First Direct are RUBBISH!

[newgirl]

I have banked with First Direct for 15 years - model customer - good salary etc. Today I got a letter saying that unless I pay in a salary or keep my balance over 1500 pounds a month I have to take out another service or pay 10 a month.

I do not meet these new rules because I am on maternity leave, raising children.

I spoke to them today and basically I am not really the sort of customer they want - it is all about taking out more prducts - saving schemes, switching mortgage etc. I am not overdrawn (in fact have a very good amount in bank at mo, but this will go down below 1500 before I return to work).

So, I wanted to let you all know what a scabby company this is now and see if anyone can recommend a different bank?

ps as revenge my husband who does earn a salary is moving his too yippeeee

I dispute the part-time mother tag and say it is about SAH parents. (Since it's my dh who is being penalised, not me). Is FD really wanting to say "hello, you are unworthy due to the appallingly un-economic task of staying home and caring for your own child"? I'm sorry that being a SAHparent doesn't carry a 1500 quid price tag - I wish it did!

sad to read this as i have always liked FD

Customers opening a savings account with a tenner in it or whatever to comply with the policy will mean that they have to deal with MORE dormant accounts - shooting themselves in the foot surely?

Because it's not about dormant accounts - they can't generate much cost, can they, beyond statements, which could easily be remedied.

They would rather you didn't take out a savings account, but a loan or a credit card. I.e. part of the appallingly irresponsible lending policy of the UK in general.

Part-time whoever, didn't mean to exclude sah dads. Banks are just greedy.

Chris Pilling, First Direct chief executive said:
"I want to focus our efforts on our most important customers "

So by "most important" he means "most wealthy" I presume?

gothicmama - I had a conversation them too and they said i could open a savings acct for one pound a month and keep my free acct but
I think this will just be a short-term thing -

my DH has a savings account with them and he is constantly sent more info about new rates, schemes etc - there is NO WAY they will be happy for the acct to just have 1 pound a month in it for ever - I think they are saying this now as it has caused such an uproar

also, isn't this sort-of blackmail - taking out another product that one didn't actually ask for? I think it is to keep shareholders happy, rather than customers

I did ask if I could open my baby's saving acct with them - pay in the 250 pound cheque and they said no we don't do that - that isn't the business they want at all - boring average family accts

bibiboo - yes his comment about focusing on most important customers - I think they are struggling with the expensive call centre/response times so want to ditch some of the less important customers so the rich ones can get through when they need to

one of the call centre staff said to me that some of their staff and partners no longer qualified for a current acct - how bad do you think they feel?

I think this will go down as the Ratner of the banking business

It is blackmail. How is "open another account with us or pay in more money or we'll charge you money" anything else?

My account is far from dormant but only has £500 paid in per month. I got a stock response from them when I complained via secure message which stated that becasue of their wonderful customer service they want me to do all my banking with them. wonderful customer service?? I replied saying this was utter crap... must check for the "personal response" I asked for.

not soupy - that is classic! maybe we should start collecting 'first direct-isms'!

yes, this is all for our benefit, lucky lucky us

Have just emptied and closed my ISA with them and will be emptying and closing my current account with them this evening.

They won't notice the loss of just me, but if lots of "me"s were to do the same, I think (hope) it would hit them hard.
But they won't lose any sleep, after all, we're not their most important customers...

bibi - which current acct have you gone for? I'm trying to decide which to move too

I am a first direct customer and I have no intentions of taking my business elsewhere. I agree this is outragious, and targets the lower earners, but there are many many rumblings that other banks are going to follow suit - customers leaving FD won't stop other banks from doing the same, because in time, everyone will be charging for a current account. We are actually quite lucky in this country at the moment - in most other countries you are charged for your bank account. In the US you are charged for each account you hold, you are charged for each transaction you make, and you are charged for every cheque that you cash.

We are lucky in that we meet the criteria for their current accounts, but even if not, I would be prepared to pay for the service alone - at least their call centres are in the UK which is more than can be said for most of the other banks, and I have no intentions of ever moving my business to a bank whose call centres are in India or anywhere else.

I'm toying with Nationwide, Abbey or another online, Cahoot (a subsidiary of Abbey I think).
I'm prepared to move as many times as it takes in the hope that one bank will stand out and be different and NOT charge for an account - isn't it Nationwide that are curently advertising that their call centres are in the UK and that their branches actually have phone numbers and staff in them?

I've heard lots of good things about Alliance & Licester too, so might take a look at their offers.

i've gone with "Smile". they don't charge and pay 3%. and they're ethical investors apparently.

I'm furious too.

i think the sexual discrimination point is a very good one. yes, I know that SAHDs are penalised too, but a far greater majority of women are SAHMs or work part time than men so on average women are far more likely to be penalised (charged £10 a month) than men. This is indirect discrimination.

No doubt FD has looked at every legal angle with their highly paid (probably male) lawyers before they have done this but I would love them to be dragged through the courts.

I feel personally betrayed after being a customer for so long and recommending them to so many people.

Ooooh, I've got another First Directism (paraphrased ) I told them they were discriminating agains the less wealth

"I'm sorry to hear yoou think we are being discriminatory.... we treat all out customers the same without discrimination" apart from only offering wealthy customers a free bank account of course. hahahaha!

WannaBe, it's not so much that they're charging it's that they are only charging those who can least afford to pay the fee or blackmailing them into taking out other product they do not want. It is utterly dispicable behaviour. Even if I fell within the banking limits they give (and if DHs salary was paid in there we would more than meet it) I would still be moving my account because I think it is appalling that they can target the less wealthy like this.

DH had the same letter and we were gobsmacked at teh cheek of it, but his truly is a dormant account, so he will be closing it.

Otherwise we bank with Barclays and have done for years - no idea what the criteria are for setting up new accounts but no charges unless you go on an Additions account where you get certain benefits / free overdraft up to a certain amount etc.

Of course I may be totally unaware that they are stinging new customers.

If Barclays pulled the same sort of stunt I would start putting my paltry earnings (somewhat less than teh £1500 cutt off) under the mattress. It gets spent quickly enough.

We still haven't had letters from them but are actively looking to move ALL our accounts from them - DH earns a bomb, I earn very little on an inter=mittent basis but transfers from other FD accounts don't count so we will move our overall profitable accounts from them Technically i guess we won't have to as I have a cc with them ,and we have a joint savings account as well as a joint bank account but i think it is despicable behaviour only charging the less well off.

Apparently people are more likely to change partners than banks

I think that it is - If charges were applied to all then maybe that was fair enough, but its only to us maternity mums, sahm/ds, pensioners etc

also they make SO much money that it is laughable - pure greed (ok its a bank so not such a surprise!!)

I would think fair enough if they were targetting dormant accts only but they want a miniumum of 1500 so that is pure creaming off certain clients only - meanies

I think smile looks good too will keep you posted on where we switch too x

Today's classic line: "We want to focus on our customers who use us as their main bank"

er no, you want to focus on those who pay the most money in. I for one do use them as my main bank, I jsut don't pay enough into it each month.

I've also chosen Smile as my replacement

we're changing to smile too x