AIB to start charging 1c per contactless payment and additional charges.

virginmediapls

https://www.independent.ie/business/personal-finance/aib-to-charge-fees-for-contactless-payments-and-current-accounts-39031416.html

I don't know why, but this charge really grinds my gears. It's probably negligible over the course of a year - but **** them.

• **** them for continuing their policy of exploiting the Irish public by introducing this charge.
• **** them for introducing it during a time of financial unrest.
• **** them for timing this news for when there is a pandemic and the news will fly under the radar.

I am going to change to another bank despite being with AIB from birth.

**** AIB.

That is all.

silver2020

problem is interest rates are zero - so they either apply negative interest rates to money in your account or make a small charge.

You'll find all the banks will be doing this. At the end of the day, the service has to be paid for and if there is no value for the money sitting in your account for the bank, the money as to come from elsewhere

sonic85

It's so fcuked up that banks can target the poor fcukers (like myself) that dont have a certain level of savings. Doesn't make much sense

Jet Black

Use Revolut. Transfer enough each month, they're charging for everytime you use now.

Lu Tze

Guess we will all go back to inserting the card and putting in the pin for each transaction, assuming it is only for contactless based on the statement.

Thelonious Monk

Jet Black wrote: »

Use Revolut. Transfer enough each month, they're charging for everytime you use now.

Revolut are charging now?

Fireball81

Bank switching rates here are still very poor, about 1% so until that changes, banks will screw people over simply because the majority just suck it up.

PommieBast

silver2020 wrote: »

You'll find all the banks will be doing this.

From my experience so far BoI is by far the worst for charges.

manonboard

I use revolut for all my banking bar my salary transfer. Which i just send to revolut using auto topup.

No charges.

Feck AIB. They make plenty of money off your money. This is just greed and should be treated as such.

Raconteuse

Why do people have a problem with a company charging for its service? I am not being smart - it's a genuine question. It's a business, which provides services so it's charging for them. Same as any business, which is accepted as it should be. Why the exception for banks? "They make plenty of money" doesn't mean some services should be free. That could be said about any company.

suicide_circus

how long can revolut go on providing a free service?

SEPT 23 1989

how much has that particular bank cost the taxpayer in the last 40 years

they should have been put out of business years ago

stuff.hunter

Raconteuse wrote: »

Why do people have a problem with a company charging for its service? I am not being smart - it's a genuine question. It's a business, which provides services so it's charging for them. Same as any business, which is accepted as it should be. Why the exception for banks? "They make plenty of money" doesn't mean some services should be free. That could be said about any company.

banks dont 'store' your money, they are using them for loans making significant amount of profit on it so charging you extra for card transactions (on the top of quarterly fees) is just too much. I've left this kip called AIB years ago and never looked back

Sierra Oscar

Raconteuse wrote: »

Why do people have a problem with a company charging for its service? I am not being smart - it's a genuine question. It's a business, which provides services so it's charging for them. Same as any business, which is accepted as it should be. Why the exception for banks? "They make plenty of money" doesn't mean some services should be free. That could be said about any company.

I'll keep moving so long as there are other cheaper alternatives that allow me keep more of my money in my back pocket.

That's just business as you say.

Ipso

Lu Tze wrote: »

Guess we will all go back to inserting the card and putting in the pin for each transaction, assuming it is only for contactless based on the statement.

What do you think it is, the 2010s.

Raconteuse

Sierra Oscar wrote: »

I'll keep moving so long as there are other cheaper alternatives that allow me keep more of my money in my back pocket.

That's just business as you say.

Extremely sensible. But it doesn't answer my question - why do people have such a problem with a business charging for a service? You even say you switch for the cheapest service - nothing about the free-est service.

Do people think AIB is the only bank that charges too?

Hungrycol

https://www.ccpc.ie/consumers/money/banking/switching-accounts/

Moving banks ^^

Greyfox

Raconteuse wrote: »

Why do people have a problem with a company charging for its service?

