The First Nearly Perfect Bank?? (First Direct)

Member Name: andy0304

Product:	First Direct
Date:	07/10/04 (1201 review reads)
Rating:

Advantages: Helpful Customer Services 24/7, Online Banking, Text Alerts

Disadvantages: High Unauthorised Fees, No Branches

I decided to transfer my current account about 18 months ago as I had decided enough was enough with the service I was receiving from Barclays. My biggest problem had to be 1 of two things I thought, firstly which bank? Secondly, would it go smoothly?

After looking up all of the usual High Street banks including the likes of Halifax, Lloyds TSB etc etc, I still had not made up my mind. That is when someone suggested to be have I ever heard of First Direct. I had seen some of their adverts on TV but to be honest never paid much attention. As I had got no where with the other banks, it had to be worth a look at least.

Knowing that they were an online bank they obviously had a website so I set about finding it. Easy enough (www.firstdirect.com). I sat and looked through all of the information on their site which gave me everything I wanted to know so I requested an information pack from them via their site.

In the pack were leaflets and information sheets on their account details that they offer, the transfer application forms and all of the letters I would need to complete this process. Along with details and time scales of how long things would take. To make things even better they even offer you £25, which they pay into your new account if you agree to have your salary paid into this account. With the account you also receive an automatic overdraft of £500 or up to £1000 if you apply for the extra. Which if you’re like me make serious use of.

I had made my mind up; this was the bank I was going to switch to. I filled out the application form and sent it off to First Direct along with details of my current bank account. The reason they need to know this information is so that they can contact your old bank to gain a list of all of your direct debits and standing orders set up on your account so that they can set up your new account correctly.

Once your account is open and they have a list of all your direct debits etc, they send you details of your account along with the list they received from your old bank. From this list you can chose which direct debits you no longer require to be set up with your new bank and they contact those you still want for you to give them your new details.

During this process I only found two companies that did not respond or take action from First Direct contacting them and that were O2 and the RAC. This of course meant I had to contact these two with the new details, but thanks to First Direct sending me constant updates I knew they had not responded so was able to contact them before any problems occurred with my payments to them.

Within the transfer pack you receive a letter that you just fill in the blanks. This letter is for you to give to your employer to inform them of your change of details. This of course is the really important one as this is the one that makes sure that your salary goes to your new bank account. This also then gets you your extra £25 from First Direct.

Once all of these transfers are complete you then have to send of the final letter, this is the one that you send to your old bank asking them to close the account. The letter is printed for you by First Direct and again you just fill in the blanks. It has to be said overall this process, thanks mainly to First Direct, went extremely well indeed and if you are looking for a new bank then I would definitely urge you to consider them.

With your current account you receive the usual cheque book and paying in slips as well as a Switch debit card with the facility to with draw £500 per day! More than a lot of banks offer! You are able to use this card nearly everywhere and can use it on all cash machines without charge from First Direct. The same card can also be used as a guarantee card for cheques and it will guarantee them for up to £100.

Every one that opens an account gets access to internet banking and telephone banking both of which can be used 24/7 and even better is that you can call them at 2am and you will get someone answer the phone. In fact I actually called them last Sunday night as I had forgotten my online access ID number and how good it was to get an answer within about 3 rings from a human being at 9pm on a Sunday evening.

Since then I have opened up a savings account with them which now has a standing order on it from my current account, and a Fist Direct Visa Credit Card. All of which I have opened or enquired about with ease with First Direct.


The fees that apply to their current accounts:

9.9% AER on agreed over drafts, but
24.9% on unauthorised overdrafts plus £30 charge and then £25 per day in the same month that the debit balance is over the authorised limit

The interest they pay you varies on whether you pay in over or under £1000 per month:

Over £1000 – 2.00% AER
Under £1000 – 0.10% AER (a big difference)

The only down side with it being an online bank they do not have any branches for you to visit to pay in money. There are two ways in which you can do this, firstly by sending the money through the post to them. Obviously this is only advisable if it is cheques you want to pay in and not cash. The second way is to pay it in at any HSBC branch although it does take a couple of days to clear.

Another great service they offer is that they will text you on your mobile for the settings you decide. This includes the option of receiving a mini statement to your phone every Friday morning as well as any other messages you wish to receive. This includes items such as debits or credit over a value you chose. A fantastic service if you ask me.

Overall I have to say over the last 18 months I have been more than satisfied with First Direct and if you are looking for a new current / savings account or other financial product then take a look at www.firstdirect.com.

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