Bank of Ireland’s new fee structure - Midwest Radio

Image audioImage Bank of Ireland’s new fee structure - Midwest Radio

With more and more competition in the Irish banking market, traditional banks are under increasing pressure to meet the demands of modern banking users.

And with cheaper options available elsewhere, the larger banks are being forced to re-examine their existing fee structures.

Head of Communications at bonkers.ie, Daragh Cassidy joined Tommy Marren on Midwest Radio to discuss the most recent change in banking fees from Bank of Ireland.

Here’s an outline of the questions answered by Daragh in the interview. 

Is this good news or bad news for consumers?

Ultimately I think it’s good news for consumers but I will caveat that by saying it really does depend on how you use your current account. 

Previously BOI customers would’ve been hit with fees for a whole host of things, ATM withdrawal fees, contactless transactions, etc. All of these can really add up when you get your quarterly fee statement. 

This is being replaced with a flat-fee structure of €6 per month or €72 a year. Pretty much all of your day to day banking is free with this new fee structure. 20-30% of people will pay more, but the majority of customers should be paying less going forward.

Previously if customers kept €3,000 in their bank accounts at all times, you’d only be charged a €5 quarterly fee, or €20 a year. Those customers could now end up paying significantly more. Having said that, keeping €3,000 in a current account where it’s earning no interest isn’t really the best thing to do either. This money could be in a savings account or be invested.

Are there any additional charges?

Over the years, the banks have really pushed people to use online banking services, which may not suit everyone.

There’s a feeling that the banks are trying to penalise older or more vulnerable customers who have to go into a branch and get assistance. Ulster Bank, for example, will charge 80 cents if you go into a branch and need help. 

With Bank of Ireland, this will be included in the €6.

Will OAPs be exempt?

It’s only the standard current account that’s changing. Students will still get day to day free banking, as will senior citizens and pensioners.

Consider switching current account

If you’re a BOI customer who will be paying more as a result of the new fee structure, consider switching current account providers. There are now 10 current account providers in Ireland

As well as the main banks, there’s also current accounts on offer from alternative providers such as An Post, the Credit Union, Revolut and N26.  

Electric Ireland price increase

Electric Ireland is increasing its electricity prices by 3.4%. This is due to increases in operating costs associated with maintaining the electricity grid. These costs are being passed onto consumers now. It’s likely more suppliers will follow suit.

People can offset the price increases by switching energy supplier. Use our energy comparison tool to compare the best deals today across all energy suppliers nationwide.

If switching suppliers is something you’re considering, here are 7 important things to keep in mind during the switching process.

Get in touch with us

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