Danske Bank Closure

I currently have a credit card maxed out to the tune of 5k with them.they have rung me 3times in december wanting to arrange a meeting with me to discuss a loan option for it.
i also had to send them in payslips by post.i havent yet met them as im stalling as im nowwhere near a branch to meet them..lady yesterday rang said she was passing it on to someone else and il hear by the 30/31st if december from them.

(im not in arrears or anything,im up to date with them)
 
This is going to get quite interesting ....

People can't just produce money out of thin air, to repay overdrafts & hard core balances on their credit cards, so sooner or later Danske will have to admit they are prepared to retstructure unpaid balances into some form of loan arrangements. There is simply no other solution, if they want to be repaid although clearly they are initially saying nothing in the hopes most people will find a way to clear the money they owe.

CiaranT said:
Tesco Bank credit card due to the Tesco points that come with each purchase.
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Eh, thanks but no thanks, I'm still having the nightmares from a few years ago when I last had a card with them.... the points were excellent, but their service was not based on my experiences (and I'm a "good customer").
 
Woodville56 said:
I also got the letter recently from Danske advising that they are closing banking services for their Credit Card holders in March'14.
I see from Bonkers.ie that AIB appear to have lowest APR (13.6%) but an APR of 9.11% on balance transfers.
Any ideas or comments on best option for new Credit Card on the basis that I will have no carry over balance ?
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CiaranT said:
Tesco Bank credit card due to the Tesco points that come with each purchase.
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Tesco are offering 0% on balance transfers for six months, which is pretty good. They seem to be also offering 0% on new purchases for eight months, which is very, very good, unless I'm missing a catch.

AIB Platinum have 3.83% APR on balance transfers for 12 months, which is pretty good, and same on new purchases, which isn't bad.

So the question for me is - will the cost of my balance transfer to Tesco for the 2nd six months at 14.9%, outweigh the savings on the 0% purchases for 8 months?
 
Out of interest, has anybody other than a standalone credit card holder actually received a letter? Its now 23rd December, and nothing yet. If they are indeed planning on shutting current account services on 1st March, they're leaving users with very little time to decide what to do. 2 months is not a long time in banking terms, given the Christmas closures.

Shockingly high fees from BOI/AIB too - stunned so many people choose to actually do their banking there? I remember them as always being high, so this isn't really something new.
 
I received an inital announcement letter, but nothing since.

I am trying to decide between switching my current and deposit accounts to either KBC or PTSB. I have yet to make a decision.

I can stick to either sets of criteria to get free/cheap banking, but TSB might be easier as I can get salaries lodged there automatically (as opposed to ensuring that I have €2k always in the KBC account). KBC has a better deposit rate, but it will cost €26 pa in fees for the current account.

I won't be taking out either of their Visa cards, as my current card is with AIB, and I'm happy with it, and pay it by direct debit from the Danske current account.

I have seen good feedback on PTSBs on-line account (which is very important to me), but heard very little about KBC's.


Anybody any thoughts?
 
Ensuring you have 2,000 EUR in your account each and every day effectively means you need to have a buffer above 2,000 EUR. Meaning you lose out on opportunity-cost interest on a circa 2,500 EUR sum. Plus it is a pain in the ass.

With regard to KBC deposit rates being higher, I suspect that KBC will review their deposit rates in the near future.

I think it is a no brainer to choose PTSB over KBC for a current account.
 
lff12 said:
Out of interest, has anybody other than a standalone credit card holder actually received a letter? Its now 23rd December, and nothing yet. If they are indeed planning on shutting current account services on 1st March, they're leaving users with very little time to decide what to do. 2 months is not a long time in banking terms, given the Christmas closures.

Shockingly high fees from BOI/AIB too - stunned so many people choose to actually do their banking there? I remember them as always being high, so this isn't really something new.
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Hi,

Nothing in the post to date (thankfully - I think they have to give minimum written notice based on something I recently heard, so that may mean we're good until the end of March if I've heard right, fingers crossed). I'm really sick they are closing, I genuinely was a fan of their service, internet banking in particular.

Agree regarding the fees from AIB & BOI, how ironic that when we had little more than just these two and UB I guess makes three, then everyone moaned about wanting competition - they we got competition (i.e. AnPost Bank, Danske, Halifax, ACC retail, PTSB etc) and not enough people move their business, so we lose most of the competitors and now we're all back stuck moaning about the costs again. As a matter of principal, I won't be getting all my services from one provider & will secure the best individual deal for each product.
 
