Facebook with Latestnigeriannews  Twieet with latestnigeriannews  RSS Page Feed
Home  |  All Headlines  |  Punch  |  Thisday  |  Daily Sun  |  Vanguard   |  Guardian  |  The Nation  |  Daily Times  |  Daily Trust  |  Daily Independent
World  |  Sports  |  Technology  |  Entertainment  |  Business  |  Politics  |  Tribune  |  Leadership  |  National Mirror  |  BusinessDay  |  More Channels...

Viewing Mode:

Archive:

  1.     Tool Tips    
  2.    Collapsible   
  3.    Collapsed     
Click to view all Entertainment headlines today

Click to view all Sports headlines today

Bank account switching declined as institutions cut incentives

Published by Business Insider on Fri, 02 Apr 2021


<bi-shortcode id="summary-shortcode" data-type="summary-shortcode" class="mceNonEditable" contenteditable="false">Summary List Placement</bi-shortcode><p>Current account switching in the UK fell around 30% last year as the pandemic raged in the country,&nbsp;<a href="https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly93d3cuYWx0ZmkuY29tL2FydGljbGUvNzc1OF9iYW5rLWFjY291bnQtc3dpdGNoaW5nLXBsdW1tZXRzLTMwLWluLXBhbmRlbWljLXNxdWVlemU_dXRtX3NvdXJjZT1yc3MmdXRtX2NhbXBhaWduPWFsdGZp/5d233c18f730436f2414784fB0f9c8beb" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url'q=https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly93d3cuYWx0ZmkuY29tL2FydGljbGUvNzc1OF9iYW5rLWFjY291bnQtc3dpdGNoaW5nLXBsdW1tZXRzLTMwLWluLXBhbmRlbWljLXNxdWVlemU_dXRtX3NvdXJjZT1yc3MmdXRtX2NhbXBhaWduPWFsdGZp/5d233c18f730436f2414784fB0f9c8beb&amp;source=gmail&amp;ust=1617451669950000&amp;usg=AFQjCNFokei2KlqnXRLkr5KX5hS18s5gBg"><u>per</u></a> AltFi.</p><p><img style="float:right;" src="https://static4.businessinsider.com/image/606710f0902281001950ab90-922/eMarketer-personal-account-providers-that-adults-great-britain-would-recommend-their-friends-family-based-on-overall-service-quality-july-2019-june-2020-of-respondents-258545.jpeg" border="0" alt="Bank account switching declined as institutions cut incentives" data-mce-source="Insider Intelligence"></p><p>In total, 704,560 switches occurred throughout 2020, compared with over 1 million in the previous year. The figure was aided by a strong rebound in Q4, with nearly 190,000 switches taking placeincluding the highest monthly total since the crisis began. For context, current accounts are akin to checking accounts in the US.</p><p>The decline was likely driven by a reduction in marketing efforts by bankshighlighting the importance of switching incentives. Surprisingly, the pandemic appeared to have a more significant impact on banks' end than on consumer sentiment. Customers actually switched the most when coronavirus cases were at their <a href="https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly93d3cubnl0aW1lcy5jb20vaW50ZXJhY3RpdmUvMjAyMC93b3JsZC9ldXJvcGUvdW5pdGVkLWtpbmdkb20tY29yb25hdmlydXMtY2FzZXMuaHRtbA/5d233c18f730436f2414784fB0fcc8953" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url'q=https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly93d3cubnl0aW1lcy5jb20vaW50ZXJhY3RpdmUvMjAyMC93b3JsZC9ldXJvcGUvdW5pdGVkLWtpbmdkb20tY29yb25hdmlydXMtY2FzZXMuaHRtbA/5d233c18f730436f2414784fB0fcc8953&amp;source=gmail&amp;ust=1617451669950000&amp;usg=AFQjCNHRmOb3pMKmT7PHUZFdrmioqerLrw"><u>highest</u></a>; even when the country was in&nbsp;<a href="https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly93d3cuYmJjLmNvbS9uZXdzL3VrLTU0NzYzOTU2/5d233c18f730436f2414784fB1f23bea6" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url'q=https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly93d3cuYmJjLmNvbS9uZXdzL3VrLTU0NzYzOTU2/5d233c18f730436f2414784fB1f23bea6&amp;source=gmail&amp;ust=1617451669950000&amp;usg=AFQjCNHofRt0mj2hz4C-ojNqha5lFjSG8w"><u>lockdown</u></a>&nbsp;for all of Novemberwhich was the service's best month since March 2020.</p><p>According to the chair of the Customer Account Switching Service (CASS), banks withdrew some incentives in response to the pandemic and didn't <a href="https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly93d3cueW91cm1vbmV5LmNvbS9zYXZpbmctYmFua2luZy9oYWxpZmF4LTEwMC1wYW5kZW1pYy1zd2l0Y2gtYm9udXMtc2Vlcy1jdXN0b21lcnMtZmxvY2stdG8tdGhlLWJhbmsv/5d233c18f730436f2414784fB8448c2ac" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url'q=https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly93d3cueW91cm1vbmV5LmNvbS9zYXZpbmctYmFua2luZy9oYWxpZmF4LTEwMC1wYW5kZW1pYy1zd2l0Y2gtYm9udXMtc2Vlcy1jdXN0b21lcnMtZmxvY2stdG8tdGhlLWJhbmsv/5d233c18f730436f2414784fB8448c2ac&amp;source=gmail&amp;ust=1617451669950000&amp;usg=AFQjCNHXDPM3WJdvNDLHPQ8Qh1ehZh9mng"><u>reinstate</u></a>&nbsp;them until late summer. It is possible that some customers are just less inclined to switch banks in the middle of a crisis, but the timing of the rebound indicates that switching bonuses remain a powerful customer acquisition tool.</p><p>Cash incentives help entice customers to leave their bank, but institutions need to offer more value-added services to retain them.