 'premium' accounts you 'upgrade' to and which bear charges. But the sector is far too competitive for this to become generalised.

MPH80

tim_l wrote:

But the sector is far too competitive for this to become generalised.

Tim - I'm getting fed up pointing this out - so I'm just going to say to read post 132 by me in this thread:

http://forums.moneysavingexpert.com/showthread.html?p=2469303#post2469303

M.

ffacoffipawb

I refer any first direct account holders to this poll (on a not-as-good-as-this site) here ....

http://boards.fool.co.uk/Message.asp?mid=10076671

M_Thomson

Tim_L wrote:

Is the idea of YOU actually paying for the costs of your banking so bad? Since it would appear the alternative you are suggesting is that it should be paid for by people in marginal difficulties?

I have never suggested people in any sort of difficulty should pay tons of bank charges. I think a bank should be sympathetic. However, a high amount of people who claim back these charges are not in difficulty, they just don't manage their money properly. They are part of the ever increasing it's everyone else but my own fault brigade that is taking over this country.

Tim_L wrote:

General charging for current accounts is not going to happen any time soon. Banks would love to do it, which is why they are starting to try to offer 'premium' accounts you 'upgrade' to and which bear charges. But the sector is far too competitive for this to become generalised.

As I said before you are being niave. Read this whole thread. First Direct may start to do it soon, so others will probably follow.