# Danske Bank to Shut Down



## Lightning (31 Oct 2013)

*
Danske Bank to close with loss of 150 jobs. *

http://www.rte.ie/news/2013/1031/483729-danske-bank-to-close-with-loss-of-150-jobs/



> Danske Bank, formerly National Irish Bank is closing with the loss of 150 jobs.
> 
> Larry Broderick head of the IBOA trade union said the job losses would be compulsory.
> 
> ...


Bad news for competition.


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## ang1170 (31 Oct 2013)

...and another demonstration of how much one should trust bankers: they've been denying this was going to happen for years now.


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## Brendan Burgess (31 Oct 2013)

And potentially good news for existing borrowers with cheap tracker mortgages. 

I will start a separate thread.


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## Olympian (31 Oct 2013)

Wonder what will happen to those with custody accounts? No details on web site

_Other Products
Danske Bank will be writing directly to all customers regarding its plans for other products in the coming weeks to outline what steps should be taken. You will get at least 2 months notice before any products are withdrawn _


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## Yakuza (31 Oct 2013)

Olympian said:


> Wonder what will happen to those with custody accounts? No details on web site
> 
> _Other Products_
> _Danske Bank will be writing directly to all customers regarding its plans for other products in the coming weeks to outline what steps should be taken. You will get at least 2 months notice before any products are withdrawn _


 
I'd be curious to find out that as well


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## michaelm (31 Oct 2013)

Danske say re mortgages "There is no change to your mortgage arrangement.  The outstanding  amounts will continue to be repaid within the existing agreed terms and  conditions.  We will be writing directly to all customers in the coming  weeks to confirm this position."  . . but I assume that they will strip away discounts (e.g. 0.45% Prestige account discount on SVR) when the close current accounts.

Coincidentally they rang me yesterday to see if they "could do anything for me", and I said I thought they might be ringing to say that they were withdrawing from the Irish market and that I have to move to another bank. "Not at all" they said.


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## Yakuza (31 Oct 2013)

michaelm said:


> Coincidentally they rang me yesterday to see if they "could do anything for me", and I said I thought they might be ringing to say that they were withdrawing from the Irish market and that I have to move to another bank. "Not at all" they said.


 
I got a similar call a few weeks ago.  There must have been some internal campaign to drum up some new business or something.  I did mention that I might be interested in borrowing to fund an extension to my house, but that having to traipse out to Swords to discuss same wasn't that appealing.  I guess I won't be doing that anytime soon...


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## ronaldo (31 Oct 2013)

michaelm said:


> Coincidentally they rang me yesterday to see if they "could do anything for me", and I said I thought they might be ringing to say that they were withdrawing from the Irish market and that I have to move to another bank. "Not at all" they said.


 
In fairness, the staff member may not have known about the intended closure. I'm not sure exactly how lacking the "lack of consultation with staff" reported in the news was. They may have known through rumours and only found out officially today.


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## Buddyboy (31 Oct 2013)

From reading the papers, it appears that it was announced from Copenhagen, so they may have found out about it at the same time as everyone else.  Not nice news coming up to Christmas.  

We only have to change bank accounts, they will have to change much more.


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## ronaldo (31 Oct 2013)

Buddyboy said:


> From reading the papers, it appears that it was announced from Copenhagen, so they may have found out about it at the same time as everyone else. Not nice news coming up to Christmas.
> 
> We only have to change bank accounts, they will have to change much more.


 
Yeah, hopefully some were prudent enough to see 'the writing on the wall' over the past year and have some savings set aside to tide them through. Unfortunately, this is rarely the case.


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## Lightning (31 Oct 2013)

I found out about this yesterday, so I am shocked to hear that staff may not have known until the official announcement this morning. Staff may have believed the official line that Danske Bank were "committed to Ireland". Hopefully, they saw through this and realised the writing was on the wall and have made plans. 

Danske Bank joins BoSI/Halifax, PostBank, Anglo Irish Bank, Irish Nationwide, Northern Rock, ACC Bank and First Active all closing their doors here since the 2008 crisis. All reducing competition as a consequence. 

Are we at the end of exits from the market? There are 9 deposit-taker providers left. 4 of the 9 are going nowhere soon. 

AIB/EBS - Committed. EBS future yet to be made clear. 
BoI/ICS - Committed. ICS likely to close. 
KBC - Seem committed. 
RaboDirect - Seem committed. 
PTSB - Survival plan still with the EC. 
Ulster Bank - UK Government currently examining future, even if the UK government keep Ulster open, which they probably will, the long term future of Ulster remains in question. 
Leeds Building Society Ireland - Seriously questionable if they will stay in Ireland.  
Investec - Difficult to tell. Seem happy with their niche. 
Nationwide UK - Difficult to tell. Keep dropping rates, not opening more branches, no longer aggressive in the market like they once were but have market leading regular saver product to drive small customers in. Reasons to think they are getting cold feet but also reasons to think the opposite.