Because its a sneaky charge that they know they will get away with as for most people changing bank is too much hassle.

Skylinehead

Greyfox wrote: »

Because its a sneaky charge that they know they will get away with as for most people changing bank is too much hassle.

How is a well-publicised charge "sneaky"?

stuff.hunter

Greyfox wrote: »

Because its a sneaky charge that they know they will get away with as for most people changing bank is too much hassle.

+1
on the top, they're going to sell their atms to euronet so another 2euros charge for atm withdrawals ... great bank aib is

Raconteuse

Skylinehead wrote: »

How is a well-publicised charge "sneaky"?

And it's for a service. It's not for nothing.

cal naughton

stuff.hunter wrote: »

+1
on the top, they're going to sell their atms to euronet so another 2euros charge for atm withdrawals ... great bank aib is

Link to this important news please

stuff.hunter

cal naughton wrote: »

Link to this important news please

https://www.independent.ie/business/aib-sells-500-atms-to-american-cash-management-company-38996855.html

further read:
https://www.independent.ie/business/irish/banks-plan-to-sell-off-a-thousand-of-their-atms-38897781.html

quoted 'People in other countries are charged fees of up to €3 every time they want to withdraw cash from independently operated ATMs.

Chairman of the Consumers' Association Michael Kilcoyne warned the same was likely to happen here.
and
'Some independently operated ATMs in this country already have charges for tourists whose home account is not in euro. The fees are up to €3.95 for withdrawing their funds in euro.'

Alun

stuff.hunter wrote: »

+1
on the top, they're going to sell their atms to euronet so another 2euros charge for atm withdrawals ... great bank aib is

Only the ones in shops, shopping centres etc. not the ones in the banks themselves.

cal naughton

stuff.hunter wrote: »

https://www.independent.ie/business/aib-sells-500-atms-to-american-cash-management-company-38996855.html

I meant about being charged 2 euro

stuff.hunter

cal naughton wrote: »

I meant about being charged 2 euro

2euro was just a hint, it will be most likely more

stuff.hunter

Alun wrote: »

Only the ones in shops, shopping centres etc. not the ones in the banks themselves.

...valid point but who is gonna to drive to the branch to use banks own atm?

Raconteuse

Raconteuse wrote: »

And it's for a service. It's not for nothing.

Surely the service is more or less automated though??

Kinda like garages providing air for pumping wheels,pubs providing tap water for non-drinkers,

yes its a service,but the costs are minimal to the business and just strikes as ryanair business model of bleeding money from every little thing possible,

Does anyone honestly believe it will stay at 1c??

Alun

stuff.hunter wrote: »

...valid point but who is gonna to drive to the branch to use banks own atm?

If I need cash, which these days is becoming a rarer and rarer thing, I get it out when I happen to be near a banks ATM. Lasts me for months these days. My wife and I only made 10 ATM transactions between us in the last 12 months.

Nermal

Why can't they just jack up the charges on the sub-€2.5K untermensch instead?

Alun

Deleted User wrote: »

Surely the service is more or less automated though??

Kinda like garages providing air for pumping wheels,pubs providing tap water for non-drinkers,

yes its a service,but the costs are minimal to the business and just strikes as ryanair business model of bleeding money from every little thing possible,

Does anyone honestly believe it will stay at 1c??

Garages have to pay for the equipment for providing air and water, and pay for maintenance and repairs when idiots drive away with the hose still attached or drive over the nozzle.

Similarly banks have to pay for the ATM's and the maintenance thereof, including filling them with cash. Presumably the costs of doing this in third party locations are higher than for the in branch machines.

BeerWolf

Aren't their customers already paying with the quarterly charges? I get charged average €15-20 for using my card...

veryangryman

Why is this even a discussion.

Move to KBC for day to day. Revolut for foreign currency. Even tempted to use Revolut for everything.

