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

jeffk

dealseeker wrote:

and I virtually never used the account. Hae asked explicitly not to be sent ANY more marketing material. I get a rainforest worth of bumpf from them every month and will be glad to see the back of it (kept it going on basis of mortgage challenge offers etc.)
:T

I'm sure they'll be glad to see the back of you too.

Seems to me it is people like you we should thank (at least in part) for FD moving towards this charging model.

I'm sure everyone happy with their excellent service, helpfull UK call centre staff, and quickly answered phones who are now forced to move due to not meeting the £1500/month requirement* will thank you as well.

(*I know at the moment £1 in a savings account will do it, but don't believe for a moment this won't be next when they notice it is held along with an equally dormant current account by customers still not using them as their main bank. Caught up in this will doubtless be the poor s0ds who do, but don't earn enough to exempt themselves any other way.)

SparciaM

DemiDee, Co-op did close the Christian Voice account as they were being extremly detremental to Gays. There were being extremly outspoken that being gay was wrong, they should die etc etc, So I feel that Co-op closing the account was ethical. Yes we have freedom of speech, but god teaches us to love everyone, not just the few whom we like.

Moneymode, granted you'd get through to someone straight away. But I called FD to sort my sav acc and cc and it took 40 mins plus a 15 min call back and I was transferred between 4 departments. With that in mine, I'd much rather sit in a queue for 5 mins max and then the advisor I get sort everything out there and then. I do like FD, as you get through to someone straight away, but the fact that only certain people know certain things in beyond me. FD_EMPLOYEE mentioned that there were going to radically change this so when you get the 1st advisor they'll be able to sort everything out there and then. If and when that happens, I may consider moving my acc back to FD. Until then, I prefer smile in the fact that I get everything done over the phone (when I do call in, which is hardly never) and when I send a message online I get a reply within 40 hours. FD, i'm still waiting for a reply to a message I sent 10 days ago and counting!!!

Enjoy

I have 2 current accounts and I'm using both the overdrafts, I dont meet the requirements to have free banking, so I phoned up today and have opened 2 savings accounts (if I'd only had 1 current acc. I would only needed to open 1 savings acc.) and I will be paying by standing order 50p in each per month, so I've avoided the £10 fee and I'm staying with the bank I like, they answer my calls within seconds and excellent customer service, so I'm happy I dont have to change back to girobank/Alliance Leicester.

dinger

IMHO FD are simply doing that.

The big give away is the word "may".

In the last sentence of the third paragraph of the letter sent to acccount holders it says "If you choose not to do this (referring to paying in £1500 tec.) we may charge you a banking fee of £10 a month for the account. It's my guess they will be monitoring closely the response they receive from their customer base from the announcement until FEB 2007. The word "may" has given them an opportunity to "back pedal" without looking too silly.

I have had good customer service experiences with my account as have my friends and family but they are not top as far as interest rates and charges are concerned.

I have an e-savings account with them which I opened for security reasons, let me explain. I transfer most of my income to the e-savings account and feed my current account as and when it is needed. If the security of my bank account is compromised I'll not be taken for a lot of money until it's sorted out. Ultra cautious I know.

My advice for anyone who really do want to keep their account is simply open an e-savings account with £1 or take out a credit card. (Although they may expect a certain level of use on the credit card.) The flaw with the e-savings account despite it's high interest rate is that no interest is earned in the month that a withdrawal is made (the full month). This term is of course in the small print. This can seriously dent the actual APR.

If they start to impose onerous terms on the e-savings account (which i doubt) I shall have no hesitation but to move elsewhere. Changing bank accounts in the past was a major time consuming and stressfull operation and fraught with difficulties. Now it's very straight forward with most banks/building societys having dedicated staff to oversee this for you.

One thing we should all do is to call their bluff. Myself, my friends and family have all asked them by email questions about the charge and finshed off asking if they can let us know which other banks and building societies provide switch/maestro debit cards. Hopefully many others will respond similarly to frighten them into abandoning this "threatened" charge.

Giselle2

Reading thier internet banking web site about proposed revision to T&C's to come into play May 07.

They intend to introduction an Arrangement Fee of £25 for an 'Informal' request to increase overdraft facility.
That is there will be two ways to increase OD facility,
• Formally request it
• Informally request it – i.e. by authorising a payment that would mean you over step your limit
These ‘arrangemet fees’ can accrue during the statement period just like the present overdraft and excess overdraft charges. Though they won’t charge more than one fee per day, it seems that more than one fee will be charged if the overdraft continues to increase as more items debit.
This just looks to me like a replacement for the overdraft penalty fees at FD with a so called arrangement fee. I am assuming unfairly high ‘arrangement fees’ can’t be considered illegal in the same way penalty charges can.
What do you reckon?

murphydavid

dinger wrote:

I have an e-savings account with them which I opened for security reasons, let me explain. I transfer most of my income to the e-savings account and feed my current account as and when it is needed. If the security of my bank account is compromised I'll not be taken for a lot of money until it's sorted out. Ultra cautious I know.

You sure about this? If a bady gets your details they won't respect your O/D limit they will just overdraw your current account and FD will let this happen. You don't have to have money in your current account to withdraw money. Also if your login or phone in details are compromised it will get them into both accounts.

moneysavingamateur_2

I've been a First Direct customer from the early days and they really have been my favourite bank! I have always been charmed by the delightful people on the other end of the phone and their web-site is easy to use too. I've current, e-savings and credit card accounts, with enough going through them each month not to be caught by the fee. However I now feel angry and disappointed cos I've recommended FD to lots of people and this proves to me that long term loyalty is an idiotic idea. :mad:

I am seething about the charge and plan to move my accounts elsewhere. It will affect people like my sons and me too when I retire fairly soon and I object in principle to them targeting their low income customers and encouraging them to 'save money' by taking out even more expensive services.

The word is from within HSBC is that most of the large banks are dying to bring the UK in line with the rest of Europe to make us pay for our 'free' banking. Unless FD lose substantial numbers of customers others are sure to follow. The days of free banking are probably numbered unless lots of us loyal customers ditch FD in protest.

stevevans

I have banked with First Direct from the early nighties. With 2 current accounts, 2 saving, 1 e-saver and 1 VISA.

I am not affected by this charge.

BUT I am not putting up with it for others. So on the day the charge was announced I walked into the HALIFAX and opened up new accounts. They will give me £100 pounds to switch high interested and cash back. It only took 20 mins.

Everyone should move and teach First Direct and the watching banks a lesson they will never forget.

Phoenix79_2

moneysavingamateur wrote:

The word is from within HSBC is that most of the large banks are dying to bring the UK in line with the rest of Europe to make us pay for our 'free' banking. Unless FD lose substantial numbers of customers others are sure to follow. The days of free banking are probably numbered unless lots of us loyal customers ditch FD in protest.

We must be hearing different things then. HSBC Bank have stated as well as having fee paying accounts (Premier, Plus and Passport) it also has a range of free bank accounts and doesn't expect that to change.

gt94sss2

As I don't think its been mentioned here before:

First Direct have placed a podcast on their their website entitled "charging update - interview with Chris Pilling" which is described as "After a week of intensive media attention we caught up with Chris Pilling to find out how customers reacted to our charging announcement"

Regards
Sunil