&nbsp;Here are two ways banks could achieve this:</p><ul><li><strong>Adding more personal financial management (PFM) tools:&nbsp;</strong>Features that enable customers to reduce subscription costs, assess spending levels, and identify savings and investment opportunities could tie users more closely to their banks. Institutions could strengthen their customer relationships by personalizing these insightspossibly following Bank of America's lead, which recently&nbsp;<a href="https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly9jb250ZW50LW5hMS5lbWFya2V0ZXIuY29tL2JvZmEtcHVzaGVzLXdlYWx0aC1tYW5hZ2VtZW50LWxveWFsdHktd2l0aC1lbmhhbmNlZC1jbGllbnQtcmVwb3J0cw/5d233c18f730436f2414784fB42f4820c" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url'q=https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly9jb250ZW50LW5hMS5lbWFya2V0ZXIuY29tL2JvZmEtcHVzaGVzLXdlYWx0aC1tYW5hZ2VtZW50LWxveWFsdHktd2l0aC1lbmhhbmNlZC1jbGllbnQtcmVwb3J0cw/5d233c18f730436f2414784fB42f4820c&amp;source=gmail&amp;ust=1617451669950000&amp;usg=AFQjCNGFk3zW71VOgSjjf2WX3uGZ9H10ZQ"><u>added</u></a>&nbsp;animated assessments that show a customer's financial position.</li><li><strong>Increasing access to human advisors:&nbsp;</strong>Personal interactions are still&nbsp;<a href="https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly9jaGFydC1uYTEuZW1hcmtldGVyLmNvbS8yMzg4MjEvbGVhZGluZy1mcnVzdHJhdGlvbnMtd2l0aC1kaWdpdGFsLWJhbmtzLWFjY29yZGluZy11a3VzLWludGVybmV0LXVzZXJzLW1hcmNoLTIwMjAtb2YtcmVzcG9uZGVudHM/5d233c18f730436f2414784fB653062de" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url'q=https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly9jaGFydC1uYTEuZW1hcmtldGVyLmNvbS8yMzg4MjEvbGVhZGluZy1mcnVzdHJhdGlvbnMtd2l0aC1kaWdpdGFsLWJhbmtzLWFjY29yZGluZy11a3VzLWludGVybmV0LXVzZXJzLW1hcmNoLTIwMjAtb2YtcmVzcG9uZGVudHM/5d233c18f730436f2414784fB653062de&amp;source=gmail&amp;ust=1617451669950000&amp;usg=AFQjCNHI87vZDmCrnXKKSrOT00EhJTkb8g"><u>important</u></a>&nbsp;to UK consumers, and banks should do more to enable them. NatWest is already making&nbsp;<a href="https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly9jb250ZW50LW5hMS5lbWFya2V0ZXIuY29tL25hdHdlc3Qtcm9sbHMtbmV3LXJldGFpbC1zdHJhdGVneS10YWtlLW9uLWRpZ2l0YWwtY2hhbGxlbmdlcnM/5d233c18f730436f2414784fBf704c5b5" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url'q=https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly9jb250ZW50LW5hMS5lbWFya2V0ZXIuY29tL25hdHdlc3Qtcm9sbHMtbmV3LXJldGFpbC1zdHJhdGVneS10YWtlLW9uLWRpZ2l0YWwtY2hhbGxlbmdlcnM/5d233c18f730436f2414784fBf704c5b5&amp;source=gmail&amp;ust=1617451669950000&amp;usg=AFQjCNEmOoilrZvH-FSXMxMpCYp5zRWnOA"><u>strides</u></a>&nbsp;in the right direction, expanding hours and adding video capability to allow customers to directly interface with a human banker at their convenience. This could be particularly useful for incumbents, which don't currently fare well in terms of overall service&nbsp;<a href="https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly9jaGFydC1uYTEuZW1hcmtldGVyLmNvbS8yMzk2MTkvcGVyc29uYWwtYWNjb3VudC1wcm92aWRlcnMtdGhhdC1hZHVsdHMtZ3JlYXQtYnJpdGFpbi13b3VsZC1yZWNvbW1lbmQtdGhlaXItZnJpZW5kcy1mYW1pbHktYmFzZWQtb24tb3ZlcmFsbC1zZXJ2aWNlLXF1YWxpdHktanVseS0yMDE5LWp1bmUtMjAyMC1vZi1yZXNwb25kZW50cw/5d233c18f730436f2414784fB790a6a4c" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url'q=https://e.insiderintelligence.com/click/23405819.4/aHR0cHM6Ly9jaGFydC1uYTEuZW1hcmtldGVyLmNvbS8yMzk2MTkvcGVyc29uYWwtYWNjb3VudC1wcm92aWRlcnMtdGhhdC1hZHVsdHMtZ3JlYXQtYnJpdGFpbi13b3VsZC1yZWNvbW1lbmQtdGhlaXItZnJpZW5kcy1mYW1pbHktYmFzZWQtb24tb3ZlcmFsbC1zZXJ2aWNlLXF1YWxpdHktanVseS0yMDE5LWp1bmUtMjAyMC1vZi1yZXNwb25kZW50cw/5d233c18f730436f2414784fB790a6a4c&amp;source=gmail&amp;ust=1617451669950000&amp;usg=AFQjCNH8veFHWGv-mFQYPmVZ9qtkBbh1QQ"><u>quality</u></a>&nbsp;compared with their digital counterparts.</li></ul><p><strong><em>Want to read more stories like this one' Here's how you can gain access:</em></strong></p><ol><li>Join other Insider Intelligence clients who receive Banking forecasts, briefings, charts, and research reports to their inboxes each day. <a href="https://www.insiderintelligence.com/become-a-client/'IR=T&amp;itm_source=businessinsider&amp;itm_medium=content_marketing&amp;itm_campaign=briefing_post&amp;itm_content=bottom_bullets&amp;itm_term=enterprise_text_link-uk-bank-incentives-could-revitalize-account-switching-2021-4">&gt;&gt;&nbsp;<strong>Become a Client</strong></a></li><li>Explore related topics more in depth. <a href="https://store.businessinsider.com/collections/banking'IR=T&amp;itm_source=businessinsider&amp;itm_medium=content_marketing&amp;itm_campaign=briefing_post&amp;itm_content=bottom_bullets&amp;itm_term=store_text_link-uk-bank-incentives-could-revitalize-account-switching-2021-4">&gt;&gt;&nbsp;<strong>Browse Our Coverage</strong></a></li></ol><p><em>Current subscribers can access the entire Insider Intelligence content archive <a href="https://subscriptions.emarketer.com/">here</a>.</em></p><p><a href="https://www.businessinsider.com/uk-bank-incentives-could-revitalize-account-switching-2021-4#comments">Join the conversation about this story &#187;</a></p>
Click here to read full news..

