Loyalty to a bank is noble, it is also healthy for business, but should it come at the expense of persistent poor service deliver, perennial high charges and unwillingness to assist you or your business when you need it, then you should review the relationship. Similarly, if your bank is steeped in traditional ways of doing things and are deliberately ignoring innovative ways to the point that it is affecting your transaction, it may be time to port.
According to Central Bank of Nigeria figures for 2015, there are 22 banks in the country. What that means is competition. Competition usually translates to innovations, flexible and top-notch services, less charges and increased proximity. Hence, there is less reason to endure the bank that you have grown to detest but feel obligated to bank with because your money is in there and you are not certain how to move.
Moving to another city may be another reason to break up with your old bank. Also couples who just got married and want to open a joint account, if the two use different banks, at least one person will need to switch.
Before your break up with your bank, it is important you are not doing it because another bank is offering short term perks. The reason is, once the duration of the perks ends you may discover that there really was no difference between the two banks.
Switching accounts is not as easy as porting from one telephone network provider to another. The information you have about the new bank is important because it will be the basis for a more lasting decision. Look into their account requirements and deposit preferences. Understand the minimum balances and monthly fees. How flexible and fluid is their online banking?
We recommend you find an account that require no minimum income or one that you can maintain, a wide ATM network that’s easily accessed by you, a competitive interest rate for savings and whatever other characteristics that are important for your life.
You should be prepared to deal with the cost implications of moving your account to a new bank. If you are in the middle of negotiating a mortgage or auto loan, wait until this is concluded before moving the account.
Once you have carefully selected your new bank, open a new account in person. It is much easier to get advice concerning the bank offerings in person than over the phone or even online given the issues with internet connection. But if you are not able to make it to the nearest bank, some banks are making it easier for people to open accounts online.
It will be like the first day you opened your first account. The lists of what you will need include 1) Your name, address and date of birth, 2) Official photo identification, such as a driver’s license, National Identification Card or passport. In some banks you may need to provide an opening deposit in the form of cash or check.
In Nigeria, a decision to break up with a bank might prove difficult especially if you informed the bank you are leaving. They may not cooperate as fast you want, hence you may need to be discreet about it. After opening the new account in the new bank, transfer the deposit in the old account into the new one electronically or manually.
Then apply for the old account to be closed. Doing this in person is best because you will come out with proof your account has been closed and the bank will not attempt to tack on charges later or report you to regulators for unpaid services. Also ensure that all checks written from the account have been cleared before taking. If your account is closed when those checks attempt to clear, they will bounce potentially ruining your relationship with whomever the check was written for or incurring late-payment fees. The way to find out if those checks have cleared is to call the parties you wrote the checks to in order to verify they’ve cashed them.
FRANK ELEANYA
