Branch closures

PeacefulWaters

One of the other reasons branches are closing is that staff are significantly less sales focused these days. As a result, branch banking is less profitable than it was.

Bloomberg

DCFC79 wrote: »

Why doesn't you sister open an account with a bank that's easier to get too than driving into the congestion zone or open an account so she could use the option of paying money into the account via the post office.

She happens to be very keen on First Direct, she doesn't want to leave them. It looks like she will have to either drive in the the Congestion zone or travel further and longer to an alternative branch.

eskbanker

Bloomberg wrote: »

She happens to be very keen on First Direct, she doesn't want to leave them.

Has it occurred to her that one of the main reasons FD are able to offer such an appealing proposition is that they don't have the overheads of running their own network of branches?!

The-Truth

Bloomberg wrote: »

Whenever I walk past a branch they always seem to be busy

Probably with people who haven't yet realised they don't need to be there and that in fact their phones can perform the task that they went to the branch for.

Also as many other people have said I can't remember the last time I went to a bank, maybe over a decade ago?

takman

Bloomberg wrote: »

She happens to be very keen on First Direct, she doesn't want to leave them. It looks like she will have to either drive in the the Congestion zone or travel further and longer to an alternative branch.

But what is she actually going to a branch for ?

Why don't you show how with telephone and Internet banking she never needs to go to a branch.

eskbanker

takman wrote: »

But what is she actually going to a branch for ?

Why don't you show how with telephone and Internet banking she never needs to go to a branch.

OP suggested in post #7 that it was for large cash withdrawals:

Bloomberg wrote: »

Sometimes if you need to withdraw a larger than normal amount of cash then a branch visit is necessary.

but didn't respond to your post #14 point about why anyone would need that much cash:

takman wrote: »

Unless your running a business then these day there are few reasons that you would need to withdraw so much cash that a branch visit is necessary.

It's far easier to transfer money online then at least you have a record of it.

Miss_Bosworth

What do people do in the branches? I will tell you. They deposit or withdraw money in a dry, warm environment avoiding the gaze of strangers potentially standing a bit nearer than they might wish, they avoid the possibility of machines that have been tampered with, they can deal with larger sums of money than might be allowed at the cashpoint, and above all, they can interact with a real person. I do use my internet banking, but it can't do everything. I LIKE having the OPTION of going to the branch and I am the customer, right? Who do they think we are, chopped liver?!! The banks are famously (infamously) "rolling in it" yet we are meant to tolerate the pay-more-get less scheme! Three cheers for all those folks who closed their accounts and crossed the street.

While I'm at it, those real people in the branches have real jobs...for the moment. It would seem that we can't resist the siren call to develop ever-more clever ways to eliminate the need for manual and service industry related employment. At the other end of the equation we have a burgeoning population. Am I the only person who sees something very wrong in this scenario?

JuicyJesus

Miss_Bosworth wrote: »

I LIKE having the OPTION of going to the branch and I am the customer, right? Who do they think we are, chopped liver?!!

They think that you're people who want expensive services from them but would whinge about how rich they are and how they could easily afford to give them to you for free if they ask for money in exchange for them or decide to stop providing so much of them for nothing.

How about if you use a branch, you get charged for doing so, to cover the overheads that are inherent in providing nice, lit locations full of people for transactions that could be accomplished far cheaper elsewhere. Then the nice people get to keep their jobs and the branches become economical so they don't have to close. Does that seem fair?

PeacefulWaters

Miss_Bosworth wrote: »

What do people do in the branches? I will tell you. They deposit or withdraw money in a dry, warm environment avoiding the gaze of strangers potentially standing a bit nearer than they might wish

Odd that. When I worked in branches a common complaint from customers was that the conversation could be overheard by other customers.

they avoid the possibility of machines that have been tampered with

But expose themselves to staff fraud.

they can deal with larger sums of money than might be allowed at the cashpoint

Increasing the risk of being mugged.

and above all, they can interact with a real person.

Who is more likely to misunderstand or make a mistake.

I do use my internet banking, but it can't do everything. I LIKE having the OPTION of going to the branch

But customers are voting with their feet and using branches less and less. Like it or not, it's a fact.

and I am the customer, right? Who do they think we are, chopped liver?!!

No. Low cost, low transaction customers are cheaper than high cost high transaction customers who require another staff member to play with.

The banks are famously (infamously) "rolling in it" yet we are meant to tolerate the pay-more-get less scheme!

RBS and Co-op remain screwed. Metro Bank is unprofitable.

Three cheers for all those folks who closed their accounts and crossed the street.

Or went online.

While I'm at it, those real people in the branches have real jobs...for the moment.

Transition is tough. It's no longer a job for life. But the Luddites were wrong to resist technology.

It would seem that we can't resist the siren call to develop ever-more clever ways to eliminate the need for manual and service industry related employment.

Weren't you moaning a minute ago that there were things you can't do online? A hi-tec digital economy will succeed in the future. Manual and service industry? I'm not so sure.

At the other end of the equation we have a burgeoning population.

Who are using bank branches less and less.

Am I the only person who sees something very wrong in this scenario?

It isn't wrong. It raises genuine social issues around the impact of change and how best to handle it, subsidise it and taper it. But it isn't wrong.

littlerock

OH runs a small business and takes in a lot of cash and some cheques. It is very useful for him to go into the bank and have it checked when he pays it in. Online banking is most suited to people who shop with their credit cards and people who do not deal in cash. They are not the only people who use banks.