# Bank of Ireland free banking



## DonKing (2 Nov 2005)

BOI have informed me that they will be launching free current account banking this month(November).


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## ninsaga (2 Nov 2005)

...hmm looking forward to hearing more about that..is it for existing biz or for attracting new customers? (as PTSB are also offering this for 'switchers')


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## daltonr (3 Nov 2005)

> is it for existing biz or for attracting new customers? (as PTSB are also offering this for 'switchers')


 
It's got to be for both.  If it were only for existing business nobody would switch to BOI when there are free options out there,   and if it were only for new business existing customers would leave to rejoin which would be an admin headache,  and some of them would simpy go elsewhere.

Looks like the Free Current A/C Banking idea is about to become standard.   
It's something that's long overdue.  I really worried that the Big Two would hold out and in a year or two PTSB would pull their offer and Fees would be back.

Once one of the Big Two conceeds the other will have to follow and it'll be much harder to reintroduce them.    Now, let's see what other fees go up to compensate.

Still, good news.

-Rd


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## TRS30 (3 Nov 2005)

Just rang BOI

Will be for both. You have to have a balance of € 500 and make 3 transactions online a month.

Is been launched on 10th November

You have to ring 1890 365500 to get your account changed over.


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## Jister (3 Nov 2005)

Would that be €500 average balance or minimum balance?


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## TRS30 (3 Nov 2005)

Account has to stay over € 500 for the whole quarter or all fees will apply.


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## suzie (3 Nov 2005)

When you say online transaction, is that exclusively www.365online.com or does it include the service operators?, Have they anything online giving more details?

S.


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## daltonr (3 Nov 2005)

>Account has to stay over € 500 for the whole quarter or all fees will apply.

This sort of nonsense pisses me off. They want a permanent loan of €500 in return for waiving Fees on Current A/C's I should have known it was too good to be true.

€500 in a current account earning no interest or virtually no interest could be sitting in an account somewhere else earning 3% or 4%. So your free banking is costing you €15 to €20 a year.

What do consumers have to do to convince these muppets that we're not idiots.
Will IFSRA ancnowledge the €15 to €20 cost and force them to stop claiming that this is Free Banking?

I don't care if BOI never introduce free banking.   I do care when they claim they are but don't.

-Rd


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## Carpenter (3 Nov 2005)

daltonr,
I agree with you but for the average customer who incurrs a minimum fee of at least €9 per quarter it probably still represents a good deal- but why would we expect something for nothing from BOI?


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## Jister (3 Nov 2005)

Its not always practical to keep €500 in an account. Suppose a person gets paid €2500 a month net. As the month goes by mortgage, loans, laser etc. leave the account so by the end of the account they are left with around zero.


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## ClubMan (3 Nov 2005)

Then if they want free banking they should move to one of the banks that offer truly free banking with no balance conditions (other than there being a positive one).


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## TarfHead (3 Nov 2005)

daltonr said:
			
		

> .. €500 in a current account earning no interest or virtually no interest could be sitting in an account somewhere else earning 3% or 4%. So your free banking is costing you €15 to €20 a year.


 
€500 in a BoI demand deposit would earn 0.02% interest per annum so using that same amount to avoid fees is better than a slap in the face with a wet fish ?

And are those 3% or 4%deposit rates from Northern Rock or Radobank available for balances of €500 ?


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## CCOVICH (3 Nov 2005)

Carpenter said:
			
		

> .....but why would we expect something for nothing from BOI?


 
Because people can get something for nothing (or closer to nothing) from NIB and ptsb.

€500 would earn you €12 after DIRT on deposit with RABO and €12.20 with Northern Rock over 1 year.


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## ClubMan (3 Nov 2005)

TarfHead said:
			
		

> And are those 3% or 4%deposit rates from Northern Rock or Radobank available for balances of €500 ?


_ NR _3.05% gross _CAR _on €1,000+.
_Rabo _3.00% gross _CAR _on €1+.

See the best buys list.



			
				CCOVICH said:
			
		

> €500 would earn you €12 after DIRT on deposit with RABO and €14 with Northern Rock over 1 year.


How so? €500 @ 3.05% = €15.25 less 20% _DIRT _= €12.20 not €14.00. Did you use 3.50% instead of 3.05%?


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## daltonr (4 Nov 2005)

My Credit Union Paid 3% Gross last year and is hoping to pay 3.5% gross this year, with no minimum deposit.   It has been as high as 4% as far as I know in recent years, I could be wrong about that.

This BOI scheme could actually work out MORE expensive.   You have to keep 500 on deposit, so you've paid the fee described above for not having that money paying interest somewhere,  and then on top of that if you even once in a quarter slip below 500 you end up paying fees anyway.

If free banking is important to you then switch to a bank that actually offers it, rather than staying with a bank that thinks you're an idiot.

