Hello Sophisticated Spenders!
This guest post is for my UK peeps but there are a few things we can all learn!
4 Reasons to Switch Your Bank Account
A large number of UK residents have kept with the same bank account for years. Nearly 60% have stayed with their same bank for over ten years. Only about half that have kept the same account for 20 years. But these are frightening figures that show that many people are likely afraid to try to change their accounts.
If you feel that you are not getting the service or rates you would like from your bank, you may want to switch. Here are some reasons to make that change and not be among the majority.
Better Rates
The number one reason by a long shot to switch out your account for a new one is to save money on interest rates. That can mean rates you pay on your overdraft as well as the interest you earn on a savings account. Those rates are where the banks really differ, and if yours isn’t giving you the best rates, then you need to find a bank who will treat you right.
Lower Fees
This ties in with the last point, but it differs slightly. The fees you pay to your bank include overdraft fees, late fees, month, yearly and other regular charges as well as opening fees. Some banks will actually charge you for the use of your account while others will let you have the account for free.
Some banks will charge high prices for going over your limit or for having an overdraft. With only 59% of banks offering free checking accounts, it’s important to take fees into consideration – If your bank charges you too much, you need to compare rates and find a cheaper bank.
More Options
Most banks offer pretty much the same options to all their clients. They all offer savings accounts, checking accounts and loans, but they may not offer you as many options with those choices. For instance, your bank may not allow you to check your account balance online. Or it may not permit you to do your banking from home.
The ease of access and convenience of numerous options are what leads many people to drop their old accounts and trade them in for something more robust and varied. If your bank isn’t keeping up with the times and giving you plenty of ways to do your banking, then you may want to go with a different bank.
Better Service
Your bank may have every option you need and it may offer you great rates. But when it comes to customer service and the way they treat you, they could be less than satisfactory. Maybe they don’t give you any attention when you come into the bank. Maybe you have to wait in long lines to even perform a simple transaction. Maybe they charge you fees without warning and continue to charge you fees on a single mistake.
While these may be fairly common banking practices, you can do better. You ought to look at what options are available to you when your bank is no longer making you happy. You don’t have to be limited by the same account, and switching your account is easier than it seems. If you feel a sense of loyalty to your bank, but you are unhappy with how they are treating you, then it is time to look elsewhere for your banking needs to be taken care of.
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