All this "this isnt fair AIB" and "oh theyre a service and theyre entitled to charge what they want" can be squashed like a bug by saying "f the f off AIB" and move to Revolut.

BeerWolf

suicide_circus wrote: »

how long can revolut go on providing a free service?

Attract as much as possible, then BAM!! Start charging. It's a common practice.

iamstop

sonic85 wrote: »

It's so fcuked up that banks can target the poor fcukers (like myself) that dont have a certain level of savings. Doesn't make much sense

If it don't make dollars (euros) it don't make sense (cents) :cool:

https://www.youtube.com/watch?v=-0UPhZk7mG0

silver2020

SEPT 23 1989 wrote: »

how much has that particular bank cost the taxpayer in the last 40 years

they should have been put out of business years ago

Over the last 40 years, if you add it up, it has paid BILLIONS in tax.

Yes it got a bailout in the recession, but when you add in the fees the gov introduced and the value of shares sold and value of the remaining holding, most, if not all of the bailout will be repaid.

But sure why let fact get in the way of a good old whine

stuff.hunter

bailout money will be repaid ....
good one, can't stop laughing, this made my day

Greyfox

veryangryman wrote: »

All this "this isnt fair AIB" and "oh theyre a service and theyre entitled to charge what they want" can be squashed like a bug by saying "f the f off AIB" and move to Revolut.

Too much hassle, people then have to call all the companies they have ddebits with. Also if you need a loan in the future its better to be with the same bank for a long time. The charge is AIB been stingy, the problem is the other banks arent much better

El_Duderino 09

virginmediapls wrote: »

I am going to change to another bank despite being with AIB from birth.

**** AIB.

That is all.

That's a really interesting thing. People will almost never change bank. You get a bank account Ilin your early teens as nd are more loyal to that bank brand than to any other brand or even your spouse. The stats on how much more likely you are to change spouse than change bank.

In other words, we crate a bank market with absolutely no need for competition between them. I'd encourage people to have a look around and see if it's in your interest to change bank.

This charge on contactless payment seems like a really good reason to move. If people move, then other banks will be less likely to introduce the charge. If people stay where they are, all the banks will introduce it soon.

Muahahaha

Fireball81 wrote: »

Bank switching rates here are still very poor, about 1% so until that changes, banks will screw people over simply because the majority just suck it up.

Thats the long and short of it and Ive seen stats out there saying Irish people are among the worst in Europe for switching providers of anything. As a group of people we really dont shop around in any big numbers that would make businesses feel the need to compete and hang on to customers because they know we are lazy.

Same goes for electricity/gas providers. Loyalty to them means your bill is going to be 10-18% dearer than it would be if you switched every 12 months. For many thats 150-200 a year thats being lost just by being loyal.

Mortgage switching is another big one, some people can save about 20k over the lifetime of the mortgage by not being loyal. Yet they dont switch and that 20k that could have helped put a couple of kids through college ends up staying with the bank.

Its hard to put a figure on it but I think that loyalty to providers could easily cost a family well over 100k throughout the course of their lifetimes. Better in my pocket that theirs is the way I see it.

caff

Muahahaha wrote: »

Thats the long and short of it and Ive seen stats out there saying Irish people are among the worst in Europe for switching providers of anything. As a group of people we really dont shop around in any big numbers that would make businesses feel the need to compete and hang on to customers because they know we are lazy.

Same goes for electricity/gas providers. Loyalty to them means your bill is going to be 10-18% dearer than it would be if you switched every 12 months. For many thats 150-200 a year thats being lost just by being loyal.

Mortgage switching is another big one, some people can save about 20k over the lifetime of the mortgage by not being loyal. Yet they dont switch and that 20k that could have helped put a couple of kids through college ends up staying with the bank.

Its hard to put a figure on it but I think that loyalty to providers could easily cost a family well over 100k throughout the course of their lifetimes. Better in my pocket that theirs is the way I see it.

