Only one in four Ulster Bank accounts closed

concern Time running out as majority of customers yet to switch

“There remains a great deal that needs to be done.”

That was the Finance Minister’s comments ahead of the withdrawal of Ulster Bank and KBC from the Irish market.

Both financial institutions announced this year that they are to close all their branches, with customers forced to move to alternative banks.

However, figures up to the end of August show only 24% of people affected had moved their accounts, prompting concern locally. Customers must close their account with their existing banking provider and move to a new financial institution. It’s understood those who fail to do so will receive a cheque for the value of whatever remains in their bank account at the time of closure.

“I deeply regret the decision made by Ulster Bank and KBC,” said Finance Minister Pascal Donohoe.

“This is a matter of great focus for our Central Bank and Department and we are engaging regularly on this matter with the banks that are withdrawing.”

He quoted a report from the Central Bank released in recent weeks which showed that only 24% of customers had closed their accounts with the affected banks. Local Fianna Fáil TD Brendan Smith said this is a cause for concern.

“This means 76% of people had yet to do so, with only 40% of the timeframe remaining. It is not practical to think this process of migrating huge numbers of accounts will be completed by the end of April next year.”

At a meeting of Cavan’s JPC recently and when speaking to Minister Donohoe in the Dáíl, Deputy Smith highlighted the people in this region who do not have easy access, or any access, to IT systems in order to change their accounts online.

“I know some very IT-literate people who could not transfer their accounts and set up new ones online. Some of them sought and got meetings in banks.”

However, this too has led to problems, with claims not enough staff are available to help customers who cannot easily change. Claims of short staffing and limited branch opening hours have also cropped up. This was acknowledged by the Minister.

“We need to ensure that AIB, Bank of Ireland and PTSB do all they can to have the staff ready. I am aware of the concerns about this. At least one of the banks is planning to be open four Saturdays in a row to get ready for this change.”

Ulster Bank is to close its Cavan Town branch, with those in Ballyconnell and Ballyjamesduff being taken over and rebranded as PTSB. Branches in Monaghan Town, Longford, Mullingar and Navan will also close.

None of the branches are expected to close before early next year.

KBC is also closing its branches, located mostly in Dublin, Galway, Cork and parts of the east coast.