AIB to charge 1c per use of contactless payment - best alternative banks?

virginmediapls

I have been an AIB customer since birth. My parents opened an account in my name. I am going to close my account as I find this change abhorrent and unacceptable - https://www.independent.ie/business/personal-finance/aib-to-charge-fees-for-contactless-payments-and-current-accounts-39031416.html .

Especially announcing it in the current climate, hoping it will go under the radar. I am planning to change bank ASAP.

What are the best alternatives? I currently have a current a/c and savings a/c and am mortgage approved by AIB but happy enough to cancel that and go elsewhere as their rates are ****e anyway.

Thanks

landofthetree

virginmediapls wrote: »

I have been an AIB customer since birth. My parents opened an account in my name. I am going to close my account as I find this change abhorrent and unacceptable - https://www.independent.ie/business/personal-finance/aib-to-charge-fees-for-contactless-payments-and-current-accounts-39031416.html .

Especially announcing it in the current climate, hoping it will go under the radar. I am planning to change bank ASAP.

What are the best alternatives? I currently have a current a/c and savings a/c and am mortgage approved by AIB but happy enough to cancel that and go elsewhere as their rates are ****e anyway.

Thanks

https://www.ebs.ie/daily-banking/ebs-moneymanager-account-and-debit-card

EBS money manager.

But I hear its not great at the app/online stuff.

gmisk

I am on an old PTSB account which is free if you lodge a certain amount find them grand

van_beano

Same as Ulster Bank last year, I moved to KBC. Free banking once €2k is lodged per month. No issues so far over the year I've been with them. The whole cashless bank set-up is annoying if you want to lodge cash, I don't have much cash so doesn't bother me :rolleyes:

Alun

I'm with AIB and I use contactless, well Google Pay actually, for pretty much everything these days and in the last 12 months I made 406 contactless payments, which would cost me an eye watering €4.06 in fees. I think I can just about manage to afford that to be honest.

van_beano

Alun wrote: »

I'm with AIB and I use contactless, well Google Pay actually, for pretty much everything these days and in the last 12 months I made 406 contactless payments, which would cost me an eye watering €4.06 in fees. I think I can just about manage to afford that to be honest.

People said that about Ulster Banks fee's last year, Ulster Bank have since increased their fee's again in the last couple of weeks.

You also now have to pay the quarterly fee's as well on top of your €4.06.

GerardKeating

Alun wrote: »

I'm with AIB and I use contactless, well Google Pay actually, for pretty much everything these days and in the last 12 months I made 406 contactless payments, which would cost me an eye watering €4.06 in fees. I think I can just about manage to afford that to be honest.

Get an AIB CREDIT card, and pay it in full at the end of each month, use the credit card for everything EXCEPT ATM. Only use the debit card if/when you want cash from an ATM.

Alun

van_beano wrote: »

People said that about Ulster Banks fee's last year, Ulster Bank have since increased their fee's again in the last couple of weeks.

You also now have to pay the quarterly fee's as well on top of your €4.06.

Expect more of that though from all the banks. Banks are earning less and less, in some cases negative amounts, on their holdings, so the money to run the place has to come from somewhere.

Irish_peppa

Alun wrote: »

I'm with AIB and I use contactless, well Google Pay actually, for pretty much everything these days and in the last 12 months I made 406 contactless payments, which would cost me an eye watering €4.06 in fees. I think I can just about manage to afford that to be honest.

What is the story with google pay? Is that like paypal? Whats the advantages. I saw a girl using her phone to pay in lidl holding it up to the Card machine seemed a bit awkward

van_beano

Alun wrote: »

Expect more of that though from al lbanks. Banks are earning less and less, in some cases negative amounts, on their holdings, so the money to run the place has to come from somewhere.

KBC seem to be functioning ok at the moment (famous last words)

Alun

GerardKeating wrote: »

Get an AIB CREDIT card, and pay it in full at the end of each month, use the credit card for everything EXCEPT ATM. Only use the debit card if/when you want cash from an ATM.

You'd pay more for the credit card stamp duty charge than you'd save in fees though unless you made 3000 debit card payments per year.

Alun

Irish_peppa wrote: »

What is the story with google pay? Is that like paypal? Whats the advantages. I saw a girl using her phone to pay in lidl holding it up to the Card machine seemed a bit awkward

It's just an extension of your debit or credit card effectively. Not awkward at all, not sure how you thought that.

Fireball81

Revolute or N26 - no fees and they support apple pay and Google pay.

Mickeroo

van_beano wrote: »

Same as Ulster Bank last year, I moved to KBC. Free banking once €2k is lodged per month. No issues so far over the year I've been with them. The whole cashless bank set-up is annoying if you want to lodge cash, I don't have much cash so doesn't bother me :rolleyes:

AIB are free too once you have 2.5k lodged, will this charge not be covered by that?

shanec1928

landofthetree wrote: »

https://www.ebs.ie/daily-banking/ebs-moneymanager-account-and-debit-card

EBS money manager.

