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

BeerWolf · 10-03-2020 3:18pm

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

veryangryman · 10-03-2020 3:20pm

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 · 10-03-2020 3:22pm

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 · 10-03-2020 3:24pm

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 · 10-03-2020 3:27pm

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 · 10-03-2020 3:30pm

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

Greyfox · 10-03-2020 3:32pm

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 · 10-03-2020 3:43pm

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 · 10-03-2020 3:48pm

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 · 10-03-2020 3:54pm

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 · 10-03-2020 3:57pm

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 · 10-03-2020 4:03pm

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 · 10-03-2020 5:11pm

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 · 10-03-2020 5:53pm

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 · 10-03-2020 5:55pm

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 · 10-03-2020 6:08pm

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 · 10-03-2020 6:13pm

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 · 10-03-2020 6:16pm

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 · 10-03-2020 6:30pm

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 · 10-03-2020 6:38pm

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.

Raconteuse · 10-03-2020 8:04pm

Yeah of course people should switch, but they're still gonna be charged for the service elsewhere. The issue the OP has is the charging in and of itself. I doubt there's much of a difference between the banks that aren't Revolut (which can't afford not to charge eventually).

robman60 · 10-03-2020 8:15pm

I definitely noticed in the UK there is far more competition between banks. I think Monzo/Revolut being so big here has urged the high street banks to up their game or lose out.

With my Lloyd's account I got £150 to move to them and I get six cinema tickets a year as a bonus (other options include a subscription or a meal) and no fees as long as £1500 is paid in monthly, £3 otherwise. Also get a monthly bit of interest at about 1% and 2% if I have over a few thousand I believe.

We need that sort of competition.

Quantum Erasure · 10-03-2020 11:34pm

silver2020 wrote: »

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

banks make their money from interest paid on loans, **** them charging me to lodge my money, and then charging me to withdraw it

hatrickpatrick · 11-03-2020 12:53am

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 shouldn't be private companies at all, they're too integral to the very foundation of how the financial and economic system operates. Handing over such immense power over society to for-profit entities instead of having them simply be a branch of the public service was one of the biggest mistakes society ever made.

For-profit banking and usury are two archaic relics of human stupidity and the sooner they're abolished, the better.

Vic_08 · 11-03-2020 4:05am

Raconteuse wrote: »

Yeah of course people should switch, but they're still gonna be charged for the service elsewhere. The issue the OP has is the charging in and of itself. I doubt there's much of a difference between the banks that aren't Revolut (which can't afford not to charge eventually).

You are just looking like an apologist for them now. They charge handsomely for their money lending services on the back of near zero rate funds they have access to through the central banks.

Most if not all of the UK high street banks (including Ulcer Bank who happily pilfer ROI customers' accounts) offer fee free current accounts, many offer cash incentives for switching to them.

The UK also has an industry wide current account switching protocol so it is easy and quick to swap, unlike the nonsense you have to go through here.

Revolut's business model needs to be based on side revenue because they would be done for if they introduced charges, there are several other companies offering similar products also for free.

This is just the typical thin end Irish consumers always get; higher charges, worse service and non-existent consumer protection from cartel-like practices.

beauf · 11-03-2020 7:26am

Back to cash I guess.

theteal · 11-03-2020 8:04am

suicide_circus wrote: »

how long can revolut go on providing a free service?

It's a UK virtual bank. Banks give us money to swap to them over here plus monthly cashback deals to keep us. They make their money from overdraft fees etc. Its madness what ye get charged for back home.

Revolut do charge fees for some of their services but just not basic banking. Transferring of large amounts are charged. Their crypto rates have a charge in built. Sure they charge for the card to be posted, well worth it though. I would be very surprised if they introduced charges for basic stuff, definitely wont happen over here.

PrettyBoy · 11-03-2020 9:26am

beauf wrote: »

Back to cash I guess.

Yeah, let's get around the €0.01 contactless transaction charge and boycott AIB by getting cash out of banks and ATM's instead. The banks have never charged customers for withdrawing cash, hopefully they don't start now after seeing your post.

Dr. Colossus · 11-03-2020 3:00pm

beauf wrote: »

Back to cash I guess.

You'll have to pay 35c every time you withdraw cash.:mad:

beauf · 11-03-2020 3:14pm

Dr. Colossus wrote: »

You'll have to pay 35c every time you withdraw cash.:mad:

Yes but withdraw enough for the period. Its only once.

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

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