-Rd


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## Omega (4 Nov 2005)

Go for NIB Freebank; The account has only to be in credit to qualify. However, a bit like BOI, if you go overdrawn, all fees for the quarter apply.


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## CCOVICH (4 Nov 2005)

ClubMan said:
			
		

> How so? €500 @ 3.05% = €15.25 less 20% _DIRT _= €12.20 not €14.00. Did you use 3.50% instead of 3.05%?


 
Looks like I did.  I will edit the post, thanks.


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## ClubMan (4 Nov 2005)

daltonr said:
			
		

> My Credit Union Paid 3% Gross last year and is hoping to pay 3.5% gross this year, with no minimum deposit.


Just curious - in what context did they speculate about future rates on offer and how concrete would their figures be? It's just that I've never come across a _CU _that did this in advance rather than just announcing the rates on offer at the year end for the past year.


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## daltonr (4 Nov 2005)

I asked a member of staff that I know. I didn't say which Credit Union it is because I don't think they would want internal discussions published on a public forum.

In terms of concreteness I can't say. When the rates are announced I'll know if they were right.

Correction:  It appears Credit Unions have a minimum balance of €10 to be enditled to dividends.

-Rd


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## Jister (4 Nov 2005)

pgf5312 said:
			
		

> Go for NIB Freebank; The account has only to be in credit to qualify. However, a bit like BOI, if you go overdrawn, all fees for the quarter apply.


 
This bit gets me, charging for overdrafts and losing out on the free banking when overdrawn etc.

Surely it is your banks interest for you to go overdrawn so that they can charge you interest?

The same way as its in the interest of credit card companies for you not to pay off your bill every month and pay interest on the balance?


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## irishpancake (4 Nov 2005)

Jister said:
			
		

> This bit gets me, charging for overdrafts and losing out on the free banking when overdrawn etc.
> 
> Surely it is your banks interest for you to go overdrawn so that they can charge you interest?
> 
> The same way as its in the interest of credit card companies for you not to pay off your bill every month and pay interest on the balance?




have to agree fully with Jister on this. 

IFSRA should not allow banks who do not offer no-strings free current accounts advertise restricted accounts in this way.

AFAIK, the PTSB switcher account is still the _*only* _ current which gives a no-strings fees-free current account, where you don't require a minimum credit balance or have to remain in credit.

see this, from PTSB to me some time ago: ptsb reply to query


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## daltonr (4 Nov 2005)

That's very interesting.   I had assumed it would only be free if you were in credit.

It actually struck me that the NIB ad's are not very good from the banks point of view in that they reinforce in the mind of the listener that the account isn't really free.

Boiled Egg - An Egg that's boiled.
Free Bank - A bank account that's free, when you're in credit.

It's great that they're honest any up front about it,  but I don't think if I was advertising an account with strings attached I'd want it done in this way.

Anyway...Well done PTSB if your account really is free.  I wonder what the figures for people switching are like?

-Rd


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## ninsaga (4 Nov 2005)

> Anyway...Well done PTSB if your account really is free. I wonder what the figures for people switching are like?



...having said that though I found them ****e to deal with a few years back & moved my account away from them anyway. Not sure if they are good/bad or same as the rest these days though.

ninsaga


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## MonsieurBond (4 Nov 2005)

TRS30 said:
			
		

> Account has to stay over € 500 for the whole quarter or all fees will apply.



This is quiet a string to attach to a freebank account, but at least it is competition for PTSN and NIB's Freebank account. This will put pressure on AIB to follow suit. Looks like "free"  or "nearly free" banking might be here to stay, which is good news!


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## CCOVICH (5 Nov 2005)

I think AIB came out and said that they have no intention of offering 100% mortgages or free banking.  Time will tell.


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## DonKing (5 Nov 2005)

It's great to get the critical analysis of the forthcoming BOI "free Banking". Thanks.

The BOI Bank representative told me about the "free banking" when I informed them that I was considering moving to another bank which had approached me with free banking and a cheaper mortgage interest rate.

The Bank dropped my fix rate mortgage by 0.1% and said I would be able to avail of the new free banking. Now they know how my current account operates and I certainly don't keep it in credit all the time let alone keep a minimun of €500. 

I'll wait until the product is launched, but I intend to kick up a fuss if they don't honour their promise of free banking. However I'm not sure if I would actually move my current account. I have found my BOI branch to be responsive flexible and efficient. 

I can't say the same of First Active the other mortgage provider I use.


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## Ozone Vibe (12 Nov 2005)

Hi There,

We're AIB customers and my son told me that, when he threatened to move to another bank, they gave him free banking.  Sure enough, I phoned my branch and they immediately credited a €25 facility fee thay had just charged and committed to giving me free banking for 18 months.  I guess that AIB don't want to publicise this tactic but any other AIB customers should try it immedaitely.

