Nearly a third of French people are unhappy with their bank. Yet less than 10% change. A difference that can be explained by the fear of complicated procedures and excessive costs.
However, the Macron law of 2015 facilitates banking mobility. In 2017, the so-called “banking mobility assistance” service also made it possible to automatically transfer transfers and direct debits. But how much does all this process cost? It all depends on the accounts to be transferred and the banks chosen.
We therefore tell you how to change banks easily without breaking the bank.
Banking mobility is easy… for the current account
Since 2015, the Macron law allows you to change banks more easily for your current account. All you have to do is sign a mobility mandate with your new bank, which will transfer all your recurring direct debits and transfers (EDF, telephone, salary, etc.) to your new account free of charge.
The maximum period is 22 working days. If your old bank does not meet deadlines or makes mistakes, you can claim compensation from it.
Be careful, if you have an outstanding credit in your old bank, you will probably have to keep your account open to repay it. Your new bank may possibly operate a loan buy-back, but you will have to check that the conditions, in particular the interest, are attractive.
Banking mobility is complicated… for savings
If the transfer of the current account is very simple, that of your savings products (passbooks, PEL, CEL, PEA, life insurance, etc.) can prove to be more complicated, the law not providing for a specific device. According to the banks you may need to close or transfer your savings accounts yourselftaking into account costs and times that may vary depending on the product.
Thus, for regulated booklets (Livret A, LDDS, LEP, etc.), the transfer is impossible. You will need to close them in your old bank and open new ones in your new bank. You will lose a few weeks of interest, but no fees to pay. Depending on the bank chosen, your advisor can take care of this process.
For PEL and CEL, you can transfer them from one bank to another, but you will have to pay fees which can range from 40 to 200 euros depending on the establishment. The average delay is 30 days, but it can reach two months. In the case of the PEA, the costs are capped at 150 euros and the average time is also 30 days.
Finally, life insurance cannot be transferred. You will have to keep it in your old bank or buy it back in whole or in part. Beware of the tax consequences: if your contract is less than eight years old, you will be taxed on the winnings. If your contract is more than eight years old, you will benefit from an annual allowance of 4,600 euros for a single person or 9,200 euros for a couple. In any case, you will have to pay social security deductions of 17.2% on earnings.
3 tips for changing banks without breaking the bank
If the change of bank is regulated by law, there are a few tricks to reduce transfer fees.
First, think good to compare the offers of different banks before making your choice. You can use online comparators or consult bank sites. Take into account the overall cost of services (account maintenance fees, bank card, authorized overdraft, etc.), but also the quality of customer service, the availability of advisers, the ease of access to branches or online services, etc. We offer an entire section dedicated to this subject on Presse-citron.
Think of wait for promotional offers from online banks or neobanks. They often offer welcome bonuses of up to 180 euros for opening a current account. They also offer free or low-cost services: bank card without charge abroad, authorized overdraft without agios, etc. Some online banks also offer savings accounts, PEAs or life insurance on advantageous terms.
feel free to negotiate transfer fees with your new bank. Some banks agree to cover all or part of the transfer costs of your savings products, especially if you have an attractive profile (high income, significant savings, opening a mortgage, etc.). Do not hesitate to ask your adviser for a commercial gesture.
There you go, now you know how to change banks without breaking the bank. So remember that only the transfer from the current account is free. But you can negotiate with your new bank to get support for the fees expected for the transfer of savings accounts. Your turn now !