Ive switched mortgage a fair bit, it's a bit of hassle getting enough together to cover solicitor fees so it requires planning to ensure enough cash on hand for it.

But it's much less hassle than switching main current account. I've switched three times in my life and every time it's taken months to sort out utility payments afterwards. Filled out new direct debit forms and then they go missing try to change debit card details for another bill and they still charge the old card... Its a mess caused by both banks and the companies.
It'd be much easier if bank account numbers were static like phone numbers

tjhook

Raconteuse wrote: »

Extremely sensible. But it doesn't answer my question - why do people have such a problem with a business charging for a service?

Its' a fair question.

Banks are using the money we lodge with them, to lend to others at rates of 8-10%. They pay savers nothing, or very close to it, for that service. I think it's fair enough that those savers have some way to withdraw some of their funds without cost. Whether that way is either via ATMs, contactless payment, or at a counter. And I would have thought contactless would be the cheapest for all concerned.

I have "free" banking, but I'm not with AIB. If people were more willing to move to banks that offer better value, the banks would have to start competing. So I suppose the consumer is partly/largely to blame.

suicide_circus

BeerWolf wrote: »

Attract as much as possible, then BAM!! Start charging. It's a common practice.

agreed but with Revolut people are almost evangelical in extolling its virtues.

Skylinehead

Deleted User wrote: »

Surely the service is more or less automated though??

Kinda like garages providing air for pumping wheels,pubs providing tap water for non-drinkers,

yes its a service,but the costs are minimal to the business and just strikes as ryanair business model of bleeding money from every little thing possible,

Does anyone honestly believe it will stay at 1c??

Yeah, when you tap your card some magic happens and money moves.

Just because it's automated doesn't mean it doesn't cost money to operate services.

virginmediapls

sonic85 wrote: »

It's so fcuked up that banks can target the poor fcukers (like myself) that dont have a certain level of savings. Doesn't make much sense

They are doing away with that now too and charging everyone. Introducing quarterly fees regardless of how much is in your account.

Pricks.

virginmediapls

silver2020 wrote: »

Over the last 40 years, if you add it up, it has paid BILLIONS in tax.

Yes it got a bailout in the recession, but when you add in the fees the gov introduced and the value of shares sold and value of the remaining holding, most, if not all of the bailout will be repaid.

But sure why let fact get in the way of a good old whine

You didn't answer my question Leo, how much CORPORATION tax did they pay?

veryangryman

suicide_circus wrote: »

agreed but with Revolut people are almost evangelical in extolling its virtues.

Moved to PTSB when AIB introduced current account fees. Said PTSB are class. They then charged and i moved to KBC.

I'll give you 3 guesses what i'll do if KBC or Revolut introduce fees.

This is a bank, not a wife lads!

Hotblack Desiato

virginmediapls wrote: »

I am going to change to another bank despite being with AIB from birth.

The numerous scandals, incidences of fraud, and multiple taxpayer bailouts (2008 wasn't AIB's first rodeo) didn't bother you as much as this...?

I'm paying PTSB €18 a quarter now on what used to be a free current account. You're f**ked with any of them tbh, but I'd rather pay a flat fee than get nickel and dimed with fiddly little charges for everything.

Having had to change banks in the past, it's a pain in the ass (and even changing account type with PTSB would involve going through the exact same BS as a new customer, figure that out.)

iamstop

Type in "AIB Profit 2019" in to your little google search box and then tell me if you're still for these 1c charges

Raconteuse

iamstop wrote: »

Type in "AIB Profit 2019" in to your little google search box and then tell me if you're still for these 1c charges

It's not that I'm for or against them - it's just that they're doing what any business does: charging for a service.

PrettyBoy

Lu Tze wrote: »

Guess we will all go back to inserting the card and putting in the pin for each transaction, assuming it is only for contactless based on the statement.

Brilliant suggestion. Instead of getting charged €0.01 for a contactless transaction we should follow your advice and get charged €0.35 each time.