Is Private banking worth it

4ensic15

I was talking to an acquaintance recently who says the banks have no interest in retail customers. They are now treating them with indifference and contempt. They are tolerable if they exist in cyberspace only and pay up on time for loans, don't notice sneaky fees and charges never visit a branch. He says that the banks are only providing a proper service to their private bank clients, the type of service that used to be provided to most clients, years ago. It is, pay the fees for private banking or go and disappear into cyberspace. Is it worth it to pay €50 a month, at least, just to be able to call someone in a bank?

Wanderer78

im an advocator for public banking, for many of the reasons you ve explained

ANXIOUS

4ensic15 wrote: »

I was talking to an acquaintance recently who says the banks have no interest in retail customers. They are now treating them with indifference and contempt. They are tolerable if they exist in cyberspace only and pay up on time for loans, don't notice sneaky fees and charges never visit a branch. He says that the banks are only providing a proper service to their private bank clients, the type of service that used to be provided to most clients, years ago. It is, pay the fees for private banking or go and disappear into cyberspace. Is it worth it to pay €50 a month, at least, just to be able to call someone in a bank?

What fees are their for private banking? I was invited rather than agree to pay any fees.

Cyrus

4ensic15 wrote: »

I was talking to an acquaintance recently who says the banks have no interest in retail customers. They are now treating them with indifference and contempt. They are tolerable if they exist in cyberspace only and pay up on time for loans, don't notice sneaky fees and charges never visit a branch. He says that the banks are only providing a proper service to their private bank clients, the type of service that used to be provided to most clients, years ago. It is, pay the fees for private banking or go and disappear into cyberspace. Is it worth it to pay €50 a month, at least, just to be able to call someone in a bank?

i am a UB private banking customer, i am on a 3 month free trial after using private banking to switch mortgage (very handy, they call to your house in the evening, or at work etc).

i cant see me keeping it, 600 a year is a lot for mobile ph insurance and basic travel ins

Jim2007

Cyrus wrote: »

i am a UB private banking customer, i am on a 3 month free trial after using private banking to switch mortgage (very handy, they call to your house in the evening, or at work etc).

i cant see me keeping it, 600 a year is a lot for mobile ph insurance and basic travel ins

Bit of marketing here, this is not private banking, it is high street banking as it should be...

Private banking is something else and to qualify you for such a bank you need lots of money, having worked in a few of these places, I can tell you two basic criteria - a minimum balance of 8M (UK, I think is around 3M) and at least 80% of balance in investment products. Usually fees amount to at least 25K (UK, I hear is min of around 10K).

For that you can expect:
- Cards at Christmas, birthday etc...
- Advisor will call you on your birthday to wish you a happy one
- Advisor will visit you at home or at your hotel
- Advisor will collect and deliver cash
- Tickets of shows, football matches
- If your balance is big enough seating in their reserved seating of world cup, olympics etc..

How the other half live

Cyrus

Jim2007 wrote: »

Bit of marketing here, this is not private banking, it is high street banking as it should be...

Private banking is something else and to qualify you for such a bank you need lots of money, having worked in a few of these places, I can tell you two basic criteria - a minimum balance of 8M (UK, I think is around 3M) and at least 80% of balance in investment products. Usually fees amount to at least 25K (UK, I hear is min of around 10K).

For that you can expect:
- Cards at Christmas, birthday etc...
- Advisor will call you on your birthday to wish you a happy one
- Advisor will visit you at home or at your hotel
- Advisor will collect and deliver cash
- Tickets of shows, football matches
- If your balance is big enough seating in their reserved seating of world cup, olympics etc..

How the other half live

of course, but its the 'private banking' that the OP is asking about and its what UB market as private banking.

My boss has an Amex Centurion card so i have a fair idea what proper private banking is :P

4ensic15

It seems there is private banking and private banking. One is just to gouge fees from customers and the other provides a service for the rich but time poor.

368100

4ensic15 wrote: »

I was talking to an acquaintance recently who says the banks have no interest in retail customers. They are now treating them with indifference and contempt. They are tolerable if they exist in cyberspace only and pay up on time for loans, don't notice sneaky fees and charges never visit a branch. He says that the banks are only providing a proper service to their private bank clients, the type of service that used to be provided to most clients, years ago. It is, pay the fees for private banking or go and disappear into cyberspace. Is it worth it to pay €50 a month, at least, just to be able to call someone in a bank?

Genuine question, what level of service are you looking for? Direct phone number for your branch advisor? Anything else?

4ensic15

368100 wrote: »

Genuine question, what level of service are you looking for? Direct phone number for your branch advisor? Anything else?

Genuine question. What is a branch advisor? I used to be able to ring an assistant manager or a branch manager. Then this amorphous term of relationship manager appeared which seemed to be a bank official who didn't know their ass from their elbow. The level of service I would want would be to be able to call the branch when I want something done and get some assistance when I need it.

368100

4ensic15 wrote: »

Genuine question. What is a branch advisor? I used to be able to ring an assistant manager or a branch manager. Then this amorphous term of relationship manager appeared which seemed to be a bank official who didn't know their ass from their elbow. The level of service I would want would be to be able to call the branch when I want something done and get some assistance when I need it.

