When most people find a bank they like, they stick with it. One survey reveals four in ten people stay with the same bank for more than two decades, even if they’re faced with poor service.
But just because these people are willing to grit their teeth through banking doesn’t mean you have to, too. Switching banks might be a good idea if you’re unsatisfied with the service or options available to you today.
Here are some of the most popular reasons why people like you make the switch.
1. You Pay Too Much for a Basic Account
You could be paying a monthly fee as high as $15 to keep an account with the country’s biggest banks. Over a year, that amounts to $180 flushed down the drain.
It’s a waste of money because so many no-fee banks exist nowadays. You can find an online bank that offers free chequing accounts with the same utility as any account from the biggest banks.
Just make sure they provide a debit card so that you can make in-store purchases. You should also read the fine print to ensure these free accounts don’t come with withdrawal limits, transaction holds, or minimum balance requirements.
2. You Don’t Get Approved for a Loan
Sometimes, your bank of several years will decline your request for a loan or line of credit. There are many reasons why they might do so.
Whatever their motive might be, this rejection means you might have to look elsewhere to get a loan.
Luckily, you don’t have to close down your chequing account with one bank and open a new one with another bank just to get a loan. Many banks and credit unions offer personal loans and lines of credit to new customers without the need to open a chequing account. You can even find standalone lenders like Fora that offer online lines of credit.
If you apply with Fora Credit for a line of credit, you will need to provide an open bank account of some kind. This way, Fora can deposit the draws you make against your line of credit in the account of your choosing.
3. You Are Being Pressured into Products You Don’t Need
While a line of credit you intentionally seek out in an emergency can be a lifesaver, you shouldn’t be coerced into taking out a line of credit or personal loan you don’t need.
Unfortunately, a recent CBC exposé reveals all five of Canada’s top banks employ coercive measures to get people to upgrade their services without fully explaining their use or cost. Some bank employees even admitted to lying in order to sell these products.
4. You Don’t Like the Customer Service
A bank employee doesn’t have to be feeding you lies to give you a reason to switch banks. Any rude or inconsiderate behaviour is motive enough.
Modern banking means you don’t have to stick with the only financial institution in town. Thanks to e-banking (or online banking), you can switch to another organization, even if they don’t have a branch near you. You can manage all your accounts over the web and phone.
5. You Want Better Online Options
Most people expect their bank to deliver digital financial products to make money management simple. Not only should they offer e-banking with a full suite of online tools (like credit cards, personal loans, and lines of credit), but they should also invest in servers so that you can access these pages without interference.
If your bank takes too long to load every time you want to check your balance, it may be time to switch to a more digital savvy bank.