NIB To Close Entire Branch Network, Go Online/Call-center Only

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Lightning

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NIB to close 20 branches with 100 redundancies

http://www.rte.ie/news/2012/0628/ni...tml?utm_source=twitterfeed&utm_medium=twitter


NIB currently have 25 to 27 branches, so 20 would not seem like all of the branches. However, some reports, on this breaking news, are saying that NIB are closing their entire branch network.

Branch banking has had its day and is clearly on the decline as it goes more and more online only.
 
It is the entire branch network of 27 branches that are closing ...

www.nationalirishbank.ie/en-ie/Abou...s/2012/Pages/nib-business-reorganisation.aspx



 
What will this mean for their loan book? Will they go the way of Bank of Scotland - and try and run it down asap? Any chance they would be more inclined to deal now on trackers - in an effort to clear the books?
 
I'd say that they are the first in the Banks to start down sizing.
 
serotoninsid said:
What will this mean for their loan book? Will they go the way of Bank of Scotland - and try and run it down asap? Any chance they would be more inclined to deal now on trackers - in an effort to clear the books?
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No effect on loans. Danske/NIB are not leaving Ireland, yet, like Lloyd's did.
 
mercman said:
I'd say that they are the first in the Banks to start down sizing.
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Yeah, definitely more to come.

This is the 4th time/round of NIB branch closures. NIB are a country mile ahead of what AIB and BoI are about to do. PTSB have done round of branch closures with another round to come. Ulster/RBS have shut their First Active branches.

End game is surely online banking with no traditional branch network with perhaps a small number of banking product shops.
 
Does anybody else wonder about the safety of online only services when let's face it the system can be shut down with the flick of a switch, maybe being an Ulster Bank customer currently suffering loss of service make me more paranoid, are we creating a monster for ourselves that ultimately will screw all of us over....I find that model most unappealing, not for me...ever !
 
I worried about online banking as a customer of Northern Rock.

I had lodged a significant (borrowed) sum at a really good deposit rate of interest to pay my builder.

I couldn't access my online a/c for days - my password would not work. I watched the queues growing outside the branches on TV.

I would not put myself through that type of stress again. After that debacle I want a bricks and mortar entity to deal with. Somewhere reasonably local.

A good rate of interest is one thing. Peace of mind is another. I prefer the latter now.

Marion
 
The customer has not benefited from the move to online only banking by National Irish Bank. They recently introduced fees for operating the most basic account. Their pricing is not competitive compared to other Irish banks operating online and in-branch. Some offering 400+ branches.

I would be concerned for online only banking. As it is for NIB customers, the Post Office offer a limited service and in some offices don't offer cheque lodgment services.

Since NIB went cashless their branch staff were redundant - they don't even answer the eBanking mailbox. Thats managed by their Customer Direct centre as are branch phone numbers.

The branch closure wont be any great loss as the services offered were negligible since they stropped processing cash or cheque transactions.
 
It may be part of an exit strategy but it is equally likely that they are just more ruthless in focusing on their profitable customers and products. Branches are really expensive to run, during the boom time this is hidden by all the high value products such as mortgages that they are selling.

The changes mean that they no longer provide the banking service that some people need but personally I would be more worried about my bank if it has made little or no change to the way that it operates after 5 years of a crisis.
 
One of the main reasons that we've had the banks running amok, is because it is no longer community based. We used to be able to rely on our local bank to advise, suggest & protect our money - but this went out the window when the whole basis of banks was sales, sales, sales & bonuses. The Ulster Bank debacle shows that this way of working does not work.
 
Harry31 said:
One of the main reasons that we've had the banks running amok, is because it is no longer community based.
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Plenty of community based credit unions 'ran amok'. A bigger reason was the risk/reward structure that existed (exists?) without the required governance.
 
Agreed ontour - the light touch regulation just didn't work & the central banks - not just in Ireland - seemed powerless to act.
 
As a long time customer of NIB can I say that I DON'T WANT to do on-line or telephone banking.

I want to be able to get my money when I want it (currently only available via ATM), I want to, very occasionally, go into a branch to lodge cheques/cash, sort out business etc.

Cuts in service only exist to make profits, not to serve the customer.
 

I thought they stopped handling cash and cheques in branch already..
 
They did, NIB went cash & cheque free some time ago.
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Which made it all the more odd that in my local branch there are all manners of door buzzers and cameras just to get in. Not a customer friendly experience.
 
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