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

skylight

nappentass wrote:

the overdraft's won't be free anymore and they'll hammer you with interest/charges etc especially if they're not pre-arranged

TIA
Jill

Never thought of that.

Great - can't afford that either. But with a really really bad credit rating, I don't think anyone else will entertain an account for us!

havenlad

Why open a new account? I checked this with them last night. Their letter states that 1500 quid has to pass through the account to avoid the charge. I also know it costs them 300 quid a year to run these non-profit (to them) accounts, so play them at their own game and if you only earn 500 a month, put it through the current account, then take it out again immediately. Do this 3 times, which takes about 2 minutes if you have the balls to queue up or a bit more if you have to use the machines. This way you keep the account, avoid the charge and it costs them 300 quid a year. Better still, open another 3 accounts and keep tranferring the money between the accounts, therefore costing them 1200 quid a year and why not throw in a deposit account for good measure - keep a quid in of course - First Direct - we love 'em :-) BARGAIN

havenlad

oh yeah - if you put the money in, then take it out, put it in, take it out, put it in and take it out again, all with the same cashier at the same time without going go the back of the queue, the queue will grow and people in the queue will soon get annoyed. If we all did this, watch the queues grow in HSBC. Petty but funny

nearlyrich

havenlad wrote:

oh yeah - if you put the money in, then take it out, put it in, take it out, put it in and take it out again, all with the same cashier at the same time without going go the back of the queue, the queue will grow and people in the queue will soon get annoyed. If we all did this, watch the queues grow in HSBC. Petty but funny

Why would you need to do all that? I can't see the point of queuing in a bank branch, that's why I use FD.

FD internet banking plus is fantastic, others try and fail to be as good (Egg for instance).

I am not changing banks on a point of principle when to be honest I think they have a right to offer whatever terms they choose, I am fortunate that I can get around the charges at the moment. However I wouldn't pay for a service I can get free elsewhere so I might change my mind at some point in the future and move my current account. I don't keep any money in my current account it goes out to my high interest savings account or to my DDs and SO just after payday so their low interst rates don't worry me either, I do like the fact that they offer me a fee free O/D of over 3 times my monthly take home pay, I only pay pennies in interest if I need to go OD for a few days.

southernscouser

weaver wrote:

I dont understand were FD are coming from to be honest - they are introducing charges on the current account but you can avoid this by having another product with them - correct.

For me there a couple of reasons. If you have a savings account with them they are hoping you will deposit into it regularly. The more customers money they have the more they can invest and increase profits.

Secondly they will hope you take out a credit card and do not clear the balance in full each month!

Perhaps!

No1catfan

FD are supposed to be targeting the redunctant and little used accounts but my account averages 40 transactions a month and will get charged for because I dont earn £25k a year. I opened my account about 5 years ago and the criteria was £1000 per month. Yep I could earn that, so that was ok but my earnings havent gone up with their charges. Hands up anyone who's wages have gone up by 50% in 5 years. I cant knock their internet banking or customer services but this really is bad. Checked out their website and they're still trying to entice customers with a free £50. Give in one hand and take double in the other. I for one will walk away if this charge is implemented. Cant find anything about these new charges on their website either.

computersaysdoh

nappentass wrote:

I think this issue of charging a fee is 'slight of hand' - read the letter the biggie that FD will be raking it in on will be that the overdraft's won't be free anymore and they'll hammer you with interest/charges etc especially if they're not pre-arranged or you want too many of them
I think it's bloody sneaky because the "fee" is causing the uproar yet I feel it'll be the new overdraft charging that is the real issue.

I'm seriously considering changing banks, but I'm now unemployed (redundant) I don't know which banks will let me change to them especially as I want to change career and train to be a complementary therapist to start sometime next year my own business.
Anyone any ideas which banks might be worth looking at?

TIA
Jill

I would consider NATIONWIDE

computersaysdoh

havenlad wrote:

Why open a new account? I checked this with them last night. Their letter states that 1500 quid has to pass through the account to avoid the charge. I also know it costs them 300 quid a year to run these non-profit (to them) accounts, so play them at their own game and if you only earn 500 a month, put it through the current account, then take it out again immediately. Do this 3 times, which takes about 2 minutes if you have the balls to queue up or a bit more if you have to use the machines. This way you keep the account, avoid the charge and it costs them 300 quid a year. Better still, open another 3 accounts and keep tranferring the money between the accounts, therefore costing them 1200 quid a year and why not throw in a deposit account for good measure - keep a quid in of course - First Direct - we love 'em :-) BARGAIN

I thought that they had said you had to deposit £1500 salary, or maintain £1500 otherwise. If they have left a loophole of a total of £1500 in multiple deposits, then good on you for spotting it, but thats not how I interpreted the news item when it broke.

Cypher

It actually says,

"you'll need to pay in to your account at least £1500 each month (internal transfers excluded)"

no mention of salary or in one lump sum, so you can pay in 3 x 500 as long as it moves out of a First Direct Account and then back in.

Cypher

Here's an mp3 of Chief Exec, Chris Pilling talking about the new charges

http://www.firstdirect.com/assets/mp3/03_061115_fd_update.mp3


Deep