Bank of Ireland introducing additional charges

cirrus55

I thought i was seeing things when I read this. Will finally be closing all my Bank of ireland accounts. Extortion, pure and simple.http://www.independent.ie/business/personal-finance/latest-news/rivals-set-to-follow-as-bank-of-ireland-hits-customers-with-raft-of-new-fees-29343738.html

bladespin

True enough, AIB seem to be slightly cheaper although how they can justify charging €0.20 for internet transactions I carry out myself is beyond me, and account maintenance? Oil changes I guess.

gimli2112

Have to pay for those fat cat pensions somehow guys!

washman3

Probably only a matter of time before the other banks follow suit, while our inept Government once again stand idly by and allow them to do as they please. Let nobody be in any doubt as to who really runs this country, and have done for many years now.:mad:

celticbhoy27

cirrus55 wrote: »

I thought i was seeing things when I read this. Will finally be closing all my Bank of ireland accounts. Extortion, pure and simple.http://www.independent.ie/business/personal-finance/latest-news/rivals-set-to-follow-as-bank-of-ireland-hits-customers-with-raft-of-new-fees-29343738.html

What's the alternative though. All the rest of the feckers will follow suit

gasher

It a joke, I'm going to ulster bank, if you have 3,000 in your account u avoid fees bank of ireland are taken d piss really

hfallada

Its a business which has to make a profit or in its case reduce its losses. You can't free banking for ever. They have to make a profit.

All of you moaning that it's 20 cent. They have a huge over heads. It was never going to last.

MBSnr

hfallada wrote: »

Its a business which has to make a profit or in its case reduce its losses. You can't free banking for ever. They have to make a profit.

All of you moaning that it's 20 cent. They have a huge over heads. It was never going to last.

You can justify this? Really? You can pay my fees if you don't mind then...

Meanwhile in the UK the banks are in debt and free banking...

gasher

i think you will find it more than 20 cent, and why shouldn't we moan, the government own most of the bank, so we know were are money is going. Fat Cats!

BuffyBot

MBSnr wrote: »

You can justify this? Really? You can pay my fees if you don't mind then...

Meanwhile in the UK the banks are in debt and free banking...

If they could, they would do it in a heartbeat.

However, it's a vastly different marketplace.

daheff

its the EUR5 per quarter fee for everybody that really gets me. They are removing the free banking completely now because of this. While you might be able to get around transactional banking fees theres no chance of getting around bank fees with BOI.

Pure contempt for their customers. Glad im in process of moving to PTSB.

loki7777

How is it now in PTSB - if i have 1500 on my account i don't have to worry about any fees - usage of Visa Debit (+5euro for atm but i know that:) or online banking?

dnme

With PTSB, you simply have to lodge €1500 or more per month. You don't need to maintain this balance, so if you get your salary paid in, you're covered. This is what its designed for.

I for one have decided to move, (from AIB to PTSB). I already have a savings account with them, they are currently paying 3% with instant access. Its a no brainer.

I urge everyone to move away from the banks. Vote with your feet. Dont tolerate this shafting any longer for god sakes. BTW I have nothing to do with PTSB, I'm just a pissed off and well ridden AIB customer.

coylemj

gasher wrote: »

It a joke, I'm going to ulster bank, if you have 3,000 in your account u avoid fees bank of ireland are taken d piss really

That is the equivalent of handing over €3,000 for the privilege of free banking, money you cannot touch or you'll go below the threshold and charges will cut in.

In previous times, any money you had in the current account and making no interest was the reason why they could give free banking if you were in credit, low interest rates has removed this benefit so they have to start charging.

dnme

dnme wrote: »

With PTSB, you simply have to lodge €1500 or more per month. You don't need to maintain this balance, so if you get your salary paid in, you're covered. This is what its designed for.

I for one have decided to move, (from AIB to PTSB). I already have a savings account with them, they are currently paying 3% with instant access. Its a no brainer.

I urge everyone to move away from the banks. Vote with your feet. Dont tolerate this shafting any longer for god sakes. BTW I have nothing to do with PTSB, I'm just a pissed off and well ridden AIB customer.

Also bear in mind, that if you have access to €2500 - €3000, you'd be mad to keep it in your current account just to avoid fees. €3000 will earn you €70-€100 quid a year interest in any decent savings account right now, plus it will bolster your ability to access credit with the institution you have it saved with. Take your money out of the hands of these robbing bastards, take control, you be the boss !!