All Channels Nigerian Dailies: Punch  |  Vanguard   |  The Nation  |  Thisday  |  Daily Sun  |  Guardian  |  Daily Times  |  Daily Trust  |  Daily Independent  |   The Herald  |  Tribune  |  Leadership  |  National Mirror  |  BusinessDay  |  New Telegraph  |  Peoples Daily  |  Blueprint  |  Nigerian Pilot  |  Sahara Reporters  |  Premium Times  |  The Cable  |  PM News  |  APO Africa Newsroom

Categories Today: World  |  Sports  |  Technology  |  Entertainment  |  Business  |  Politics  |  Columns  |  All Headlines Today

Entertainment (Local): Linda Ikeji  |  Bella Naija  |  Tori  |  Pulse  |  The NET  |  DailyPost  |  Information Nigeria  |  Gistlover  |  Lailas Blog  |  Miss Petite  |  Olufamous  |  Stella Dimoko Korkus Blog  |  Ynaija  |  All Entertainment News Today

Entertainment (World): TMZ  |  Daily Mail  |  Huffington Post

Sports: Goal  |  African Football  |  Bleacher Report  |  FTBpro  |  Kickoff  |  All Sports Headlines Today

Business & Finance: Nairametrics  |  Business Insider  |  Forbes  |  Entrepreneur  |  The Economist  |  BusinessTech  |  Financial Watch  |  BusinessDay  |  All Business News Headlines Today

Technology (Local): Techpoint  |  TechMoran  |  TechCity  |  Innovation Village  |  IT News Africa  |  Technology Times  |  Technext  |  Techcabal  |  All Technology News Headlines Today

Technology (World): Techcrunch  |  Techmeme  |  Slashdot  |  Wired  |  Hackers News  |  Engadget  |  Pocket Lint  |  The Verge

International Networks:   |  CNN  |  BBC  |  Al Jazeera  |  Yahoo

Forum:   |  Nairaland  |  Naij

Other Links: Home   |  Nigerian Jobs