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

PosterBoy77

havenlad wrote:

Why is everybody closing their account? FD want us to do exactly that!!!! These accounts cost them 300 quid a month. Open a new current account elsewhere, and a deposit account with FD. Stick a quid in both FD accounts and walk away. Play them at their own game. All you are doing by moving your account is saving them 300 quid a year

How on earth can an account cost £300 per month to run? It costs barely anything. Fractions of a penny, for a few records to be held in a computer database. HSBC simply want more of your money in a non-interest baring account to offset their losses to bad debts. I agree that everyone should bank with whom they like, but don't feel that just because it does not affect you, you should not care that HSBC are doing this. HSBC in general offer poor products and simply do business on inertia and because people cannot be bothered to move. They will never thank anyone for being loyal though.

bugly_2

got loads of cash in with them but i dont agree with any bank charging so off to find another one, we can all switch back next year when they come up with another £50 offer he he he.

CopperPlate_2

I'd be interested to know where you get the figures for fractions of a penny to run and operate a current account? I have little insider knowledge of the banking sector, but I'd offer a guess that it costs significantly more than that to maintain and manage a current account, notwithstanding any other accounts an individual might have. The creation of cards, cheque books, the sending of statements, the hiring and availability of staff to take calls from customers, the auditing of accounts/compliance with money laundering, the list goes on. As a % of profits it probably does work out to be fractions of pence, but as a standalone figure I suspect it might be more.

You are right about loyalty having no place though.

CopperPlate_2

bugly wrote:

got loads of cash in with them but i dont agree with any bank charging so off to find another one, we can all switch back next year when they come up with another £50 offer he he he.

Doubtful. They pulled the Quidco listing in August - might keep their £50 for new customers (that's people who have never had a customer relationship with fd unfortunately!).

penniesmakepounds_2

bpyoung wrote:

I just opened a FD savings account. It took about 10 seconds. People, just do this, and quit whining.

My SIL works for FD and we were discussing the this very topic last night. FD are giving advise to customers to open a savings account to prevent the £10 monthly charge but People beware FD are going to start targeting customers with dormant accounts next! Yes can you believe that in 6 months time or so they are charging £10 for dormant accounts!! Unbelievable if my bank did that I would rather put my money under my mattress!!

JoseChungsDoomsday

dhug wrote:

I am one FD customer who is getting very sick of this hollier than thou attitude of some people on here telling me to close my account, that I am somehow immoral if I choose to stay with FD.
No I wont have to pay the charge and yes I am staying and No I dont think I am wrong to do so its my money my bank account and my choice
Over the last few years how many people have "taken" money from banks through incentives, stoozing etc. How many have opened umpteen accounts just to get the freebies yes the banks offer them but they offer them to increase their customer base not so people can just have yet another account to get their hands on £25, how many people have multiple accounts with nothing in that they never use that were just opened to get some offer.
Lets be realistic about this, banks are buisnesses there to make money not give it away, people blame those who have reclaimed bank charges but in reality those who stooze open up multiple accounts and so on probably cost banks a fair amount. charges are a result of consumers becoming more savvy of realising that banks can not just do whatever they want and off banks realising that customers today are more vocal about what they want they are the result of a combination of things.
What in heavens name is so difficult about opening a savings account and putting a £1 in it. Its the principle people say but are these the same people who have lots of dormant accounts because they opened them to get freebies the "principle" of that was for the bank to increase their customer base.
So will people please stop preaching about how anyone who stays with FD because they are happy with it are wrong or immoral it is their choice and has nothing to do with morality any more than taking freebies has I dont think taking money for opening an account which you have no intention of ever using is morally correct but that is my view and I dont tell anyone else not to do it, so kindly stop telling me what a "horrible" person I am because I am staying with FD a bank that has done nothing to make me want to leave that offers first class customer service and that I trust with my hard earned money

Rant over now you can all start shouting at me:D

No one is calling you a horrible person, the point is.... oh you know what? forget it. When FD increase the fresh hold for the charge in a year or two (just because they CAN)and if you cannot cover it I think you'll see where us 'hollier than thou' individuals are coming from.

Turtle

Coutts and Co must be 'discriminating' against 98% of the population but I don't see anyone whining about that. All businesses are perfectly entitled to try and attract the customers they want. You dont like it, find another bank.

irenemac_2

As a customer of some 12 years with FD i have been 'assured' by their Customer Services department that I will not be penalised under this new rule as I have a savings account with FD too. I do not earn anywhere near £1500 a month and have very little saving power.

Apparently they are trying to 'encourage' those clients with 'dormant accounts' to close them (see £50 incentive for opening a FD account - silly billies)!!

Why should I subsidise non-users in interest rates?


seems fair to me - use it or lose it

dusty2dusty

i opened a FD account a year ago there rates may not be the best i moved an isa to B&B due to this. i have an e-savings account with FD so the charges wont affect. I will remain with them due to customer services which compared to A&L are brilliant. As nothing is due to happen until Febuary will wait and see what other banks do. I agree with other comments that it is easier to open a savings account with one pound than to shift banks

murphydavid

Most entertaining thread to see how peoples minds work. Try this angle. Are FD being immoral? I think we must all agree that charging for a service is not immoral and putting up prices is not immoral. So it must be discriminating against the poor that hits the protest button. Now lets say FD are encouraging the poor to open a savings account and put ten pounds a month in it. (£10.00 being the fee they will no longer be required to pay if they do so). That’s the very thing loads of M.P.s are saying they want to see more of and compulsory paying for state pensions seems to be exactly the same thing?
And yes I do have my toung in my cheek.