Chris_5339762

...and also in the UK a good chunk of the ATMs charge for withdrawals. I've yet to see that here, thank goodness.

Coonster

Is the €11.40 flat fee for 90 transactions dropped? and is it being replaced with anything similar?

murphaph

coylemj wrote: »

That is the equivalent of handing over €3,000 for the privilege of free banking, money you cannot touch or you'll go below the threshold and charges will cut in.

In previous times, any money you had in the current account and making no interest was the reason why they could give free banking if you were in credit, low interest rates has removed this benefit so they have to start charging.

My German bank pays ME 0.2% on my current account balance (1.05% on credit card balance if in credit) and there are no fees. It's online only but most people with internet access of any kind do not really need to use a branch these days.

There are even high street banks here in Germany with no fees and no minimum balance. My old bank required 1k to be lodged per month but no minimum balance etc. to avail of fee free banking.

The Irish banks do it because they think they can get away with it. If 25% of BoI customers left to go to PTSB BoI would not introduce the new fees. People need to get off their backsides and move to a cheaper bank to force the hand of competition.

From February you'll be able to seek out online banks outside Ireland for ALL your banking needs. I'll be closing my last remaining Irish account then and switching Irish direct debits to my German accounts.

alaimacerc

murphaph wrote: »

From February you'll be able to seek out online banks outside Ireland for ALL your banking needs. I'll be closing my last remaining Irish account then and switching Irish direct debits to my German accounts.

Apologies for being in the slow climbing lane on this one, but what exactly is happening come February? Is there some sort of EU/Eurozone directive/deregulation/harmonisation coming down the pipe?

Unfortunately my only "foreign" account is in the UK, so not going to be any use for such purposes, but if the regs are changed...

SpaceTime

murphaph wrote: »

My German bank pays ME 0.2% on my current account balance (1.05% on credit card balance if in credit) and there are no fees. It's online only but most people with internet access of any kind do not really need to use a branch these days.

There are even high street banks here in Germany with no fees and no minimum balance. My old bank required 1k to be lodged per month but no minimum balance etc. to avail of fee free banking.

The Irish banks do it because they think they can get away with it. If 25% of BoI customers left to go to PTSB BoI would not introduce the new fees. People need to get off their backsides and move to a cheaper bank to force the hand of competition.

From February you'll be able to seek out online banks outside Ireland for ALL your banking needs. I'll be closing my last remaining Irish account then and switching Irish direct debits to my German accounts.

That's all fine and well, but we've less and less competition here all the time as the policy was to consolidate the market into two 'pillar banks' or a 'duopoly' as it's normally known.

The Irish banks' only concern is how to maximise profits by turning the screws on customers to correct their somewhat dysfunctional balance sheets created by boom-time irrational lending.

So, normal punters who had nothing to do with the property collapse are paying through nose for it and people on low incomes are suffering disproportionately through the introduction of heavy fees and especially unauthorised overdraft fees which can run up huge fees for a really minor accidental OD.

tteknulp

PTSB never charged me a fee for atm usage or otherwise ,regardless of what i had in account , although a €15.88 fee applies if money is not there to meet a direct debit.

alaimacerc

But if there's "single market" online banking competition, that in turn turns the screws on them. I'd have been initially wary of an all-online bank, but truth to tell I haven't been in my "own" AIB branch for an age until this week -- and when I did, it did me precious little good. So, to heck with them, frankly.

Of course, it's not without consequence if that is what happens. For "maximising profits" read "minimising losses" at present. If the banks aren't able to make money in this way -- as shoddy and opportunistic as it is, frankly -- then doubtless they'll end up making aggressive savings elsewhere, charging more money to "captive" customers, and/or running to the taxpayer for more money.

SpaceTime

The problem with that strategy is that because customers feel 'stung' as soon as a continental online current account bank opens up in a big way here, you'll find a hell of a lot of people will switch and feel quite spiteful about their old bank.

It's yet more short-termism from the Irish banks.

Ogham

Coonster wrote: »

Is the €11.40 flat fee for 90 transactions dropped? and is it being replaced with anything similar?

That's going - so if you go under €3k balance you pay for every transaction in the quarter.
http://www.moneyguideireland.com/bank-of-ireland-to-introduce-account-fees-for-all-customers.html

washman3

murphaph wrote: »

From February you'll be able to seek out online banks outside Ireland for ALL your banking needs. I'll be closing my last remaining Irish account then and switching Irish direct debits to my German accounts.