A branch advisor is normally someone at a supervisory or assistant manager level. In fairness its not feasible for everyone to ring the branch manager to do things....that would be one busy manager. Obviously every bank/branch is different but i know plenty of advisors that are more knowledgeable than their managers.
Boi offer a premier banking service, where you can directly call the branch and get assistance. No additional fees but i think you still need salary of over 100k to avail if it. Unfortunately anyone earning below that on average isnt bringing income to the bank to warrant a direct service like that. Banks are businesses at the end of the day so only aim to provide services which are profitable. If a local shop offered home delivery and they made a loss on providing the service, they simply wouldnt provide it any more....same idea

blindside88

Most banks now have 3 tiers of service.
1) Standard customers (earning less than €100k a year) that can go into the branch or use the phone banking services
2) relationship managed/premier customers (those earning between €100k and €500k or those with medium businesses) that have access to a relationship manager via there mobile phone who will arrange meetings with relevant people in the bank as necessary
3) private banking customers (those earning substantial incomes or with substantial “investable assets”), these will have generally one advisor that is almost always contactable and will handle every area of there needs from transferring cash, to bookings flights and match tickets to investment and tax advise.

Some banks offer “private banking” but if infant you’re not getting number 3 above it’s probably just a fancy name to charge extra for what should be normal service

Just my 2 cents

368100

blindside88 wrote: »

Most banks now have 3 tiers of service.
1) Standard customers (earning less than €100k a year) that can go into the branch or use the phone banking services
2) relationship managed/premier customers (those earning between €100k and €500k or those with medium businesses) that have access to a relationship manager via there mobile phone who will arrange meetings with relevant people in the bank as necessary
3) private banking customers (those earning substantial incomes or with substantial “investable assets”), these will have generally one advisor that is almost always contactable and will handle every area of there needs from transferring cash, to bookings flights and match tickets to investment and tax advise.

Some banks offer “private banking” but if infant you’re not getting number 3 above it’s probably just a fancy name to charge extra for what should be normal service

Just my 2 cents

Pretty much spot on but in my experience there aren't any extra account fees or membership charges between option 1 and 2. Just in option 2 theyre likely to make money from you taking out private pensions, investments etc and more likely to have a larger mortgage.

blindside88

368100 wrote: »

Pretty much spot on but in my experience there aren't any extra account fees or membership charges between option 1 and 2. Just in option 2 theyre likely to make money from you taking out private pensions, investments etc and more likely to have a larger mortgage.

Exactly, In option 2 they’ll usually get better rates on borrowings. What some have suggested is ulster bank are offering “private banking” for €50 per month which seems to be a way to buy what some banks package as premier banking

368100

blindside88 wrote: »

Exactly, In option 2 they’ll usually get better rates on borrowings. What some have suggested is ulster bank are offering “private banking” for €50 per month which seems to be a way to buy what some banks package as premier banking

Ive never heard of that myself but it would want to be some service to warrant €50 a month in fees. Not sure why any "normal" personal customer would need this level of service.

4ensic15

blindside88 wrote: »

Most banks now have 3 tiers of service.
1) Standard customers (earning less than €100k a year) that can go into the branch or use the phone banking services
2) relationship managed/premier customers (those earning between €100k and €500k or those with medium businesses) that have access to a relationship manager via there mobile phone who will arrange meetings with relevant people in the bank as necessary
3) private banking customers (those earning substantial incomes or with substantial “investable assets”), these will have generally one advisor that is almost always contactable and will handle every area of there needs from transferring cash, to bookings flights and match tickets to investment and tax advise.

Some banks offer “private banking” but if infant you’re not getting number 3 above it’s probably just a fancy name to charge extra for what should be normal service

Just my 2 cents

From what I can see, the banks are not interested in level 1 at all. They would prefer if such people went to the credit union or the pawnbroker. Ulster Bank certainly seems to want to get additional fees to go beyond level one.

The J Stands for Jay

Jim2007 wrote: »

Bit of marketing here, this is not private banking, it is high street banking as it should be...

Private banking is something else and to qualify you for such a bank you need lots of money, having worked in a few of these places, I can tell you two basic criteria - a minimum balance of 8M (UK, I think is around 3M) and at least 80% of balance in investment products. Usually fees amount to at least 25K (UK, I hear is min of around 10K).

For that you can expect:
- Cards at Christmas, birthday etc...
- Advisor will call you on your birthday to wish you a happy one
- Advisor will visit you at home or at your hotel
- Advisor will collect and deliver cash
- Tickets of shows, football matches
- If your balance is big enough seating in their reserved seating of world cup, olympics etc..

How the other half live

I'd say I could probably live larger if I spent the 25k myself...

Time

Cyrus wrote: »

i am a UB private banking customer, i am on a 3 month free trial after using private banking to switch mortgage (very handy, they call to your house in the evening, or at work etc).

i cant see me keeping it, 600 a year is a lot for mobile ph insurance and basic travel ins

600 a year! what do you get for that compared to the ufirst gold?

Cyrus

Time wrote: »

600 a year! what do you get for that compared to the ufirst gold?

Probably very little but you can’t get a ufirst gold account any more !

Time

Cyrus wrote: »

Probably very little but you can’t get a ufirst gold account any more !

Luckily i have one! But looking at the Ulster Bank website it seems that you have to pay an extra €14 per month over the private banking fee to get the same benefits as ufirst which is just crazy.