Outrage over fees assessed by banks on checking accounts and other unfair practices has led to consumers attempting to leave their institutions in droves. But as a new report by Consumers Union points out, bank’s throw up a myriad of obstacles that can confuse consumers who are trying to switch banks.

“Consumers may be fed up with their bank but they can encounter roadblocks that make moving their money a real headache,” said Suzanne Martindale, staff attorney for Consumers Union. “Some bank policies are designed to make it challenging for customers to walk away. That creates customer inertia and stifles competition, making banks less responsive to what consumers need.”

So what do you need to know? First, opening a new account at another financial institution can take time, a few days or even a few weeks. After you transfer direct deposits and automatic payments out of the old account and into the new account, that’s the time to close your old account and move funds into the new one.

That’s where it can get tricky, even for the savviest consumer, says Consumers Union. It reviewed bank policies at the top 10 retail banks in the U.S., along with a survey of banks and a secret shopper investigation, and found a bunch of roadblocks in the process of switching banks. [read]

About joetheflow

I'm a multimedia designer, video editor, photographer and musician who likes just about everything so here's a place to share. I'm left-right brained which is both a blessing and a curse but never boring. Check out: 3 Penguins Design - http://www.3PenguinsDesign.com ::: 3 Penguins Photography - http://www.3PenguinsPhotography.com :::

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s