February 2014, i take it.?
will that mean the banks here will really struggle to compete.?

hillbloom

The new BOI charges are starting on 19th August.

dnme

Ogham wrote: »

That's going - so if you go under €3k balance you pay for every transaction in the quarter.
http://www.moneyguideireland.com/bank-of-ireland-to-introduce-account-fees-for-all-customers.html

What a great little website, all the key info you need in a clean concise format.

Delta2113

Yes it's a great website - should bookmark. A good alternative to askaboutmoney - another good one.

sean200

i have moved to PTSB and am now getting 1% on current account
Bank of ireland tried to rip me off since last october with fees by not changing me over to the fixed fee when i asked them to.
Leave bank of ireland now and stop this bank screwing the irish people

murphaph

alaimacerc wrote: »

Apologies for being in the slow climbing lane on this one, but what exactly is happening come February? Is there some sort of EU/Eurozone directive/deregulation/harmonisation coming down the pipe?

Unfortunately my only "foreign" account is in the UK, so not going to be any use for such purposes, but if the regs are changed...

From February the national sort codes and account numbers across the entire SEPA will be replaced with IBAN/BIC combinations and you'll be free (if you can find a bank that will cooperate) to open a Euro denominated account in any SEPA member state and be able to operate it just like a domestic one. You can pay your ESB bill from your account in Spain etc. One big payment area.

devil-80

Ulster bank also introduce monthly fee 4€ if you dont have 3000€ on your account.

daheff

murphaph wrote: »

From February the national sort codes and account numbers across the entire SEPA will be replaced with IBAN/BIC combinations and you'll be free (if you can find a bank that will cooperate) to open a Euro denominated account in any SEPA member state and be able to operate it just like a domestic one. You can pay your ESB bill from your account in Spain etc. One big payment area.

People think this, but currently banks will not open accounts to non residents (as far as i know they arent allowed). More legislation may be required to open up the SEPA area properly.

But in theory yes you could open an account in spain and use it to pay DDs from any company across Europe

murphaph

daheff wrote: »

People think this, but currently banks will not open accounts to non residents (as far as i know they arent allowed). More legislation may be required to open up the SEPA area properly.

But in theory yes you could open an account in spain and use it to pay DDs from any company across Europe

The legislation is on the way to force banks Europe wide to open accounts for non-residents inside the EU. However, until that day comes then you are correct...it's a case of finding a bank that will play ball.

I know my bank, DKB (German only) will open accounts for non-residents. They even describe how the process of legitimisation works for non-residents (it's easy for residents as there's an "identity check" service from the German post office that allows you to verify who you are for such things by just going to your local post office with your documents).

However, my bank will not deal with anyone in English. You must be able to communicate with them in German in all correspondence. I don't know about the other online only banks here.

The trend is clear though and the writing is on the wall for noncompetitive Irish banks.

Sensor

There is only one bank in the North atm that charges a monthly fee. This rubs salt further into BOI's wounds:

Pay a monthly account fee of £2, fund the account with £500 a month (a minimum balance of £1,000 is required to receive interest); and set up a minimum of two Direct Debits. For cashback household bills must be paid by Direct Debit.

BUT this is what you get for it:

Cashback on household bills:
1% on water, council tax bills and Santander mortgage payments2
2% on gas and electricity bills
3% on mobile phone, home phone, broadband and paid-for TV packages
+ Up to 3% AER (variable) interest on your balance


http://www.santander.co.uk/csgs/Satellite?appID=abbey.internet.Abbeycom&canal=CABBEYCOM&cid=1237892266671&empr=Abbeycom&launch=NO&leng=en_GB&pagename=Abbeycom%2FPage%2FWC_ACOM_ViewSelector

Now i know this may open up increasing charges and reducing the cashback but I think BOI's jump to charging for nothing different is a silly move.

Small print :


Cashback - on household bills paid by Direct Debits:


1% cashback on water, council tax bills and Santander mortgage payments (up to maximum monthly mortgage payments of £1,000)


2% cashback on gas and electricity bills


3% cashback on mobile phone, home phone, broadband and paid-for TV packages.