I have an offset mortgage with Danske along with current account and savings account. I find the offset mortgage to be very useful to me with varying amounts of savings and do not want to lose it. However it can only work if Danske continue to operate some kind of savings account for me. I have not yet heard from them regarding their plans for this but savings accounts appear to have been ruled out.

I presume they have a contractual obligation to continue the mortgage on the agreed basis for its duration or transfer it to another bank who can. Maybe I'm wrong. I don't have a copy of my mortgage agreement and haven't consulted my solicitor. I wonder if there are many in the same boat as me who want to maintain an offset mortgage.
 
I have my current account and credit card with them and have done all my banking with them for the past 20 years, will be sad to see them go. I received a letter just before Christmas outlining my "options" ie - clear, in full, my overdraft and credit card by april. This isn't an option for me, I'm barely managing to cover my bills each month at max overdraft and credit card level.

I had a meeting with PTSB a few weeks ago, they are very keen to take on Danske customers and have "transfer buddies" who will arrange for all your direct debits to transfer over to PTSB seamlessly. The problem is that if I'm currently overdrawn I need to apply for an overdraft with PTSB. If I do this they won't approve me for an overdraft as I have a judgement registered against me (which didn't come up on a recent ICB search - not sure if that's normal).

I was hoping that Danske would have to convert my credit card debt and overdraft into a loan. I think they will have no choice with the credit card, but if they don't convert my overdraft into a loan then I'm completely stuck. Does anyone know what, if any, rights I'd have on this or how I could solve it?

On a slightly different note I've also heard that you can set up a current account with the credit union with minimal, if any, charges. Is this true, or advisable???
 
I have an Offset mortgage with current account. Haven't heard anything from Danske bank yet. Had exactly the same thought as you and NIB made a big play of the offset facility when arranging the mortgage. Looked up my mortgage agreement. At back of the agreement have a letter from NIB which states 'this side letter together with the attached Offset Mortgage Facility letter...constitutes your agreement with the bank...then goes on last paragraph headed 'Termination' ' we will ensure when removing an account from an offset portfolio ..that the account is not the last mortgage account or linked account causing an unwanted termination of the Offset Portfolio.'
 
Patricia23 said:
I have my current account and credit card with them and have done all my banking with them for the past 20 years, will be sad to see them go. I received a letter just before Christmas outlining my "options" ie - clear, in full, my overdraft and credit card by april. This isn't an option for me, I'm barely managing to cover my bills each month at max overdraft and credit card level.

I had a meeting with PTSB a few weeks ago, they are very keen to take on Danske customers and have "transfer buddies" who will arrange for all your direct debits to transfer over to PTSB seamlessly. The problem is that if I'm currently overdrawn I need to apply for an overdraft with PTSB. If I do this they won't approve me for an overdraft as I have a judgement registered against me (which didn't come up on a recent ICB search - not sure if that's normal).

I was hoping that Danske would have to convert my credit card debt and overdraft into a loan. I think they will have no choice with the credit card, but if they don't convert my overdraft into a loan then I'm completely stuck. Does anyone know what, if any, rights I'd have on this or how I could solve it?

On a slightly different note I've also heard that you can set up a current account with the credit union with minimal, if any, charges. Is this true, or advisable???
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Hello,

I think I've posted a comment similar to this before, but for what it's worth my own personal opinion is this is a "try on" by Danske to get as many people to repay before their deadline as they can - those who simply cannot repay will then have to be sorted out some other way and most likely via the overdraft / credit card balances being converted to term loans, I'd expect.

Just remember the overdraft is most likely repayable on demand so a monthly salary could get offset against the hardcore overdraft debt outstanding on the overdraft, if it's the final day etc.

What have other banks done when closing down, or cancelling facilities in a similar way to whats happening at Danske with their credit card and overdraft limits ?
 
Orbitman said:
I have an Offset mortgage with current account. Haven't heard anything from Danske bank yet. Had exactly the same thought as you and NIB made a big play of the offset facility when arranging the mortgage. Looked up my mortgage agreement. At back of the agreement have a letter from NIB which states 'this side letter together with the attached Offset Mortgage Facility letter...constitutes your agreement with the bank...then goes on last paragraph headed 'Termination' ' we will ensure when removing an account from an offset portfolio ..that the account is not the last mortgage account or linked account causing an unwanted termination of the Offset Portfolio.'
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Thank you for that information, good to hear it but perhaps they may have a 'get out' clause elsewhere? Time will tell. Hard to see them being able to provide a savings account under their current plans unless they get another bank or An Post on board to do this.

