Comments on: Give customers the benefit of the doubt http://www.betterretailing.com/2010/02/give-customers-the-benefit-of-the-doubt/ Energising independent retailers Thu, 09 Sep 2010 15:23:31 +0000 hourly 1 http://wordpress.org/?v=3.0.1 By: chander Hingorani http://www.betterretailing.com/2010/02/give-customers-the-benefit-of-the-doubt/comment-page-1/#comment-629 chander Hingorani Sun, 07 Mar 2010 16:51:14 +0000 http://www.betterretailing.com/?p=1407#comment-629 Sorry for the digression but I wanted to raise my concern re the attitude of banks to the SME sector and in particular small shops who do not have the muscle to negotiate like big PLC companies. Consequently these banks exploit these people by first rejecting their loan applications and secondly if successful charging them exorbitant rates over the base rate and adding introduction, arrangement etc fees which add to the cost of loans. The banks should realise that these people also have to make a profit to live. Unfortunaltely this practice has been going on for years and was pointed out by the Cruickshanks Commission which stated that banks were guilty of overcharging the SME sector by £5-6 billion. A report due by the OFT will also say that the banks are overcharging a hefty fee of £35 for services like a bounced cheque when a fair fee is circa £10. Overdraft rates are nearly 20% when the base rate is 0.5%. Imagine you buying a product at 50p and selling at £20. WOW. But will banks listen and the Government could not care less. It is high time Lord Mendleson looks into this specially when some of the big banks are owned by the taxpayer. So Please let us have some action and specially before the election. Join me in a comapign to curtail bank charges. Sorry for the digression but I wanted to raise my concern re the attitude of banks to the SME sector and in particular small shops who do not have the muscle to negotiate like big PLC companies. Consequently these banks exploit these people by first rejecting their loan applications and secondly if successful charging them exorbitant rates over the base rate and adding introduction, arrangement etc fees which add to the cost of loans. The banks should realise that these people also have to make a profit to live.

Unfortunaltely this practice has been going on for years and was pointed out by the Cruickshanks Commission which stated that banks were guilty of overcharging the SME sector by £5-6 billion. A report due by the OFT will also say that the banks are overcharging a hefty fee of £35 for services like a bounced cheque when a fair fee is circa £10. Overdraft rates are nearly 20% when the base rate is 0.5%. Imagine you buying a product at 50p and selling at £20. WOW.

But will banks listen and the Government could not care less. It is high time Lord Mendleson looks into this specially when some of the big banks are owned by the taxpayer.

So Please let us have some action and specially before the election. Join me in a comapign to curtail bank charges.

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