First direct vs Citibank? (in terms of current account)

insurgente

Hi all,

I currently use Lloyds TSB as my main current account. No gripes with it but nothing that gives me a strong desire to stay (we're plodding along) so I'm considering changing.

In the next few months I'm likely to need an overdraft (preferably interest free) so I'd considered Santander (either with the £1000 overdraft or even the 5% interest option) but hearing all the customer service horror stories I've resisted.

People rave about First Direct and their £250 overdraft may do for me in a pinch, plus I may be able to get the £100 bonus. I understand with First Direct you can go into any HSBC branch, which would be alright as it's walkable from my house.

But I just came across this Citibank offer. Does anyone have experience (good or bad) with their current accounts? The £500 interest overdraft tempts me. And being able to use the card in the US and Latin America without charges would be cool. However I could always get something like a Metrobank account for the same purpose. What puts me off is the fact that Citibank seem to have about 3 branches (and I live in London!). Unless you can use other bank's branches? I only ever go into a bank branch to pay in cheques...

fawinds

Citibank is an odd bank.

They opened an sterling current account and sent me a cheque guarantee debit card. Not bad. But when I ordered a cheque book they wrote to tell me I need to pay in at least £2000 into the account otherwise they will not issue a cheque book :mad:

Anyway I have paid in the money and ordered again the cheque book. Now I'm waiting for it to arrive. Or for another letter and another excuse...

For the overdraft they want you to pay in a salary of at least £1250. Since my main account is with HSBC, I have an standing order to pay £350 weekly into the Citibank account. Not sure if they will accept this for the overdraft, but I will know soon as I intend to apply by December.

The only thing I miss with Citibank is Faster Payments. Only BACS is available.

knightfox

I agree with missing the faster payments with citi bank. I got use to it from RBS & HSBC. Its a bit of a shock.

I found Citi an easy bank to open an account, very fast. Paying money in is easy if you want to use a cheque. They have envelopes for sending cheques to them.

FD are a great bank as well. I dont know if you can use HSBC, I dont like going to any branchs. Internet banking is for me.

MrOrchard

Faster payments are coming to Citibank before the end of 2010. Apparently.

premierfella

Don't hold your breath for Faster Payments - Citi have been promising various implementation dates for around two years. It will of course be nice if they hit this one, even if its in a "Nationwide"-style very gradual manner!

Something to bear in mind with Citi other than things already mentioned is the call centres. I now have Citigold, which comes with UK call centres. I have no particular problem with offshore call centres where they are of a reasonable standard, but having experienced Citi's when I had a standard Citi account I can say that they are (in my experience) of a very poor standard both in terms of service provided and being able to understand the call centre staff. I'm talking Santander levels of service on the telephone here! If you can get to one of their branches though the service provided is very good with Citi.

michaels

I have stopped using citi except when abroad (although calling and asking to have the currency of your debit card changed is a pain, can't see why this can't be done online - or as originally have multiple debit cards for each currency account?) because of faster payments (or lack of) and a few other niggles - I get the impression that since the credit crunch they are not really putting so much effort in to the UK consumer banking arm and would not be entirely surprised if they quit the market.

You can pay in cheques or cash at any lloyds branch with citibank.

I find first direct very good for online and via phone and their faster payments service probably the best.

insurgente

forgive my ignorance but what is ''faster payments''?

The option you have to pay for instead of BACS?

Or is it something free? Occasionally with my lloyds account I'll be able to send money to a friend the same day. is it that?

is there any benefit to having a multi-currency Citibank as opposed to something like say, a Metrobank (or in the old days, Nationwide) account that gives free withdrawls abroad?

Seems I'd lean towards first direct then...just the £500 overdraft is a temptation

Fiddlestick

insurgente wrote: »

forgive my ignorance but what is ''faster payments''?

The option you have to pay for instead of BACS?

No, you're thinking of CHAPS.

Faster payments is sort of like a realtime version of BACS.

knightfox

insurgente wrote: »

forgive my ignorance but what is ''faster payments''?

The option you have to pay for instead of BACS?

Or is it something free? Occasionally with my lloyds account I'll be able to send money to a friend the same day. is it that?

is there any benefit to having a multi-currency Citibank as opposed to something like say, a Metrobank (or in the old days, Nationwide) account that gives free withdrawls abroad?

Seems I'd lean towards first direct then...just the £500 overdraft is a temptation

Faster payments are free and is sending cash from one account to another that day.

As you said Citibank are multi currency. That means you can have an account for Euros & for ££ as well as many other currencies. Its good if you travel or plan to as you can build up a hold of money in the currency you need.

So if you travel to Europe you need to use Euros. So you can spread this over the year like you would save for an event. You can also convert the cash at good rates instead of when you buy the money before travelling.

With nationwide you are still tied to the exchange rate of when the transaction is processed.

FD have great customer service, but do like to see you products.

premierfella

michaels wrote: »

I get the impression that since the credit crunch they are not really putting so much effort in to the UK consumer banking arm and would not be entirely surprised if they quit the market.

I'm fairly sure I read somewhere at some point since the global financial crisis that Citi's UK retail banking business is part of their portfolio of assets which they plan to sell, run down or close. That said, they are refitting the Canary Wharf branch in London at the moment, which suggests either they have decided to keep it as a going concern after all or they have adopted a "sit and wait" strategy to maximise the value of any sale of the UK arm.

Hazzanet

premierfella wrote: »

I'm fairly sure I read somewhere at some point since the global financial crisis that Citi's UK retail banking business is part of their portfolio of assets which they plan to sell, run down or close.

I do hope not. Whilst their telephone service is at times, questionable, the fee free currency accounts and free withdrawals in the currency of the account are undoubtedly fantastic value.