Banking: Why are Brits so reluctant to switch current accounts?

Wednesday, 18 January 2012 09:35

A study carried out by the Halifax has discovered that many Britons are not switching bank accounts, even though it may benefit them financially.

It was found that one in ten adults still uses the same current account they had opened for them when they were aged between one and 15 years old, while a third still had the account they opened between the ages of 16 and 24.

Indeed, the average person in the UK has had their account for more than 20 years, even though it may be doing little for them.

When asked about the reasons why they had their account, 17 per cent revealed they chose the bank because it was the same one their parents used, while 11 per cent made the decision based on the offers they could receive as a student.

Meanwhile, 23 per cent admitted they chose their bank because it was the closest one to their home when they opened the account, despite the fact that online and telephone banking is likely to have made this irrelevant now.

Surprisingly, 30 per cent of the respondents said nothing would make them switch providers, although around 54 per cent would move if they could get better deals such as more interest or savings on fees.

Halifax's Anthony Warrington said: "We understand why some people are reluctant to change current accounts, but moving to the right account really could make them better off … It's an important decision and it doesn't have to be hard work."

This comes after found that many Britons are not making savings on gas and electricity because of a reluctance to switch suppliers.

Compare current accounts to find the rates and features you need

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