Banking with the Halifax (Halifax)

Member Name: Deru

Product:	Halifax
Date:	28/07/09 (123 review reads)
Rating:

Advantages: Good customer service, branch facilities, Internet Banking, Lots of branches

Disadvantages: Opening hours not as good as other banks, Queues, High penalty charges, Faster payments Hit and Miss

I've banked with Halifax from a very young age as my parents opened a Liquid Gold savings account when Halifax were still a building society, although I'd moved over to HSBC when I turned 16 and then to Natwest when I started working at age 22 after university. Now, I've gone back to them as they've been advertising their 'Reward' Current account, which gives you £5 every month if you deposit a minimum of £1000 each month. I figured that as my salary doesn't stay in the account for long after it's paid in and with such low interest rates, I'm better off getting paid £5 a month just for using the bank account.


BRANCHES AND FACILITIES


There are plenty of Halifax branches down high streets and all the ones I've seen have a well lit and modern interior. All have been very clean and have cash machines for withdrawing and depositing money. One complaint is that branches don't seem to open as late on Saturdays compared to other banks. This may vary from branch to branch but I've found that other branches seem to close earlier compared to other banks. Some branches do seem to get very busy and queues can be pretty long. Some branches seem pretty small and seem to have a maximum of 3 cashier windows and most of the time, only 1 or 2 are open.

Deposits can be made just with a bank or debit card but it can also be done with just the account number, sort code or a roll number as they print you out a receipt. Some people have deposit books with certain accounts. The branches that I've visited have quick deposit boxes but no bank giro credit slips to fill. I have been told that some branches DO have those forms though but odd that some don't.

OPENING AN ACCOUNT

I first tried to open the account online. I logged into my Internet banking account on the Halifax website and clicked a link to apply for it but going through the steps, it brought up a home address that I did not recognise so I had to do it all in branch. Asking my parents, turned out it was my grandmother's old address although I've never lived there myself so don't know how that got brought up.

When opening an account in branch, they take you to a room so you have some privacy and you're sat at a desk where the Halifax staff person enters your details onto their computer. Process usually takes around 30 minutes and requires ID. Some products may take longer. I had to make an initial deposit to open the Reward account. Letters, debit card, cheque book, PIN all arrived in the post separately between one and two weeks.

They also do a bank account transfer service whereby they transfer all your direct debits and standing orders from your existing bank account to the new one. They do seem to insist on this so that you show some commitment. They even provide the letter to close your old account for you to give to your bank at the end! I've not handed that in though as I'd prefer to keep my Natwest account and use it in conjunction with the Halifax Reward account. They were very attentive when I first opened the account and received a phone call from them when I hadn't returned the bank account transfer form. The whole transfer process took about 3 weeks and my direct debits moved over to the new account, with each stage confirmed in writing in the post.

ACCOUNT FACILITIES

A debit card comes as standard. Cheque books are also available but I had to ask for my cheque book as it doesn't seem to be standard any more. Internet banking is available and as I had already had a basic account, I continued to use the same login details but managed to add the new account into the online account, which worked a treat. Their online facilities are excellent and very easy to use although I'm finding that not all payments are done via the Faster Payments so that they arrive same day. Instead, their system tells me that it will take 3 working days. When experimenting, I specified large amounts but when going down to smaller amounts, even though I hadn't actually proceeded with the transfers, it still said the paymet would take 3 working days for the smaller amounts too. Many of my smaller payments were sent via Faster Payments in the past so don't know what's up with their system.

Paying cheques into the account, they actually state when the cheques clear on the transaction and on the receipt. I've always liked this as I know exactly when my money is available in advance.


CUSTOMER SERVICE

The in-branch and call centre staff have all been courteous. No overseas call centre either as the people I spoke perfect English with no strange accents. When opening the account, the process was made straight forward and although they did bring up the premier account (Ultimate Reward Current Account), they didn't try to push me into it as soon as I told them that I didn't need it.

RATES AND CHARGES

The Reward account works differently in the way that it pays no interest whatsoever. Instead, you get the £5 a month so long as you pay in £1,000 or more each month. There are no charges for having the Reward account but the overdraft facility can prove to be expensive as it costs £1 per day if you're in the red (£2 a day of over £2,500). Going over your overdraft would cost £28 with most accounts but £5 with the Reward account so they are on the expensive and only beneficial for people who don't use their overdraft facility much.

SUMMARY

PROS
- Good customer service
- Good account facilities
- Innovative accounts
- Secure bank
- UK call centres

CONS
- Some of the accounts may not suit everyone
- High penalty charges
- Faster Payments system seems to be hit and miss


VERDICT

I know that some people may have had bad experiences with Halifax but I've not had any problems and have found the service and facilities very good. Also, Halifax is part of HBOS and was later bought out by Lloyds TSB so they seem secure enough. If you can pay in £1,000 a month, seldom use the overdraft facility and are not able to keep money in the account to earn interest, then I would recommend Halifax accounts like the Reward account as you might as well earn £5 a month this way. They sometimes have good savings accounts with great rates too.


Thanks for reading.

Summary: Halifax Bank