Best Customer Service???

storminbalder

I have to agree about Yorkshire Bank.

It's ironic that I had to go bankrupt before ending up with the best bank I've experienced. It's the old fashioned personal touch I like, it reminds me what banks used to be like many years ago.

Martinslovechild

Based on all the positive First Direct comments on here, I checked out their website which proudly boasts:-

"1st Account does not pay interest on credit balances."

Am I looking at the correct account??

CopperPlate_2

Yes, it doesn't pay credit interest - but it offers a fee/interest free overdraft of £250 (subject to the usual credit checks of course) and free text banking, etc. The interest rate was about 2% gross anyway before. Okay, compared to 8% for A&L it's pretty poor, but when you look at the customer service aspect I'd say it was worth the 'loss' of interest just for that alone.

Martinslovechild

But A&L are currently paying 8.5% on the first £2500 so that works out at £206.25 gross per annum (assuming a constant £2500 balance), or £165 net of interest for a basic-rate taxpayer.

Would you say that First Direct's customer service is worth £165 per year?

ShelfStacker_3

HSBC Group are cleaning up here

It's a shame there's no way to retract my vote for A&L; I just had a huge scare regarding my Direct ISA (basically telling me that if I wanted to change my nominated account from an A&L Prem 21, I'd have to close my ISA and reopen it, then that I'd have to go into a branch (nearest is a half hour bus ride away), and THEN that yes, they could do it over the phone). Compared to that frankly s***scary experience, Halifax (my current ISA provider, who I was just going to transfer from) are a breath of fresh air.

gt94sss2

Martinslovechild wrote: »

But A&L are currently paying 8.5% on the first £2500 so that works out at £206.25 gross per annum (assuming a constant £2500 balance), or £165 net of interest for a basic-rate taxpayer.

Would you say that First Direct's customer service is worth £165 per year?

For First Direct's customers probably - they have traditionally valued their free time over a few pounds interest a month.

Also, First Direct do have a linked savings account which pays 5.25% where you can keep your 'current account balance' and just transfer the balance instantly over to your 'real' current account as needed (not forgetting the interest free overdraft they give you)

More to the point though, you will probably find quite a few people (whoever they bank with) willing to lose quite a bit of interest not to have to experience A&L's customer service..

Regards
Sunil

sofa_surfer

Martinslovechild wrote: »

But A&L are currently paying 8.5% on the first £2500 so that works out at £206.25 gross per annum (assuming a constant £2500 balance), or £165 net of interest for a basic-rate taxpayer.

Would you say that First Direct's customer service is worth £165 per year?

that point is valid is only if you want to keep £2500 in your current account

neilp

I recently moved to A&L from Smile and would say that the standard of customer service is at least comparable. In fact, A&L generally have exceeded my expectations on most counts.

CopperPlate_2

Martinslovechild wrote: »

But A&L are currently paying 8.5% on the first £2500 so that works out at £206.25 gross per annum (assuming a constant £2500 balance), or £165 net of interest for a basic-rate taxpayer.

Would you say that First Direct's customer service is worth £165 per year?

As sofa_surfer says, the interest rate is only valid if you keep the £2500 in your account for the entire year. How many of us keep that kind of balance on an ongoing basis each month? Also, after tax the amount for higher rate taxpayers comes down to a much lower amount. And, yes, I'd probably say I'd be prepared to pay for the service and benefits I get from them. And, with an offset mortgage, it's irrelevant whether I get interest on the current account balance anyway.

lynzpower

Another vote for Smile, cannot recommend highly enough.

Will not use Halifax, Ltsb or A&L ( dire) ever again.