Interest - on your current account balance:


1.00% AER/gross (variable) on balances from £1,000


2.00% AER/1.98% gross (variable) on balances from £2,000


3.00% AER/2.96% gross (variable) on balances from £3,000 and up to a maximum of £20,000.



Interest rates will apply on the first £20,000 of your entire balance once you have at least £1,000 in your account.


A four month fee free Arranged Overdraft for 4 months when you switch to us using our 5 Star rated Switcher Service (depending on circumstances). See representative example.


0% EAR (variable) Arranged Overdraft. No Daily Arranged Overdraft Fee for the first 4 months. Then £1 per day capped at 20 days each monthly statement period applies thereafter.

Assumed Arranged Overdraft credit limit: £1,200. Actual amount may differ

alaimacerc

murphaph wrote: »

The legislation is on the way to force banks Europe wide to open accounts for non-residents inside the EU. However, until that day comes then you are correct...it's a case of finding a bank that will play ball.

Is it really just a matter of the banks not being willing to? Or are there services that there are currently restrictions or impediments on? I'm not sure what they'd be, I admit, because certainly bank transfers, atm withdrawals, and payment point transactions all work across the Eurozone -- and even AIB doesn't charge any extra for them. I assume DDs do too.

However, my bank will not deal with anyone in English. You must be able to communicate with them in German in all correspondence. I don't know about the other online only banks here.

I can see why that'd be the case, and I'd be surprised if it were Eurodirected otherwise. It'd be a big cost on small banks, and a complete minefield if anything gets "lost in translation". But I'd imagine that once there's complete SEPA harmonisation, some of the banks will want to. (Traditionally they do this by buying a local "brand" and consolidating backoffices, but is there any value to doing it that way these days?)

But otherwise... hey, if one isn't going to learn Chinese, what better than to learn German...

murphaph

alaimacerc wrote: »

Is it really just a matter of the banks not being willing to? Or are there services that there are currently restrictions or impediments on? I'm not sure what they'd be, I admit, because certainly bank transfers, atm withdrawals, and payment point transactions all work across the Eurozone -- and even AIB doesn't charge any extra for them. I assume DDs do too.

At the moment there's no cast iron guarantee that your Irish issued debit card will work at a pos terminal in Lithuania, but from February it must work assuming the retailer accepts your brand of card. This is why laser is dead now. Laser was an Irish only solution. The German girocard will also die, to be replaced with maestro and vpay mostly. Direct debits are possible now but nobody is obliged to let you set one up. From February there will only be SEPA direct debits, even internally national ones will be converted to SEPA automatically. Currently if I make a transfer of funds from ulster bank to my German account it is not a SEPA payment and can take several days to arrive. From February it must make it in one day.

alaimacerc wrote: »

I can see why that'd be the case, and I'd be surprised if it were Eurodirected otherwise. It'd be a big cost on small banks, and a complete minefield if anything gets "lost in translation". But I'd imagine that once there's complete SEPA harmonisation, some of the banks will want to. (Traditionally they do this by buying a local "brand" and consolidating backoffices, but is there any value to doing it that way these days?)

But otherwise... hey, if one isn't going to learn Chinese, what better than to learn German...

Indeed. I'm lucky in that I speak German but many expats here manage to negotiate the online interface easily enough with almost no German.

daheff

alaimacerc wrote: »

I can see why that'd be the case, and I'd be surprised if it were Eurodirected otherwise. It'd be a big cost on small banks, and a complete minefield if anything gets "lost in translation". But I'd imagine that once there's complete SEPA harmonisation, some of the banks will want to. (Traditionally they do this by buying a local "brand" and consolidating backoffices, but is there any value to doing it that way these days?)

But otherwise... hey, if one isn't going to learn Chinese, what better than to learn German...

This is a fair point, but banks make lots of money, so its not a huge outlay to put up english/german/french translations of their site (they probably have one or two anyways). And the bigger banks have branches across multi jurisdictions in Europe already.

barrauda17

I've always used Bank of Ireland as my main account and have always had the 3000euro in there to avoid charges but I'm afraid I'm going to have to close down my account and vote with my feet as others are doing. These charges are excessive. it's ridiculous. People may say other banks will follow suit, but account holders will still move to the bank with the least charges. simple as that.

murphaph

barrauda17 wrote: »

I've always used Bank of Ireland as my main account and have always had the 3000euro in there to avoid charges but I'm afraid I'm going to have to close down my account and vote with my feet as others are doing. These charges are excessive. it's ridiculous. People may say other banks will follow suit, but account holders will still move to the bank with the least charges. simple as that.

