Friends influence financial decisions
Instead of shopping around for the best possible deal, a new report shows that people are more likely to choose a bank account based on recommendations from their friends.
Much has been written about consumers feeling dissatisfied with their banks but the latest, a survey by Moneyfacts, says that 62 per cent of people think that their banks do treat them fairly.
Alliance and Leicester (A&L) has announced today that fewer than three people in ten choose their current account provider because it is offering the best deal. Furthermore, two in five people base their choice on what their friends have said, regardless of whether the choice is the best financial option for them.
A&L added that 47 per cent of people believed that changing banks was too time-consuming, and one in four thought a move would involve filling in endless forms.
However, Simon Ripton, A&L current accounts manager, wanted to reassure customers that changing accounts was not a laborious process, and he urged consumers to make decisions that were personally right for them.
"Switching these days really is a simple and painless process. In fact, over three quarters (77 per cent) of those who have already switched say they are glad they did and they found it a quick and easy process," he said.
"It's the myths, not the reality which continue to discourage people from switching," he said, suggesting that consumers should not let friends or fables deter them from making sensible financial decisions." | 
