First Direct Fees: How to Avoid 'Em or Ditch 'Em Discussion Area

Patr100

redhead999 wrote:

Has anyone else noticed FD's other sneaky trick that they slipped into the 'Changes to terms and conditions' ? If you have an e-saver account and you make a withdrawal they don't pay you any interest for the WHOLE MONTH! How sneaky is that? It's prompted me to claim bank charges back from them with the help of Martin's article and if it's enough to pay my overdraft off I'll be going elsewhere!!

Nothing new or sneaky there.Been like since it was launched what..two years or so ago. Seems some people are a bit trigger happy trying to find reasons to have a go at FD.

peter999

madmalteaser wrote:

Question for anyone in the know since I'm slightly confused (not difficult, trust me) - I do have a dormant current account with first direct (wonder if I can find the details of that account?!) but I also have a First Direct credit card so does this mean they won't charge me?


Edit: No worries, I've just rung FD and cancelled the current account. Nice and easy and the woman didn't sound at all surprised!

You would not have been charged as you have an additional product (credit card).

Too late, hope you don't need that account when other banks get stroppy & First Direct say "on your way".
.

peter999

Patr100 wrote:

Nothing new or sneaky there.Been like since it was launched what..two years or so ago. Seems some people are a bit trigger happy trying to find reasons to have a go at FD.

Banks are very sneaky, that's why they make so much money.
Send you leaflet with changes in Terms & Conditions, hidden with little changes that will affect your account in certain situations.

Public & customers are fodder to the banks.

eg. HSBC credit card balance transfers:
HSBC recently changed T&Cs so payments are now applied
-to pay off balance with LOWEST rate first (any balance transfer at low rate), before any recent transactions (at higher rate).
So they maximise interest due.

used to be:
payments were applied to pay off balance with HIGHEST rate first (new transactions at higher rate).
-So you could make best use of any Balance Transfer on card & continue to use card.

Have I lost you
-that's why banks are sneaky & make money.
.

lauraj_3

I have a First Direct Account and as some people have said I have also found that they offer an extremely high level of customer service. However, I am not willing to pay £10 a month for this privellidge I'm afraid! So I will be moving my account to Natwest which is where I work!! ;-) I have a savings account with First Direct but as I only have £1 in it they said that it is classed as dormant so would not save me from paying the £10 charge!!! Does anybody know how I can tell Martin about this cos in his article he said to just open a savings account with £1 to avoid charge and this obviously hasn't saved me!! :-( We have our joint account there too, and an isa, and between the joint ac and my sole ac pay into First Direct about £2,300 which as this is accross the 2 current accounts means I would still incur the £10 a month charge. Also they said it is one additional product per ac, so I would have to start using my savings account as a savings account and would also have to open a joint one to go with the joint current ac..!!

I'm sure I could think of a way round it as I am sneaky too (!) but I will leave out of principle as I think it is discrimination against people on low incomes.

And also has anyone thought of the fact that the packaged accounts that I know Martin hates charge about the same amount each month but for that you get a range of benefits such as Mobile phone insurance, travel insurance etc!! So why pay the same price and receive no additional benefits!!!

I had a TERRIBLE experience with Alliance and Leicester when we switched there on Martin's advice so that's why we're not moving our ac there. Yes they have fantastic interest rates but that is ALL!!! They have NO customer service, they don't care, and they made numerous mistakes with direct debits etc which cost us loads in charges (which they were unsympathetic about and looked down their nose at us and didn't even listen to try and understand how it had happened and that it was their fault) and affected my partner's credit rating - They didn't set up the dd to his loan (even though it was on the list they sent him to confirm dds and so's) and therefore the loan payment didn't go out and he got in trouble with his loan company, when he spoke to A&L they said he didn't ask them to set it up and denied all knowledge of it, yet miraculously when he got home and checked his on-line banking it had then been set up!! >:/

mrtaus

Can anyone answer me this. FD's FAQ page doesnt have the answer!

I have a current account to which I pay in over 1500 in a month, however also have a joint account which doesn't receive 1500 a month.....

Will the joint account be charged the monthly fee even though I pay over 1500 into my sole account?

I am not going to move at the moment so will open a savings account if I have to but would rather not!

katskorner

I have two current accounts with below £1500 in but always a credit balance, and one savings account with a credit balance. Does this mean I will not be charged the fee on the current accounts?

from the FAQs this does look to be the case but because I hold two current accounts I was unsure.

Dawn2509

I've been with First Direct since they were first established, and have found them very easy and reassuring to deal with.

I happened to have the TV on and heard the headline about the £10 charge, and immediately panicked and started investigating. By the time I'd found very little further information, the item was discussed on the news, and it sounded as though I wouldn't have to pay the charges. Sure enough, the post eventually arrived that day, and the letter stated that, as my account currently stands, I won't have to pay the £10. I didn't find the letter as clear as the news item had been, but, there again, I'd already been comforted.

Since being off work with depression since April 2004, any change like this, any form-filling, any out-of-the-ordinary letters, are very upsetting, out of all proportion. On this occasion, however, I was able to establish quite quickly that, although Income Support is insufficient to meet the £1500 a month, I do have a savings account (not that there's much in it, as IS is barely enough to live on), a credit card, and a loan (for my car, taken out when I was working).

To me, it seems that First Direct have just decided to find a way to encourage people to take out additional services with them. I have found being able to phone them in the early days, and nowadays using the internet to manage my account, suits me perfectly. In my current mental state, I don't want to make any unnecessary changes in my life, and so I'm happy to stay with them, as long as I don't have to pay any extra.

Who else would take me on, anyway?

Dawn

allan2006

i think if you go through the saving account option to avoid the fees, you must credit so much into the savings account each month.

Its a bank i dont think they will let you off 10 quid a month by just leaving a quid in an account.

if anyone has any more info as im in the same position, but we got till the end of january to close our accounts if necessary!

ive got a doormant nationwide flexaccount i am thinking of moving everything back to that, anyone know how that account compares to others?

jeffk

Milarky wrote:

(One thing I don't like FD for, however, are their incessant mailshots - I have never known anyone to send so much junk mail - does it actually work?)

You can opt out of the mailing with a simple phone call though.

I like FD's service, and like you, found A&L dreadful when you needed them to do anything.

I'll stay with them as long as I can keep avoiding the fee.

jeffk

peeweeel wrote:

I went online on the 18th and applied for an A & L internet account at 17.00. I got the acceptance at 17.13.

Just wait till you want them to answer the phone that quickly. :mad:

You've been spoilt with FD - quite the best customer service I've had from a bank since I joined them from NatWest nearly 15 years ago. Unfortunately, my experience of A&L has been the exact opposite - incompetance beyond belief. FD have made two small mistakes in all that time, fixed them over the phone immediately they were notified, and compensated me without being asked on both occasions.

I wouldn't pay the fee, but am happy to jump through a couple of hoops to ensure I never have to, and if getting rid of non-active customers in this way means the continued high level of service for those of us left, I'm all for it I'm afraid. A&L would have to pay me £10/month to bank with them again!

It's not often I jump to the defencec of banks, but for something as critical as a current account, I put service level above headline rates and monthly charges, I'm afraid.