Spot on, it's the ONLY way to try to force banks to compete. It DOES work or PTSB wouldn't bother offering an account that is fairly easy to avoid fees on. I fully expect the other banks to be forced to rethink their fees as PTSB takes more and more of their customers.

Changing bank takes a couple of hours work and if you change once you can make yourself a simple checklist that you use to change the next time and it will be even easier.

SpaceTime

SEPA has been working fine for some time. I transferred rent payments from AIB online banking to ING Bank in Belgium and they arrived the following morning. Actually faster than transferring to Ulster Bank from AIB.

Ulster seems to operate to the UK's glacial banking speeds for transfers. I've often waited 5 days for funds go between to British banks!

viper006

It seems alot of the banks are really ramping up the fees..

Im with BOI for nearly 14 years and have repaid loans, credit cards and OD's with my time with them .If i close my accounts with them would this impact my credit score in any way starting fresh with a new bank vs staying with a bank i have an excellent credit history with??

mikemac1

viper006 wrote: »

If i close my accounts with them would this impact my credit score in any way starting fresh with a new bank vs staying with a bank i have an excellent credit history with??

It makes no difference.

In times past the best customers would have a relationship with the branch manager.

That's all gone, loan decisions are made in HQ.

Irish Credit Bureau will have your repayment history and flag any issues (you have none) and all the main banks can access this

viper006

cheers for the feedback.. good to know.

paddyc310

Bank of Ireland €1.20 per cheque ritten I always wrote cheques not good at keeping receipts. Finished now with boi after 40 yrs treat you like dirt ,,,

sean200

I have completed my account move to PTSB and it was so easy to do
irish people stand up for once and boycott this bank and when we have dealt with them we will then deal with the rest
PTSB are no better in what they have done but for now they are not screwing the irish people for banking FEES

loki7777

Don't worry lot of ppl just move to PTSB:) Good luck BOI.

Gone West

I've been with BoI 20 years now, but its time to leave.
The last in a series of BoI annoyances is that they charged me €25 for an IBAN to Spain.
A guy in work told me that this was absolutely against some common Euro directive for IBAN charges.
Anybody know?

2012paddy2012

celticbhoy27 wrote: »

What's the alternative though. All the rest of the feckers will follow suit

Do what I did ! Closed all bank accounts . Set up D/D etc with credit union fir all bills .... Pay your wages in too NO ... Charges

alaimacerc

Fuzzy wrote: »

I've been with BoI 20 years now, but its time to leave.
The last in a series of BoI annoyances is that they charged me €25 for an IBAN to Spain.
A guy in work told me that this was absolutely against some common Euro directive for IBAN charges.
Anybody know?

IBAN as in a bank transfer, using the assorted wossit codes? I haven't done it to Spain, but I have to Germany, and it was "free", back in the day, and "same price we charge you for swiping your Banklink card for a couple of Euros of groceries, that we didn't tell you we'd be charging for", these days.

I'm not sure if this is something weird about this particular transaction, something weird about Spain, or something weird (i.e. indecently confiscatory) about BoI, but I'd definitely complain about that. Maybe check with the NCA and the CIC as to whether this is legit. Then switch accounts anyway.

Actually, I need to take some of my own advice... not a peep out of my local AIB kleptos.

2012paddy2012

viper006 wrote: »

It seems alot of the banks are really ramping up the fees..

Im with BOI for nearly 14 years and have repaid loans, credit cards and OD's with my time with them .If i close my accounts with them would this impact my credit score in any way starting fresh with a new bank vs staying with a bank i have an excellent credit history with??

no effect

Toots

Fuzzy wrote: »

I've been with BoI 20 years now, but its time to leave.
The last in a series of BoI annoyances is that they charged me €25 for an IBAN to Spain.
A guy in work told me that this was absolutely against some common Euro directive for IBAN charges.
Anybody know?

Did you ask for it to be sent 'express'? Do you mind me asking how much it was for? I know if it's under €50,000 it's free within the euro zone but for amounts over that there's charges. Also I know BOI recently changed their way of doing FX transfers, now if they're under €3000 (I think) they have to be done online, so if you go into your branch and fill out the form, the only way they can send it from the branch is 'express' which means there's the €25 charge.