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## MrEarl (31 Oct 2013)

Buddyboy said:


> From reading the papers, it appears that it was announced from Copenhagen, so they may have found out about it at the same time as everyone else.  Not nice news coming up to Christmas.
> 
> We only have to change bank accounts, they will have to change much more.




Very well put my friend.

The majority of the Banks which have closed / exited the market, have not treated their staff well - often misleading them right up until minutes before they make announcements to the newspapers about their true intentions.  I'm not talking about the very well paid, top tiers of staff from the Banks here, but the majority of Bank staff that work hard to try and earn a living, pay their homeloan and put their kids through school just like you and I.

I have to say I'm very disappointed with the way in which the Banks which have previously been licenced here in Ireland have been permitted to simply "walk away" from their customers, their staff and the country.  It's long past time the legislation and regulations were changed, to force a Bank to commit to the country with some sort of restrictions on how and when they can shut up shop.

-------------------------------------

Sorry to get back on topic....

Has there been any mention of what Danske are doing with their business up the North or what sort of support they intend to offer the staff the are making redundant in terms of payments, education, career advice, counciling etc ?


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## theresa1 (31 Oct 2013)

PTSB should do a deal with An Post replacing Danske facilities but go one step further and offer it's complete portfolio of products similar to PostBank.


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## ronaldo (31 Oct 2013)

MrEarl said:


> Has there been any mention of what Danske are doing with their business up the North or what sort of support they intend to offer the staff the are making redundant in terms of payments, education, career advice, counciling etc ?



Today, Danske Banks operations in Northern Ireland have announced that they have entered into profitability for the first time since the crisis began. They are one of the big lenders and I know of a few who have secured 95% mortgages in Northern Ireland over the past year. They'll not be closing down there.


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## Lightning (31 Oct 2013)

theresa1 said:


> PTSB should do a deal with An Post replacing Danske facilities but go one step further and offer it's complete portfolio of products similar to PostBank.



PTSB should simply purchase the Danske customer base, like they did with Northern Rock and INBS. PTSB still need significantly more deposits to close a high loans to deposits ratio.


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## ronaldo (31 Oct 2013)

CiaranT said:


> PTSB should simply purchase the Danske customer base, like they did with Northern Rock and INBS. PTSB still need significantly more deposits to close a high loans to deposits ratio.



I wonder would that cost them much? Usually the banks rely on people putting switching on the long finger, permanently, when the increase their fees. Danske are going to result in a lot of forced switchers entering the market and, with PTSB being one of the better accounts available, you'd expect a lot of them to end up there anyway.


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## trustno1 (1 Nov 2013)

Brendan Burgess said:


> And potentially good news for existing borrowers with cheap tracker mortgages.
> 
> I will start a separate thread.



I am looking forward to hearing your views on this.


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## michaelm (1 Nov 2013)

ronaldo said:


> Danske are going to result in a lot of forced switchers entering the market and, with PTSB being one of the better accounts available, you'd expect a lot of them to end up there anyway.


Indeed.  I'm likely to switch to PTSB (all bar mortgage) . . but what will Danske do with mortgage rates given that they don't need to attract new business?  If I move mortgage I'll lose the TRS related to 2012 mortgages.


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## chippengael (1 Nov 2013)

Well, if all the Danske Bank customers got together and collectively bargained, we could get a better deal from a different bank than if we go as individuals...anyone up for it?


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## 1957mghsb (1 Nov 2013)

*danske custody account*

I am really disappointed with Danske banks announcement as their online and tablet service was superb, more than likely I will switch my current account to PTSB.
Does anyone have any idea as to how they will handle the closure of the custody account?


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## sallyo (4 Nov 2013)

i have home management account with an overdraft facility with Dankse .  i am leaning towards PTSB but i am also considering AIB.    Any opinions on which may be best to go with?  it seems to be very easy to switch banks with switch buddy. i just hear a lot of talk of PTSB being next to go.


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## Lightning (4 Nov 2013)

It is easier to get free banking with PTSB than with AIB. Plus, PTSB have one of the better online banking services.


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## MrEarl (4 Nov 2013)

CiaranT said:


> It is easier to get free banking with PTSB than  with AIB. Plus, PTSB have one of the better online banking  services.



Hi Ciaran,

Are you saying that the PTSB online facilities are better than those from AIB ?

... and if so, what do you base this on please (as you know from another thread, I will need to move - hence the questions) ?




CiaranT said:


> PTSB should simply purchase the Danske customer base, like they did with Northern Rock and INBS. PTSB still need significantly more deposits to close a high loans to deposits ratio.



Never mind "purchase" simply take over would be agreeable I would have thought ... anyway, in the interests of competition, I would have thought KBC would be a better bet (working in harmony with the AnPost network for over the counter dealings needless to say).

Also, KBC could buy a licence for the Danske online software, would be far better than trying to create their own etc.