Cheers,

Ozone Vibe


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## demoivre (15 Nov 2005)

You can always buy divi paying bank stocks   with good divi cover to profit from them profiting from us via bank charges ! There is a UK FTSE 100 bank  yielding around 7% (gross nominal) at the moment - write some out of the money covered calls and you can potentially increase your returns and limit any adverse exchange movements. The examples for deposit rates above refer to nominal rates - the real returns are negative. 500 euro deposited for 1 year at 3.05% will give you 512.2 euro after DIRT. The annual rate of inflation is now 3% so your 512.2 in one years time has a purchasing power of 497.28 euro today ie you have a negative return over the year.


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## Jister (15 Nov 2005)

Bank of Ireland recently increased their fee for an overdraft, I do not pay any overdraft fee at all. I threatened to close my account and they agreed to waive the fee for the overdraft facility.

I will challenge them on the free banking and the €500 minimum as well.


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## suzie (17 Nov 2005)

Rang up my branch,

not very helpful at all, the response was "thats the criteria". I could live with the €500, but the at minumim 3 365 transactions a quarter is dodgy as most of my day to day transactions are covered via DD. I just cant see the logic of this second one as it's making more work for themselves? Mentioned ptsb and said I'd move to a truely free account, she didnt even bat an eyelid!!

Perhaps she was too junior to think on her feet, but been with them for 20+ years, and dont feel I should have to go begging.

I'll start the switch to ptsb and hope it goes smoothly..
S.


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## Jister (18 Nov 2005)

I actually emailed careline@boimail.com this is the "customer care" department in Dublin. By doing this it becomes an official complaint and their job is to satisfy you. They contacted the local branch and when done this way the branch must try to resolve the issue.

By emailing everything is in writing and it is not as easy for them to fob you off.

The "customer care" department are probably measured on how many complaints they resolve in a certain timeframe.

Tell them you are banking for 20 years etc. etc.


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## fullerand (21 Nov 2005)

Just called BoI to register my existing account for free banking as described above.  

I'm pretty sure the girl on the phone said that the second requirement is to make 3 online transactions per quater, not per month.  Can anyone confirm/deny?


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## fullerand (22 Nov 2005)

fullerand said:
			
		

> I'm pretty sure the girl on the phone said that the second requirement is to make 3 online transactions per quater, not per month. Can anyone confirm/deny?


 
Yup, it's 3 online payments per _quater_, see here:

[broken link removed]


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## Galway99 (23 Nov 2005)

try to keep my transactions to a minimum and use free banking elsewhere... but my salary goes in and ssia comes out and I usually transfer the remaining out every month... just calculated my fees approx €3.... had to laugh though when I realised BOI charge me .28c to take out the €3 from my account!!!


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## Wollran (3 Jan 2006)

I'm not giving out, I should have read the small print more carefully, but here is what I discovered today, and I thought I would share it with other readers. 

I signed up for the free banking on November 14th.  My balance has been over €500 and I have already made 3 365 transactions and yet today, bank charges were withdrawn from my account.  

When I telephone to query the charge, I was advised that when I signed up in November, we were already in the middle of a quarter, and that the new quarter starts from Jan 1st, and therefore the charges are due from September to December 2005.

Just so you know!

Wollran


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## DonKing (7 Mar 2006)

Just to let everyone know, even though Bank of Ireland are advertising a balance over €500 and 3 365 transactions per quarter for free banking, at branch level it looks like bank fees can be waived at the discretion of the Bank Manager.

The more people that complain and threaten to move then the quicker BoI get rid of these nonsense conditions altogether.

I complained and got freebanking without any special conditions.


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## suzie (8 Mar 2006)

Wollran said:
			
		

> Im not giving out, I should have read the small print more carefully, but here is what I discovered today, and I thought I would share it with other readers.
> 
> I signed up for the free banking on November 14th.  My balance has been over €500 and I have already made 3 365 transactions and yet today, bank charges were withdrawn from my account.
> 
> ...



I too got the bill for charges, I'll be on to the branch manager first thing to complaint and try and get free banking without these restrictions!!, As for the quarter stuff, they are pulling your leg unless they have adjusted their quarters. This is taken from their own website ([broken link removed])



> Account transaction fees are currently calculated quarterly, with each fee quarter ending on the weekend closest to 21st February, 21st May, 21st August and 21st November, and with fees being debited to the Account approximately one month later. Account balances are measured based on the overnight balance in the account. Lodgements received after 5pm may not be reflected in the account until the following working day. These dates and times may be subject to change.


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## sun_sparks (24 Mar 2006)

Just been charged today €25 for an overdraft facility by BOI. I knew I had that facility but had NEVER previously been charged fees.

