Easy £25 loophole Discussion Area

howardad · 3 March 2005 at 12:00PM

I got on board with First Direct's original offer thanks to Martin.

I also received three postcards offering £25 to any of my friends opening an account, min £100 balance by 31st March. For each account opened I get £25 too!

My fiancee has just got her free money but I've still got 2 postcards, would anyone like to be my friend and get some free cash for us both?

lipidicman · 3 March 2005 at 12:00PM

dannyboy wrote:

Hi,I cant find any info about abbey ofeering £40 to join????
Is this for there current acount when u apply online??
Please can you explain more?

Thanks.

Abbey WERE offering £40 to 'open an account and pay in' until Jan31st. I took advantage of this (a long story, they told me the wrong thing - that I had to close my other current account - I complained and they honoured the £40)

They are not offering this any longer: you only get £50 if they make a mistake whilst SWITCHING. They probably will, being Abbey - but a mistake might COST you more than this!

I just got my first direct forms. A lot of info on their - other bank details, maiden name etc. I dont like putting this in the post.

Also they want an ORIGINAL bank statement. I have ALL of my bank statements going back to 1994. I dont want to send an original and first direct dont say they will return it. Why is a certified copy not acceptable?

I appreciate you have to provide ID, but you are effectively putting everything that a fraudster needs (info and ID) into one envelope, that might as well say 'bank details' on the front (ie addressed to first direct).

It might not be worth £25 for my peace of mind

Lychee · 3 March 2005 at 12:21PM

lipidicman, I called FD today and was told that a credit card statement will be accepted but your post has made me think twice about doing that! I've never really thought about fraudsters getting hold of my statements like that. I wonder if I can black out my cc number from the statement and send that in...

The application form does say 'OR a utility bill e.g telephone/gas/electricity' which I unfortunately do not have...

lipidicman · 3 March 2005 at 12:37PM

Me neither - and you have to write your bank details on the form anyway. I just dont like the idea of somebody maybe getting

(1) An original bank statement
(2) My address, phone number etc
(3) My mothers maiden name
(4) My employers details
(5) My signature!

what more could they want?

I could slip in a picture, fingerprints, a dna swab and maybe an iris or two if first direct would like!

I understand if you do it on-line you have to do the same form

Is £25 worth the risk? I am seriously considering dropping the application form in the shredder and saving the credit check for a 0% credit card

Let me know what you think

Lazy_Ike · 3 March 2005 at 12:51PM

lipidicman wrote:

Is £25 worth the risk? I am seriously considering dropping the application form in the shredder and saving the credit check for a 0% credit card
Let me know what you think

I seem to be following you around today lipidicman.
Just received my weekly tips and decided to action this offer.
Got through quickly and friendly fellow had a few questions easily answered as I was prepared through Martin's article.
No hard sell on other products, and application package to be posted.
THEN, I came here, and found this cautionary tale.
Having recently sorted phones and utilities thanks to MSE, was determined to continue with the Money saving. Now will have to think long and hard on this one after all. Topically our local radio station is highlighting ID fraud this morning.

Lychee · 3 March 2005 at 12:57PM

I haven't made a decision yet but I do already bank online and remember going through pretty much the same process... I had to send original bank statements and these were returned to me. So it's not just FD... I guess if you're really worried about fraudsters, peace of mind is of more value and importance than £25

I've called FD on 0800 242424 and was told that the original statements will be returned. I also asked if I can send in a credit card statement with my cc number blacked out and was told that should be OK, as long as I don't mess it up too much. A bank statement is preferred if you're employed though... I don't see why they have to be so nosy about your source of income. But just bear in mind that sending in a CC statement might not be accepted for everyone.

Marigold123 · 3 March 2005 at 1:43PM

It's pretty usual to provide bank statements, etc when opening new accounts. You have to trust banks a certain amount in terms of security, otherwise you'd end up keeping your money under the mattress. And they do return them afterwards, so they won't be left lying around or put out in the rubbish or anything like that.

The reason they are asking for bank/credit card statements is to confirm your identity - the idea being that it has already been checked by the other financial institution, and is likely to be genuine. There is a big deal about people's identities being used for money laundering, so banks need to cover themselves by thoroughly checking a person's identity before accepting them as a customer.

It's the same if you are opening a savings account. There is no financial risk to the bank, as you can't go overdrawn on a savings account, but they still need to check who you are to fulfill their legal obligations regarding money laundering.

lipidicman · 3 March 2005 at 5:21PM

I know why they have to have ID. What I am saying is that I dont want to post in in an envelope which is clearly an application for a bank account.

Also if first direct were taking ID theft seriously the ID and the application form should be sent separately. Too much sensitive information and a piece of ID in one envelope is asking for trouble, thats all.

In terms of ID, they already know you live where you do, they can do electoral roll and credit reference checks too. So I am not sure what a bank statement proves anyway - it does make me suspicious that it must show your income.

I also note that the section on 'what does free banking mean' says that if £1000 is not paid in, or a balance of £1000 maintained, they can change the charges. Also the T&Cs are dated from 21st March (the day Martin sent the email out) is this coincidental?

just because you're paranoid, don't mean they're not after you!

acepepper · 3 March 2005 at 5:31PM

I just tried this and the operater wanted me to tell her which account specifically I wanted to open, as they have many different current accounts. I told her I had a code from the Times advert and she said this wouldn't help. She wanted to know if I had the advert and I don't. I know there's a potted version of the ad on the site, but does anyone have the full version? And also, was a specific type of account mentioned?

I got the distinct feeling that I was being fobbed off because they knew what I was up to.

gromituk · 3 March 2005 at 6:29PM

acepepper wrote:

She wanted to know if I had the advert and I don't.

Time to contact the Advertising Standards Authority? Where on the ad does it say you must have the paper in order to be able to take advantage of the offer?

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