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5 Most Popular Reasons for Switching Bank

15 Sep 2021 0 COMMENT

Introduction

Opening a bank account is a convenient way to keep your money safe while it grows. Not only do you receive good returns, but you also benefit from cashless transactions. But if you've suddenly started to see increased fees without any explanation, despite not changing your banking conduct, it can be a worrying behaviour. 

Most people continue to stick with their bank despite the glaring warning signs. One of the chief reasons is because the thought of changing or moving to another bank can be quite a hassle. But today, it is no longer challenging or time-consuming to switch banks if you feel that your current banking relationship is distressing you. Let's look at five essential reasons why you need to break up with your bank.

1. High staff turnover resulting in inadequate customer service 

Typically, high turnover is a warning sign. If you visit your local branch often and fail to recognize anyone, it may signify that the bank is not taking care of its staff or the bank management is not seeing the value of the employees working for them. When that happens, employees may not be compelled to take care of their customers, resulting in poor customer service.

A relationship grows weak if both partners do not give each other time and attention. Similarly, if a bank does not provide adequate customer service, those are warning signs that you need to move on. Every bank must provide excellent customer service. Despite repeated requests, if your complaints and grievances remain unresolved, you know it's time to move on.

2. Dwindling interest rates and rising banking charges

You know you need to break up with your partner when your life is more of a nightmare than a fairy tale. Your relationship with your bank works the same way.

Excessive charges on your bank account can give anyone nightmares. If the fees on your banking account are high compared to other banks, close down your bank account and switch to a new one. Also, if the cost of maintaining your account is high, you may want to seek a new account elsewhere. 

3. Few ATMs in your vicinity or non-functional ATMs 

Being with each other when in need is significantly essential to keep a relationship going. Similarly, with banks, you must be able to access your account and withdraw money whenever needed. If there are few bank branches in your city, or you're struggling to locate the ATM for miles on end, you may want to switch to a more prominent bank with a broader reach.

Choose a bank with a better network of ATMs and bank branches near you.

4. No change in products and services

Mutual growth is imperative in any relationship. What if you are evolving in your relationship, but your partner refuses to mature. This can create problems in coping with each other. The same rule applies to your bank. Today's technological advancement has made banking easier. However, if your existing banking partner still employs archaic methods of banking operations, you may lose out on many technological benefits.

For instance, you may have to visit the bank every time you deposit a cheque, withdraw cash, or even check your account balance. Choose a bank at the forefront of technology, which can serve your needs and grow with you.

5. Sudden closure of bank branches without intimation

Long-distance relationships are usually problematic. Whether with your partner or with your bank, being in a long-distance relationship can cause complications. Operating a bank that is outside your city limits is far from convenient. If you have moved to a new city, you may want to collaborate with a bank with its operations set in the area and seek a new bank with a vast network of branches across cities. 

Conclusion

Banks are meant to offer convenience and security when you open an account with them. A good relationship with a bank ensures your money is safe and you enjoy peace of mind. However, if you are constantly losing sleep with a problematic bank, you may have to consider another banking partner. 

Disclaimer

ICICI Securities Ltd. ( I-Sec). Registered office of I-Sec is at ICICI Securities Ltd. - ICICI Centre, H. T. Parekh Marg, Churchgate, Mumbai - 400020, India, Tel No : 022 - 2288 2460, 022 - 2288 2470. The contents herein above shall not be considered as an invitation or persuasion to trade or invest.  I-Sec and affiliates accept no liabilities for any loss or damage of any kind arising out of any actions taken in reliance thereon. The contents herein above are solely for informational purpose and may not be used or considered as an offer document or solicitation of offer to buy or sell or subscribe for securities or other financial instruments or any other product. Investments in securities market are subject to market risks, read all the related documents carefully before investing. The contents herein mentioned are solely for informational and educational purpose.