I called to complain:

1. They argued that all people have to pay.

2. I said I had not been notified. They insisted I had.

3. I said I had never paid the fee before. She said I had, but then admitted that I hadn't when she checked the statements from this time last year.

4. After much arguing, she offered to refund the fee, but said she would have to remove the facility (fair enough, but you'd think they'd leave it, especially given the next point)

5. She suddenly said, "look you HAVE used your overdraft in the past year" and reeled off three dates (back in MAY 05!!!), when I went o'drawn by €50/€60/€95. I asked how quickly I'd repaid these, and she said within a couple of days. I have a limit of €500.

Sorry, I'm aware this is probably a LOS post, so please delete if needed. But I'm fuming.

And I'm going to e-mail their customer care and the IFSRA to complain about the deduction of €25 without my authorisation/knowledge.


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## sun_sparks (24 Mar 2006)

Oh, and I had requested that the flat fees be put on my a/c (back in February), but it won't be active until next quarter, so I paid €24 in fees today.

I have told them I'm moving to PTSB and got NO response other than "Oh, sorry to hear that"


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## sun_sparks (29 Mar 2006)

I thought you might be interested in the response from BOI Customer Care:


Thank you for your email to the Bank of Ireland Customer Care Unit.

The charge of €25.00 is automatically charged to customers account. We do not prenotify customers.

The charge applies regardless of whether you use the facility or not. Once you have the facility on your account you will be charged for it.

The branch has refunded the €25.00 charge this year, but if you want to continue using the facility you will continue to be charged. 

Thank you for bringing this matter to our attention and allowing us the opportunity to respond.

Yours sincerely

Customer Care Unit


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## irishpancake (2 May 2006)

Just an update on the BoI "free banking".

They seem to have changed the qualifying rules somewhat:



> To automatically qualify for free transaction fees at the end of any quarter3 , you must:
> 
> Keep a minimum credit balance of €500 in your account for the full quarter, or
> Make at least 3 payments from your current account using 365 phone and/or 365 online in that quarter
> ...



see [broken link removed] for further details.


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## dobsdave (7 Jul 2006)

Can someone please clarify for me the position on overdraft fees.
I have signed to the free banking and assuming I make the requisite 3 online transactions every quarter.....
Do I have to pay the once a year 25 euro for the overdraft facility or is that part of the free banking?
If its not, then are BOI the only 'Free' bank to charge this or are the majority of them doing this.

Thanks in advance

Dave


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## CCOVICH (7 Jul 2006)

Some banks (Ulster Bank and possibly NIB) offer overdrafts up to a certain level for 'free' as part of their banking packages. The [broken link removed]might help you decide which is the best account for you.


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## lff12 (7 Jul 2006)

TRS30 said:
			
		

> Just rang BOI
> 
> Will be for both. You have to have a balance of € 500 and make 3 transactions online a month.
> 
> ...


 
Thats hardly free.

What Ulster, PTSB and NIB the requirement is to keep your account in credit.  Also NIB has scapped referral fees and some account types are free even if there is an overdraft (I'm thinking of the easy package here).

Seems that not only is BOI late off the mark, they are not even offering a truly "free" package.  Given that lots of people might not have a reason to make online transactions given the pressure for years by banks and utilities to pay everything on direct debit, I do think this is a con.


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## Marion (7 Jul 2006)

> Originally Posted by TRS30
> Just rang BOI
> 
> Will be for both. You have to have a balance of € 500 and make 3 transactions online a month.



I just rang BOI to confirm the above. It appears that on Aug 23 (next quarter statement date.) it will only be necessary to have had either a balance of €500 *or* make 3 online transactions to avail of free banking.

The current statement will show banking charges if both conditions (€500 + 3 online transactions) were not met.

Marion


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## irishpancake (7 Jul 2006)

Marion said:
			
		

> I just rang BOI to confirm the above. It appears that on Aug 23 (next quarter statement date.) it will only be necessary to have had either a balance of €500 *or* make 3 online transactions to avail of free banking.
> 
> The current statement will show banking charges if both conditions (€500 + 3 online transactions) were not met.
> 
> Marion



Ehhh  

If folks read the full thread, they will discover that was pointed out 2 months ago by my good self, just up the page.


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## Marion (7 Jul 2006)

IrishPancake

I'll be honest, I hadn't read the thread and I was only replying to Iff12's post. As it happens my statement only arrived this morning showing charges and I wanted to clarify what has been on the airwaves for the past while.

Glad that you are on the ball. I really should pay more attention to AAM.

Marion


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## dobsdave (7 Jul 2006)

CCOVICH said:
			
		

> Some banks (Ulster Bank and possibly NIB) offer overdrafts up to a certain level for 'free' as part of their banking packages. The [broken link removed]might help you decide which is the best account for you.


Thank you.


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## CCOVICH (7 Jul 2006)

dobsdave said:
			
		

> Thank you.



You're very welcome.


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