When Northern Rock made the headlines and almost invaded the news with the dramatic financial situation, there was a real physical rush to the bank’s counters.
People in general, started to step back to look at what was actually happening. Many wanted and made the jump to switch bank account, despite some complicated procedures…they obtained what they desired.
Now The Telegraph is mentioning that 4 in 10 bank customers would be ready to move away from a major lender to then join the newcomers: Virgin, M&S as switching accounts is becoming quicker and easier.
Money is the worry on everyone’s mind. Trusting a business which deals with your savings is something still too obscure. What happens when you give a few notes, a cheque or make a transfer from one account to the other?!
It is all virtual because the money is not physically moving…only the figures. However, there are still some transaction fees…is that not frustrating? Being charged for actually pressing a button, moving a mouse or using more recently touchscreen devices!
“…Virgin Money, which has 70 branches acquired from Northern Rock, was the most popular of the “challenger” brands…”
There are many things to think of when going to another bank. For instance, Direct Debit will need to be reset and also informing/updating various online services with your new details when placing an order otherwise your card payment will be rejected.
Anything related to your digital details will need to be amended.
From the moment you are working to your retirement, regular visits to your bank is part of a weekly routine. Setting up a current account, ISAs and eventual SIPP in time before your retirement. There is also the constant look at interest rates to make sure that your placements are actually bringing you some extra income. A real struggle with the actual recession and stable and rather low regular accounts on the market.
The alternative would be to invest in art, gold, wines or even cigars.
It is essential to vary the type of investments but by being aware of potential fluctuation and mainly drops of the initial value.
Browsing around auctions can also be something to think of. There are sometimes real bargains which can increase on some particular niche markets.
Asking experts before bidding is a good idea because you might see an object rather tempting to get but with actually no resale potential.
Making money by spending less is the way to see the whole situation. You wouldn’t like to purchase an entire of vintage wine cellar to discover that there is in fact nothing good about it except a bitter taste of vinegar. In general, wine bought at auctions is kept rather than served. It is seen as liquid asset.
Your bank account will then look healthy and your personal banker might even allow special borrowing related to this exceptional estate.
Markets are moving and changing…it is not always about what you actually want or need but what others want from you. Collectors and dealers are always checking what could be the next trend. They want to improve and expand their wealth with only one thing in mind: buy to sell.