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## Woodville56 (4 Nov 2013)

I have my Credit Card with Danske, for many years now - time to think about moving I suppose ! 
Any ideas where best deals are for Credit Card transfer ? I will have no carry over, managing to keep card paid up !


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## Lightning (5 Nov 2013)

Hi MrEarl, yes, I think PTSB online banking is better than AIB online banking. This is purely from personal experience of the ease of use of the different online banking systems.


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## MrEarl (6 Nov 2013)

CiaranT said:


> Hi MrEarl, yes, I think PTSB online banking is better than AIB online banking. This is purely from personal experience of the ease of use of the different online banking systems.



Hello Ciaran,

Thanks for your reply.

In truth, I really need to find a way to get a go of each of their online facilities to help make up my mind ... I doubt they have live demo versions available in the branches, but must have a nosey when next passing.  

Also, had reason to speak with someone from KBC today who said you can do all the basics on their online software with furher enhancements on the way.  Apparently they have lined up Mastercard to provide debit card services and have plans to also introduce a credit card in early 2014, per the staff member I spoke with.  They did stress that they will be a cashless bank etc but for what I'm after they may yet be an option.


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## theresa1 (6 Nov 2013)

I recently moved current account from BOI to PTSB and am delighted. I even held out for KBC offering but I cant justify paying them €6 every quarter when I get this FREE with PTSB and the PTSB product is better.


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## manninp2 (6 Nov 2013)

I must say I'm very impressed with the new AIB iPad app. It has their Money Manager installed on it and gives a very clear breakdown of your I&E.


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## car (7 Nov 2013)

This significantly affects many people with mortgages with danske.

I have an offset mortage with prestige account and am availing of the prestige discount.  What is of more importance is the fact danske have said theyll be losing current accounts.  But for those of you who have it it, the prestige discount is built on the premise that you deposit your salary into your current account.   So how are they going to maintain it?  For me the discount is worth 150e a month.

Not only that,  the offset sum is based on the current account as well so if they do away with the current accounts, how do we have a figure to offset.

So I rang yesterday, spoke to manager in cust. service whom Ive had a long relationship with from dealings and he said firstly they had got the news as a bolt out of the blue.  Were not expecting it as theyed thought the bank had turned the corner as a business.   they have not come to any decision yet with offset mortagages, wkill be several weeks yet and we'll get letters sent out..

So then I turned on my iphone app today and theres a new "offset mortgage savings account" that I never seen before which seems to me that theyre provisioning for that to be the offset account.   Handy savings.  Just move all my savings in there monthly from another account and 4.1% against my mortgage.  But how then do I get it out if I need it?  interesting times ahead.

I've also got some trades in custody accounts.  Be interesting to see how they move those without us incurring fees.


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## sallyo (15 Nov 2013)

have to move my current a/c from Danske with an overdraft, first asked in my local PTSB branch (i have a joint account there already) they didnt want to know, had no interest in gaining a new a/c and asked for a list of 8 things to provide for them before i could even open a new account without overdraft.  So i went into my local AIB and they were great - opening an account for me with my overdraft and just have to provide ID and statements from Danske.  There will be bank charges but they have no problem with Danske bank customers with overdrafts. 

PTSB 0/10
AIB 10/10


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## SarahMc (16 Nov 2013)

Transferring current account and credit card  to PTSB, I have to deal with 2 separate sections, send in 2 sets of ID etc. You would think they would deploy people to deal with  switchers with the entire suite of products.
This is such a pain!


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## orka (18 Nov 2013)

michaelm said:


> . but what will Danske do with mortgage rates given that they don't need to attract new business?


Looks like Danske won't be deciding the mortgage rates...  According to today's Irish Times, mortgages will be offloaded to a third party (or refinanced by the customer).


> Personal and business loans have been placed into a non-core unit, to be worked out over two years. Mortgages and long-term business loans will either be off-loaded to a third party or refinanced by customers. Personal loans, which typically involve shorter repayment periods, will be allowed to run off.


http://www.irishtimes.com/business/...s-to-follow-danske-bank-restructure-1.1598006


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## Bonaparte (18 Nov 2013)

Great suggestion. I'd go even further and suggest a mass non payment of mortgages until there is a guarantee on variable interest rates. I'm in the position where I have two Danske mortgages, one tracker and one variable. Tracker is obviously attractive but I'm being unceremoniously screwed on the variable. These guys are removing all cost from the Irish market and also any contribution they were making to the economy. An organised non payment would certainly get their attention and I think secure some of the savings being made for the mortgage holders.

On where to go for regular banking, am I right in thinking that PTSB seem to offer free banking when certain balances are kept?


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## manninp2 (18 Nov 2013)

Have the likes of Certus or Pepper the power to increase variable rates?

Have the BOSI and Halifax loans had their variable rates increased or decreased since being managed by Certus?


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