Incentives to Switch Bank

TheShape

RG2015 wrote: »

Thanks for your replies and yes, I guess I would feel guilty but that was not the point.

It just has a murky feel about it. Even Martin Lewis refers to the switchers as "bank tarts" but then launches a search for Britain's biggest bank tart. I just feel sad that we as a society are lauding this as some sort of achievement.

https://www.moneysavingexpert.com/news/banking/2016/07/britains-biggest-bank-tarts-revealed-we-made-1565-switching

I expect he needn't look further than this forum.

tempus_fugit

RG2015 wrote: »

Thanks for your replies and yes, I guess I would feel guilty but that was not the point.

It just has a murky feel about it. Even Martin Lewis refers to the switchers as "bank tarts" but then launches a search for Britain's biggest bank tart. I just feel sad that we as a society are lauding this as some sort of achievement.

https://www.moneysavingexpert.com/news/banking/2016/07/britains-biggest-bank-tarts-revealed-we-made-1565-switching

Well I'd rather have them falling over themselves wanting our custom than they don't bother and we just have to put up with rubbish service etc. The incentives are nice thank you very much and I feel no guilt whatsoever in taking their money if I can meet their requirements which are not onerous.

RG2015

tempus_fugit wrote: »

Well I'd rather have them falling over themselves wanting our custom than they don't bother and we just have to put up with rubbish service etc. The incentives are nice thank you very much and I feel no guilt whatsoever in taking their money if I can meet their requirements which are not onerous.

I would prefer good service and credit interest to bribing us to transfer to them. And actually guilt is irrelevant as nobody would do it if they expected to feel guilty.

My point is really that the banks are drawing us into their murky world by dangling cash in front of us.

Zanderman

RG2015 wrote: »

I would prefer good service and credit interest to bribing us to transfer to them. And actually guilt is irrelevant as nobody would do it if they expected to feel guilty.

But they're not offering 'good service and credit interest' are they? And no amount of moaning about it will alter that. They are offering bribes to transfer accounts though. So if you want to get some 'return' from your bank this is a viable option.

RG2015 wrote: »

My point is really that the banks are drawing us into their murky world by dangling cash in front of us.

I don't think I've entered their 'murky world' but I have taken advantage of switching incentives.
I don't see how taking up an offer from a bank means I enter their 'world'.

It simply means I try to make some return from using the bank - which is, in effect, the same benefit as a decent interest rate would be, if there was one, which appears to be what you want.

RG2015

Zanderman wrote: »

But they're not offering 'good service and credit interest' are they? And no amount of moaning about it will alter that. They are offering bribes to transfer accounts though. So if you want to get some 'return' from your bank this is a viable option.

I don't think I've entered their 'murky world' but I have taken advantage of switching incentives.
I don't see how taking up an offer from a bank means I enter their 'world'.

It simply means I try to make some return from using the bank - which is, in effect, the same benefit as a decent interest rate would be, if there was one, which appears to be what you want.

Thanks for your response which along with the others make very interesting reading. It would appear though as I am in a bit of a minority here.

Katiehound

RG2015 wrote: »

It would appear though as I am in a bit of a minority here.

yes, I think so.

It's only in relatively recent years that banks have started to 'reward' us. Until then very few paid interest on a current a/c (I.F. did- part of Halifax) so it meant they had what must have amounted to a huge amount of money interest free to loan out at inflated prices. There's always been a gap between interest charged and interest earned. They are in business to make money after all, not an altruistic firm. They have also managed to give out a fair number of golden handshakes and huge bonuses.

Have I entered their 'murky world'? No

We could always store the dosh under the mattress but as long as it is viable I will increase my income by jumping thro' a few t&c conditions to earn a little bonus.

If you want an ethical bank then possibly the closest to that is the Co-op. Otherwise you could be banking with your local credit union, only buying Fairtrade products, using green energy etc. Sometimes we have to live in the real world and compromise along the way.

tempus_fugit

RG2015 wrote: »

I would prefer good service and credit interest to bribing us to transfer to them. And actually guilt is irrelevant as nobody would do it if they expected to feel guilty.

My point is really that the banks are drawing us into their murky world by dangling cash in front of us.

Sure, I take your point, customer service generally leaves a lot to be desired these days (e.g. multiple options to select when phoning etc), but on the other hand things are just the way they are and I am going to take advantage of that if I can. We can stamp our feet and moan and unfortunately it's not going to make much difference. Money talks these days.

RG2015

It is interesting though that Martin Lewis refers to multiple switchers as bank tarts rather than using less derogatory terminology.

msallen

Katiehound wrote: »

It's only in relatively recent years that banks have started to 'reward' us. Until then very few paid interest on a current a/c ....

Yes but they have given us free banking services for roughly the last 3 decades - one of the only countries in the world where this is the norm.

Back in the eighties the standard current account would charge you so much every time you used a cheque or an ATM etc. (I seem to remember 27p or 29p as being a charge for one of them but I don't know where I've dredged that figure up from or if it's right!).

tempus_fugit

RG2015 wrote: »

It is interesting though that Martin Lewis refers to multiple switchers as bank tarts rather than using less derogatory terminology.

I don't think he is being derogatory. If you watch his shows you will see that he often says things like this with a twinkle in his eye. He approves of it as he has always said that we have to play the banks at their own game. I reckon the use of the word "tarts" is to refer to those who switch more regularly than most, but as I say I reckon it is very much tongue in cheek. I certainly don;t take any offence from it.