...and we're back on track
They psychologically tie people, that's what loyalty is, that's why they're called loyalty cards. They do it because it works. Obviously having a Topshop card doesn't stop me going wherever, and not having a Topshop card doesn't stop me shopping at Topshop. That's about as close to the banking business model they can get. They're exploiting human psychology to retain customers. I'm not making a moral judgment on this by the way.
With banks obviously it is different. I can't open an account with Barclays and then arrange an overdraft with Lloyds. I can't do anything in Barclays without an account with Barclays. This isn't Barclay's fault or necessarily a bad thing but if I had an account with Barclays and the customer service wasn't very good I'd want to know that the amount of effort it would take to move my account elsewhere, standing orders, direct debits, overdrafts, employer payments, credit cards and all, I'd want to know that doing so would actually make my life easier in the long run and not just a waste of my time. And how do I know that? If I usually shop at Sainsbury's and I'm disappointed by a steak slice one day, I can go into any Tesco and see if theirs is any better, with no commitment to keep going there.
Furthermore I could go to the cornershop instead, and here's another aspect of competition. I don't need to go to a supermarket at all, anything I can get in a supermarket I can get in any number of small, locally owned shops. Any bank that is any good, on the otherhand, is necessarily on quite a large scale, usually national or international.
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Moon Girl Technologies horrendous beanbag, Fri 6 Jul 2012, 16:35,
Reply)
Have you got some kind of mental cold?
You seem to have a blocked brain. My sympathies. But it's no pleasure for me either, talking to a brick wall. Let me put it more bluntly, in a last-ditched attempt to get through.
Competition amongst retail banks alone isn't sufficient to encourage an emphasis on customer service because the intrinsic time and effort overhead of transferring an account outweighs the expected benefits of doing so. Banks aren't going to be helpful to customers just for helpfulness's sake (sadly), they only do things that are in their own financial interests. Therefore banks must be regulated.
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Moon Girl Technologies horrendous beanbag, Fri 6 Jul 2012, 16:57,
Reply)
But the regulation that you are talking about, switching accounts, IS ALREADY IN PLACE
The Financial Services Authority (FSA) will take over all retail banking conduct regulation for deposit taking and payment services in November 2009.
Currently, the Banking Code Standards Board (BCSB) monitors and enforces voluntary Banking Codes which govern banks’ day to day relationships with their customers.
From November 2009, these arrangements will be replaced by new FSA rules which all banks, building societies and credit unions must follow.
Notable changes for consumers will include the requirement to provide a prompt and efficient service to help customers switch accounts. This would apply more widely than the commitments in the banking codes, for example to cash ISAs, where the FSA has seen delays in the past. So when it comes to switching, customers will be able to have their transfer completed promptly – no matter what type of account.
YOU DO NOT KNOW WHAT YOU ARE TALKING ABOUT!
(, Fri 6 Jul 2012, 17:05, Reply)
So you don't think there should be more regulation of retail banks?
Because current regulation is sufficient, such that nobody is upset with customer service?
Is that what you're telling me?
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Moon Girl Technologies horrendous beanbag, Fri 6 Jul 2012, 17:11,
Reply)
Or are you telling me,
I don't know what I'm talking about because I came to the same conclusion the FSA did, namely that retail banks have to be regulated to ensure adequate levels of customer service, because competition alone isn't enough to guarantee it?
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Moon Girl Technologies horrendous beanbag, Fri 6 Jul 2012, 17:15,
Reply)
I'm telling you that you don't know what you are talking about
because the regulation regarding switching of accounts has already been in place FOR OVER 3 YEARS
(, Fri 6 Jul 2012, 17:32, Reply)
Well that's good,
although it's not just that I think they should regulate. Switching accounts is still something you would have to actively do, it's fundamentally NOT the same thing as just going into a different shop than usual for your loaf of bread, still struggling to understand why you can't see that. But all the same.
You know what. I might actually go and put this to the test, just to see how quick and easy it really is these days. I'm not especially happy with my bank, so I don't imagine I've got much to lose by it. It will mean getting a passport first, though.
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Moon Girl Technologies horrendous beanbag, Fri 6 Jul 2012, 17:37,
Reply)
I will spell it out for you:
Banks have agreed to make the process of moving an account as straightforward as possible.
In addition, our rules say that if you want to move your account to another bank, both your old and new bank must provide a prompt and efficient service.
How long will it take to move my current account to another bank?
Under banking industry guidance, switching a current account to another bank should be a simple process and the new account should be operational within ten working days of your application being approved. Sometimes getting other people to update their records with the details of your new account can take a bit longer. Your new bank will do much of the work for you.
Once your application for a new account is approved, if you wish to transfer direct debits and standing orders to the new bank account, your new bank should ask your old bank for details of them within three working days.
Your old bank should then give your new bank this information within three working days from receiving the request.
The banks will agree a date to transfer the balance – but should not charge you for making the transfer.
Your new account should be ready for use within ten working days of your application being approved.
(, Fri 6 Jul 2012, 17:37, Reply)
TEN DAYS?
If I want to go to Morrisons instead of Sainsbury's I don't have to wait ten days.
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Moon Girl Technologies horrendous beanbag, Fri 6 Jul 2012, 17:41,
Reply)
You are not comparing like for like though, are you?
If you think you are, then you are a total moron.
(, Fri 6 Jul 2012, 17:44, Reply)
No, I'm not.
No, I don't think I am.
THIS IS EXACTLY WHAT I SAID IN THE FIRST PLACE.
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Moon Girl Technologies horrendous beanbag, Fri 6 Jul 2012, 17:46,
Reply)
NO!!!!
YOU SHUT UP!!!!
(
Dawn Of The Bread $$$$ E-THUG 4 LIFE - THAT'S HOW I SCROLL $$$$, Fri 6 Jul 2012, 18:08,
Reply)