But I hear its not great at the app/online stuff.

awful isnt the word for it

HBC08

van_beano wrote: »

Same as Ulster Bank last year, I moved to KBC. Free banking once €2k is lodged per month. No issues so far over the year I've been with them. The whole cashless bank set-up is annoying if you want to lodge cash, I don't have much cash so doesn't bother me :rolleyes:

With Ulster Bank now you just need a balance of over 3k in current acc to avoid all fees.Not putting money in every month,just keeping a balance above 3k.

virginmediapls

Mickeroo wrote: »

AIB are free too once you have 2.5k lodged, will this charge not be covered by that?

No it won't. They are also introducing quarterly fees regardless of the amount in your account.

suave.4u

van_beano wrote: »

People said that about Ulster Banks fee's last year, Ulster Bank have since increased their fee's again in the last couple of weeks.

You also now have to pay the quarterly fee's as well on top of your €4.06.

1 cents from May. This time next year they’ll have it up to 50cent.

IAMAMORON

The only issue I have is that AIB have just thrown the charge on.

As a customer I never asked for the convenience . Furthermore where does the precedent stop?

I agree it shouldn't cost more than 20c a week, but it adds up for them.

Switching banks is kneejerk considering it is generally a race to the bottom with all providers.

Irish_peppa

Alun wrote: »

It's just an extension of your debit or credit card effectively. Not awkward at all, not sure how you thought that.

Hmmmm must check it out:)

Fann Linn

What would happen if you ran your AIB card through a Curve card?

dragonfly!

virginmediapls wrote: »

I have been an AIB customer since birth. My parents opened an account in my name. I am going to close my account as I find this change abhorrent and unacceptable - https://www.independent.ie/business/personal-finance/aib-to-charge-fees-for-contactless-payments-and-current-accounts-39031416.html .

Especially announcing it in the current climate, hoping it will go under the radar. I am planning to change bank ASAP.

What are the best alternatives? I currently have a current a/c and savings a/c and am mortgage approved by AIB but happy enough to cancel that and go elsewhere as their rates are ****e anyway.

Thanks

EBS dont have charges with a money manager account and I have always found their staff excellent to deal with when I was getting my mortgage
however.... their online site is super old fashioned and they dont have an app

SmallTeapot

Fireball81 wrote: »

Revolute or N26 - no fees and they support apple pay and Google pay.

This. I’m an AIB customer, but transfer money to my Revolut card and use it for daily contactless payments. I also have an N26 account but don’t use it as much as Revolut. N26 is a fully operating bank that has zero fees.

van_beano

HBC08 wrote: »

With Ulster Bank now you just need a balance of over 3k in current acc to avoid all fees.Not putting money in every month,just keeping a balance above 3k.

Not since last year, you still have to pay €2 per month maintenance fee. All transaction fees are waived though if you keep the €3k balance. It used to be everything was free if you kept the €3k balance.

HBC08

van_beano wrote: »

Not since last year, you still have to pay €2 per month maintenance fee. All transaction fees are waived though if you keep the €3k balance. It used to be everything was free if you kept the €3k balance.

Thanks,I didn't know that.
I need a local branch to use from time to time so need to bank with one of the big banks.Looks like im screwed!

Mickeroo

virginmediapls wrote: »

No it won't. They are also introducing quarterly fees regardless of the amount in your account.

Boo urns!

Sierra Oscar

Also looks like maintenance fees are being introduced irrespective of account balance.

https://aib.ie/content/dam/aib/personal/docs/fees-and-charges/a-guide-to-fees-and-charges-for-personal-accounts.pdf

Your Current Account banking has previously been provided free of maintenance and transaction fees when you have kept a minimum balance of €2,500 in each quarter. This option will be withdrawn on 30th May 2020.

Stuck with them for many years but I'll probably dump them now and move elsewhere.

Tazz T

Revolut and N26 are the obvious accounts to go for here. I still run my PTSB (no charges) in tandem with N26 as I test it out the service (no complaints).

Unfortunately, by not fully implementing SEPA, AIB doesn't allow you to transfer money to either. Basically, they're saying that both Revolut and N26 are foreign accounts (no one else seems to do this).

Regardless of the price increases, this is a very dodgy on behalf on AIB and really should be investigated by the banking regulator or the competition authority.

I really hope they end up losing a lot of custom over this. Still gouging the public despite the bail out.

GerardKeating

Mickeroo wrote: »

AIB are free too once you have 2.5k lodged, will this charge not be covered by that?

Not any more, as per the OP, this ends in May

JTMan

Sierra Oscar wrote: »

Also looks like maintenance fees are being introduced irrespective of account balance.

Yes and this charge will mean that many AIB customers will now be paying 80 EUR a year in maintenance charges that they may not have previously had to pay.

Ways to avoid these fees include:
- Open a teen, student, graduate or advantage account (66+)
- Open a basic account if you qualify.
- Have your AIB mortgage go to your AIB current account.
- Switch to Revolut, N26, Monese, KBC Extra current account and comply with the fee thresholds for free banking.
- Switch to an EBS current account but put up with their lack of an app, poor online banking and no mobile payments.
- Combo EBS with Revolut, N26 or Monese.

callaway92

I think this is their backlash against the amount of custom they've lost to a Revolut type product for FXs etc.

Trying to make money elsewhere.