Smile.co.uk-AVOID-Over draft 15.9AER,£20 annual charge(if your overdraft isn't £500) (smile.co.uk)

Member Name: Adam Jarvis

Product:	smile.co.uk
Date:	13/01/08 (118 review reads)
Rating:

Advantages: Excellent Customer Service, online serviicing of account - the best out there

Disadvantages: Steadily increment charges, reduction of interest paid, increase of overdraft charges/interest

Smile.co.uk-AVOID-Overdraft 15.9AER,£20 annual charge(if your overdraft isn't £500)

I've also had my Smile Account for 8 years since Oct 99, when it first opened. It hasn't changed much in terms of the interface - it hasn't needed to - its perfect, except small points mentioned above. The customer service by phone is fantastic, but slowly more and more fees have been introduced and the rates charged reduced, or increased (overdrafts). Fee's now apply for renewing your overdraft if the amount isn't the default £500. This has annoyed me somewhat as I have had an overdraft of £1500 since 1999, now I'm charged an annual fee of £20 to renew it - this is the last straw for me. A £20 fee is supposed to reflect the admin involved. What is the difference between the admin for a £500 overdraft and a £1500 overdraft? Also what admin is involved in keeping my overdraft the same as its been for 9 years without default?
The £20 charge increases the overdraft rate between 17.23%-19.99% for the overdraft between £500 and £1500.
The new management policy seems to be how can we completely destroy the loyal customers fanbase (who's word of mouth recommendations has saved them 1000's), introduce 'unlawful' charges for admin work that clearly doesn't take place. They obviously have a plan to go the same way Abbey National went in the late 90's and have never recovered.
If you work for Smile in Customer Services 'jump ship' its sinking fast - customers are on the verge of a Mutiny! Its probably being a nice place to work at the glass pyramid - but the next 12 months look like good training for working for one of the big 4 - p*issed off customers and more unnecessary / 'unlawful' charges that are just impossible to justify to an educated customer base.

Sadly - If you are thinking of opening an account look elsewhere - the only direction Smile.co.uk seems to be going is downhill - AVOID.
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If you are been asked to pay the £20 Overdraft fee, I suggest you refuse to pay it until at least September 2008, ie. they extend the overdraft until then at least so that all customers are treated equally, as before Sept 2007 people would have negotiated the next 12 months free.
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Summary: Going downhill - AVOID, not recommended - Shame!