Calls have been made by John McFall MP, Chairman of the Treasury Select Committee, for Building Societies to start to try and rebuild trust with consumers following the committee's investigation into mortgage, loan and credit card interest rates. He said trust had been compromised, was at an all time low, and needed to be rebuilt to encourage people to be more active in their money management.
Our view
Fat cats salaries, shareholder dividends, commission hungry salespeople and ..............branch staff who are under increasing pressure, when you walk in just to pay £5 into your current account, to sell you: a credit card, a loan, appointment with a financial adviser, travel insurance, pensions, life insurance, isas, unit trusts, health insurance, motor insurance, household insurance, foreign exchange (commission free allegedly), travel insurance, pet insurance, share dealing services, Wills, tax return services, gas and electricity services, Portfolio Management Servicesand many more ................(oh, sorry, we forgot - and current/deposit accounts and mortgages) is it any wonder that early 90% of all complaints made to the Financial Ombudsman Service are against Bank and Building Society Staff.
The only way to build trust is to remove the ability to market all these contracts where there is no professionally qualified staff - there is no way that the "Part-timer" behind the till can possibly understand or give any sound advice on all of the above!
Banks and Building Societies should stick to banking and lending and leave to offer independent financial advice, leave Wills to lawyers and tax returns to accountants!!!