When I took out my mortgage in 2005 the bank were indeed pushing it and selling it as an alternative to a low cost tracker. Thankfully it has worked out ok for me since as I have some savings that I use to offset part of the mortgage. As I said previously I would not like to loose this. Danske are certainly in no rush to get in touch.
 
Thanks Mr Earl. At the moment my salary comes into one account, I transfer the amount required for all the direct debits into the current account (70% of salary) and then try to live on the rest. As you say the overdraft s payable on demand so my fear is that they will try to be smart and use my salary to clear off the overdraft, which will leave me with no money to pay my bills for that month.

I'm afraid that if I go to them and ask them for a loan for the overdraft it will just prompt them to do this.

On the other hand, maybe I could ask my employer now to move my salary to my ptsb account now, then they wouldn't be able to do this. It would mean I would have the hassle of reorganising all my direct debits myself instead of getting ptsb to do it for me (as they won't do it if I have an overdraft).

Anyone got any other suggestions?
 
You are going to have to open a new current account sooner or later. Preferably, sooner. I see no reason to delay opening the PTSB account. Delaying the account opening is not going to get you an overdraft.

You will be able to sort the direct debits yourself, just a little bit of hassle involved.

Also, I would move your salary to PTSB asap as well. You are correct that Dankse Bank may engage in netting balances which banks sometimes do.

I would think that Danske's threat to not organise loans for credit cards and for overdrafts is an empty threat. There is no chance that 100% of the credit cards and overdrafts will be repaid. Danske will have to offer something.
 
CiaranT said:
Ensuring you have 2,000 EUR in your account each and every day effectively means you need to have a buffer above 2,000 EUR. Meaning you lose out on opportunity-cost interest on a circa 2,500 EUR sum. Plus it is a pain in the ass.

With regard to KBC deposit rates being higher, I suspect that KBC will review their deposit rates in the near future.

I think it is a no brainer to choose PTSB over KBC for a current account.
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Hi Ciaran

Based on the above, am I right in thinking the same logic applies to opening a current account with aib? Because you have to keep your current account in credit by 2500 per quarter you have a lost opportunity to invest this money somewhere else?

I was thinking of aib as we have a branch in the town where I live so handy access also feedback on their website seems to br good.

Some feedback on PTSb customer service suggests it may not be very easy to open an account with them but that could be wrong. Has anyone any recent experience of this?

Can you apply for a credit card anywhere or do you need to stick with the bank you have your main dealings with?

I have to move all accounts from danske by March (deposit accounts by February)
Thanks

Phoenix
 
phoenix said:
Based on the above, am I right in thinking the same logic applies to opening a current account with aib? Because you have to keep your current account in credit by 2500 per quarter you have a lost opportunity to invest this money somewhere else?
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Yes, same logic.

phoenix said:
I was thinking of aib as we have a branch in the town where I live so handy access also feedback on their website seems to br good.
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I think the AIB website is badly in need for an overhaul.

phoenix said:
Some feedback on PTSb customer service suggests it may not be very easy to open an account with them but that could be wrong. Has anyone any recent experience of this?
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Most feedback on the switching process to PTSB has been positive.

phoenix said:
Can you apply for a credit card anywhere or do you need to stick with the bank you have your main dealings with?
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Anywhere. Tesco Bank may be your best option for a credit card due to the Tesco points associated with it.
 
phoenix said:
Some feedback on PTSb customer service suggests it may not be very easy to open an account with them but that could be wrong. Has anyone any recent experience of this?
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I switched current accounts to PTSB from Danske a few months back, and then moved to them for a credit card within the last month.

Both went reasonably smoothly. So far, I've found any interactions with PTSB to be helpful and efficient.

I think the problems with opening accounts are more to do with very tight regulations to counter money laundering than the banks themselves: you'll be faced with having to provide the same information with whatever bank you move to.
 
ang1170 said:
I think the problems with opening accounts are more to do with very tight regulations to counter money laundering than the banks themselves: you'll be faced with having to provide the same information with whatever bank you move to.
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Did PTSB ask for your PPSN? I hope to open an account with PTSB this week but I do not intend to supply my PPSN . . I don't believe I have to [broken link removed]
 
michaelm said:
Did PTSB ask for your PPSN? I hope to open an account with PTSB this week but I do not intend to supply my PPSN . . I don't believe I have to [broken link removed]
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I would be interested to hear if you succeed in opening an account without a PPS number.
 
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