I'd like some advice and opinions from any of you who may have changed bank accounts in the past.

I'm thinking of the Classic Plus current account offered by Lloyds TSB at the moment with an offer of 6% credit interest, which reverts back to the standard rate of 4.5% after one year. This is significantly better than my present current account whose interest rate is very low. It seems straighforward enough, as their team can handle all the administration of switching from your present account to them.

Have any of you had any experiences, good or bad with changing banks?

This CLASSIC PLUS account only pays 6.00 % on the first £2500 of your savings - after this it reverts to a miserable 0.1% - so beware !!

Panpipe:

I'd like some advice and opinions from any of you who may have changed bank accounts in the past.

I'm thinking of the Classic Plus current account offered by Lloyds TSB at the moment with an offer of 6% credit interest, which reverts back to the standard rate of 4.5% after one year. This is significantly better than my present current account whose interest rate is very low. It seems straighforward enough, as their team can handle all the administration of switching from your present account to them.

Have any of you had any experiences, good or bad with changing banks?

There are plenty of good account around at the moment with fairly good interest rates. I have several bits of advice.

Firstly go with a reputable bank as you want to bank with a soild financial institution, especially with world ecconomies the way they are.

Secondly whatever account you decide on, have a look for an online alternative. Having the same account with the same bank only online can provide better interest rates and cashback incentives.

Lastly review your interest rates continually. There is nothing that ties you in for a year and thus if a rate change occurs move your money elsewhere.

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Tightening the purse strings so the account balance looks a little better.

Panpipe, I'm aware that the offer for 6% interest on the Lloyds account finishes on 13th. I have taken this long to reply because I've been switching to them myself, and assuming that the switching process is what you are concerned about, I wanted to see how things went.

Within a week of applying for the account, all my standing orders and direct debits had been moved over, and 6 days after that the account balance is about to be switched over finally. Lloyds have been very helpful, quick and very informative. Welcome pack, card, cheque book etc. all came within a few days. And their phone bank staff are more intelligible and polite than some I could care to mention, when dealing with my other questions. So far, so good.

The fact that any balance over £2500 reverts to the almost non-existent rate is not a problem, just move it to a savings account.

Good that you are changing your current account - but a word of caution about Abbey.... I have had an absolute NIGHTMARE of a time changing my current account from HSBC to them. After filling out all the necessary paperwork, after 3 months they still had not switched over my direct debits. This meant that I was constantly having to make sure there were sufficient funds being transferred to my old HSBC account in order not to go overdrawn. After many, many phone calls, several visits in person to the Walthamstow branch, given different stories each time as to why the switch over wasn't happening, I finally gave up and did all the switching of my direct debits and standing orders myself (a day's work!). Never got to the bottom of the problem but suspect they lost my original forms - although they won't admit it. A thoroughly stressful time which I wouldn't care to repeat.... Beware....

When I started to write this reply, I started to think about the bank I had been with. I think I have (at some stage) had one type of account or other, be it a current, savings, ISA, shares account etc. I have only had two bad experiences and one very good one.

I am a very happy Lloyds customer. I pay £25 a month for a premier account, and the features are first class. I have, on occasion, been in-branch to take out large amounts of cash (without ordering it), and it is never a problem to them. The phone and internet service are great, and I can speak to my account manager almost all the time. They even give you a mobile number.

The less than impressive bank I have had dealings with is Abbey. It just took (as per a previous reply to this topic) so damned long to sort things out. Getting set up was fraught with problems, and getting a card took over a month. There simply aren't enough staff in branch and they took about a zillion years to change over to the Santander computer system, which meant getting anything done was drawn out and stressful. Plus you can only take out £500 at the counter!

I must point out that although it is fine to keep chopping and changing savings account and the like, keeping your current account in the same place helps to build a relationship with the bank. This is the most important relationship there is, financially speaking. So find someone who offers what you want, and stay there, would be my advice.

Definitely agree with moneysaver0000. You want to go with a bank that you trust one that is reputable. Usually they make switching accounts really easy - as thats exactly what they want you to do! If you are in the market for a change, take the time to look around but always read the small print. Look to see when the high interest rate changes and if there are any conditions to keeping the high rate such as having to deposit a certain amount each month or only getting the high interest rate on a small amount of cash. The online banking option is also worth looking into as these often offer higher interest rates than traditional accounts plus you can manage them online and easily transfer money and make other transactions at any time from a computer.

Whatever you decide make sure that you are comfortable with your decision and read all the fine print.

Good luck!

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