First Direct any good?

fdl8

I'm currently with LTSB and have two current accounts with them. I was thinking of switching to First Direct for the £100 bonus (and the buffer of the £250 interest-free o/d). I'm a bit anxious about doing this as I've only ever been with Lloyds and don't know if I'm missing any pros or cons of making the switch.

First Direct also say they will give an additional £100 if you leave them in the first 12 months so I guess if I didn't like it with them I could always go back to LTSB with another £100.


Can anyone let me know if First Direct are good or if I'm missing anything obvious here?!

Thanks!

YorkshireBoy

There are some on here who say their customer service is second to none. However, it depends on how much 'customer service' you need from your bank? To be truthful, when I was with them I didn't find them any better than the majority of my other current account providers.

To get the £100 leaving present (in months 7-12) you'll need to find some sort of 'major' customer service issue to complain about (I did )...and one that you weren't aware of when you joined, ie poor interest rates on savings in general (because I know their regular saver is good).

Auntie-Dolly

I rate them very highly. I've been with them for over 15 years and have always found them incredibly helpful and professional.

fdl8

Thanks both.

True, I doubt there's much difference between banks, which is why the bonus £100 was appealing initially. I could always keep my 'bills' account with LTSB for any benefits they offer, if any.

Gromitt

Don't forget that the buffer of £250 becomes chargable if you use it too much, so don't depend on it. Only use it for emergencies.

Secondly, TSB offer credit interest on current accounts, so if you have a buffer in your bill payment account, you could get upto 3%/year interest. FD don't offer credit interest.

OllyM

Gromitt wrote: »

Don't forget that the buffer of £250 becomes chargable if you use it too much, so don't depend on it. Only use it for emergencies.

Where did you hear that?!

innovate

Have you considered to just add FD, i.e. keep your Lloyds accounts? Perfectly legal to have more than one current account, and in most cases, you can do any necessary funding by sending money around your accounts by standing order.

Just make sure you keep good records of what you have in which account when.

As to better or worse - - can't say FD have been any better or worse than Lloyds or Halifax or Natwest, in terms of day-to-day current account dealings. FD have a superb Regular Saver account though - - just alone for that, I reckon it would be worth to open a Current Account there.

Just keep your options open - - pick what suits you, not necessarily what they'd like you to pick

Gromitt

OllyM wrote: »

Where did you hear that?!

Its in the T&Cs of the overdraft that you get each year where it says they may decide to charge to renew your overdraft. So you might see a £25 charge one day. Plus its been talked about on here. Quick search turns up this link: https://forums.moneysavingexpert.com/discussion/3856451

OllyM

Gromitt wrote: »

Its in the T&Cs of the overdraft that you get each year where it says they may decide to charge to renew your overdraft. So you might see a £25 charge one day. Plus its been talked about on here. Quick search turns up this link: https://forums.moneysavingexpert.com/discussion/3856451

I don't think that's true at all - they aren't charging if you use the overdraft but they will apply the charge if you've requested an informal overdraft (i.e. gone over your limit) in the last 6 months.

DreamerV

They won't charge for the first year...think they mentioned in the terms that the fee is waived, but on renewal they can ask you to pay. From people's comments on various online forums, they only do this if you use your overdraft regularly and use a sizeable amount of it. They write to you just before renewal to let you know about it, so I don't see it as an issue. I'd just cancel the overdraft if they said they were going to charge next year.

penrhyn

If you ring First Direct you are answered by a real person straight away, no menus no buttons to press, and that person is polite and competent, and thats 24 hours a day.
Been with them almost from the start when they were a telephone only bank, my only moan is they have stopped doing the nice leather credit card holders. O yes and the Black Debit card is easy to confuse with the Black Credit Card.

The 8% regular saver is nice.