There’s a lot of talk these days about how our choice in banking is slowly but surely being eroded with the closure of Halifax, Postbank, NIB branches, First Active and the looming threat that both AIB and Bank of Ireland will engage in massive branch closures to save cash.
On that basis, this post may not be all that timely – but I guess after years of recording incidences of where banks repeatedly gouge their customers through multiple overcharging scandals, this post may never be timely in Ireland.
Is there anything that would make you change your bank account – assuming that knowing that your bank is quite likely to steal your money from your account for themselves won’t do it for you.
This article from the Get Rich Slowly website, What Does It Take to Make You Switch Banks?, asks that very question and poses a few scenarios. Are there any of the following points that would cause you to switch your banks:
- Higher interest rates on borrowings than the competition?
- Lower interest rates on savings?
- Poor customer service?
- Length of history with your current bank?
- The principle of the thing?
- Accessibility – particular now with branch closures
Another way of looking at this would be if you imagined what a bank outside of Ireland might be thinking when looking at Ireland to see if it’s worth coming into the market.
We’re going to hear much bleating in the coming weeks and months about the reduction in competition in the banking market, but if people aren’t inclined to switch banks (even during times when we had plenty of competition), what’s the point in calling for more competition if most people are going to stick with the old unreliables?