Category: Banking

Is it Worth Switching Banks?

There are some people which swear that switching banks can be a good idea but others that feel that it is just not worth the hassle. It is certainly something which is worth considering doing because there are advantages. It is good to think about why it might be a good idea and then you will be able to decide whether it is something that you feel you should do.

Could get Cheaper Borrowing

It is worth comparing the cost of borrowing between different banks and then you will be able to work out whether you will be able to save money. Whether you have a loan and want to swap it to a cheaper alternative or you are thinking of borrowing in the future, this could be useful. Do be careful that you are comparing the full cost of the loan though and not just the interest rate as there could be some extra fees to pay on top of the interest rate. You may also have a set up fee and you could find that you will need to pay a fee to your current lender, if you switch lenders. So, make sure that you calculate everything really carefully to ensure that you really are saving money.

Could get Better Savings Interest

Savings interest is generally really low at the moment but it can still be worth looking around to see whether there are some places that are offering better rates than others. Even a small increase can make quite a difference when rates are low. If you are prepared to tie your savings up for some time or to give notice for withdrawals then you might be able to get even more interest and so it is worth considering this.

Could get Better Customer Service

You might find that you will get better customer service if you choose a different bank. This could mean that you will be able to get quicker responses and better ones to any questions or queries that you might have compared with what you get from your current bank. You will be able to test this out for yourself by getting in touch with the customer services department before you switch to the bank.

Banking Could be Easier

You could find that some banks make it easier for you to manage your accounts than others. Some with have a high street branch, some will be online, some will offer telephone banking and some with have a mix of these or all of them. You need to think about what you feel will work best for you and that will enable you to be able to find the right bank that will have the best system for you.

Switching Should be Easy

It is also worth knowing that switching should be easy. Banks have to help you to move things over so it should not be something that you will have to do all on your own.

So, it could be worth switching banks but it will depend on what you are looking for. It is a good idea to keep aware of what banks are offering and that will help you to work out whether you think that it is worth switching to a different one or not. Make sure that you also think about what you want in a bank and that will help you to make sure that you match up what you need with what is on offer. Try not to be put off by the hassle of switching as this should be made easier by the banks as they are obliged to help you with it.