An Cosantóir

An Cosantóir September 2019 www.dfmagazine.ie 26 | SWITCHING YOUR CURRENT ACCOUNT CAN SAVE MONEY A recent report from the Central Bank of Ireland showed that the number of consumers moving their current account to another bank using the switching code has fallen to its lowest level in five years, despite the potential savings consumers can make by switching. If you are thinking about switching, a good place to start is our current account comparison on ccpc.ie. You can compare each bank's fees and charges and find out whether there are conditions you need to meet in order to avoid transaction fees. If you decide to switch, the Central Bank's switching code has been designed to make the process as easy as possible. How to switch Step 1 - Pick a new provider: Your new bank will supply you with a switching pack which contains information on all the current accounts they offer, as well as a step-by-step guide to switching. When you are opening an account you will have to provide proof of ID and address and you may need to provide bank statements from your old account. You should also receive: A guide to their fees, charges and interest rates; An account transfer form and Contact details for making an appointment, if it's needed. Before you switch you will need to decide if you intend in clos- ing or keeping open your old account. If you choose to keep it open, you may have to pay fees and stamp duty. If you have an existing overdraft facility and wish to have an overdraft on your new account, you should discuss this with your new bank as you will need to make an application. If you have an existing overdraft, you will need to make sure it is cleared before you switch. Step 2 - Getting ready to switch: Once everything is in place, a switching date will be agreed between you and the new bank. Your new bank must have your new account ready and set up within 10 working days on the switching date. Try to pick a switching date during the month when activity on your account is low. For example, you should avoid dates on or near when you get paid, or when there are a lot of outgoings. It is important that you provide your new account details to your employer and anyone else who lodges money into your account, such as social welfare. You must complete this step yourself as your new bank can't do it for you. The switch- ing pack will have sample letters you can use to inform your employer about your new bank details. Step 3 - Switching: Your new bank will ask you to complete an account transfer form, which they will send to your old bank who will notify any company you have a direct debit with of your new bank details so they can update their records. It is worthwhile contacting any company you pay by direct debit yourself to ensure they have your new details on file. Your old bank will send your new bank a list of your direct deb- its and they will set these up to go from your new account. If you have direct debits outside Ireland, you will have to notify these providers yourself. Likewise, if you have any recurring payments on your debit card such as music streaming or gym membership you will have to notify these companies of your new card details. These don't count as direct debits and won't be moved over as part of the switching process. The balance in your old account will be transferred as part of the switching process, but leave enough money in your old ac- count to cover any fees or payments that you owe. Don't use your debit card on your old account during this period as it can delay the account closing. Step 4 - New account is up and running: Depending on what option you chose, your new account will be fully operational and your old account will either be closed or left open. You will receive a debit card for your new account and you can destroy the cards for your old account. By Áine Carroll, Director of Communications & Policy with the CCPC More information on switching your current account can be found at www.ccpc.ie.

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