Can You Trust Banks?

Posted in: Professional Finance- Sep 12, 2011 No Comments

Can You Trust Financial Advice From Your Bank?

Banks and building societies have taken a bit of a battering recently, but you may still feel a certain loyalty towards your local branch. However, when it comes to getting help with your finances, can you trust the advice they give you?

Following the banking crisis, the revelations of staggering bonuses, and collapse of several smaller financial institutions, public opinion of the banking sector has hit an all time low.

While the days where you could be on first name terms with your bank manager are now long gone, there are still thousands of staff in branches up and down the UK who are there to offer help and advice on your finances.

However, though branch staff aren’t on the receiving end of the massive bonus payments that have been hitting the headlines, you still need to be careful when listening to the advice they give.

Here’s what you need to take into account when you discuss your finances with your bank.

Banks don’t deserve your loyalty

The notion of customer loyalty and rewards for longstanding customers no longer exist in the banking world.

In fact stick with the same bank for years and you are likely to find that your benefits dwindle while new customers are offered more attractive deals than those available to ‘loyal’ existing customers.

As a result you need to take a pragmatic approach to banking and drop any sense of bank being ‘your’ bank, even if you find the staff in branch polite and helpful. After all is this really worth compromising you finances for?

Banks exist to make a profit

At all stages it is important to remember that banks exist to make a profit from their customers.

While this isn’t necessarily an issue as all businesses need to make money, this fact should be at the back of your mind whenever you have dealings with a bank.

You need to continually ask yourself if the financial products and advice being offered will benefit your individual finances, whether you could get a better deal elsewhere and, if you have to pay for them, whether they represent good value for money.

Banks offer a limited range

Although a customer advisor at a local bank may make sensible financial suggestions, they will only have access to the bank’s own products. We at Change Finance and Leasing can offer a broad rage of financial products from a variety of different sources.

It’s quite possible that you could get a cheaper or more attractive product from one of the bank’s competitors which of course the staff in branch may not know exists or will not want to promote.

So, instead of signing up to products offered by a member of staff in branch on the spot, make a note of their suggestions and take the time to compare them with what else is on offer.

Contact Change Finance and Leasing for an alternative quote on most financial products on 01543 473 400

or Apply Now on line.

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