Whilst there are areas we would undoubtedly wish to see improved, the relative homogeneity of the banking sector in the UK has its advantages. While I previously complained about the stickiness of bank deposits when trying to move money between institutions, I did not realise how much more we are offered relative to our cousins in the west. I was speaking to a customer services person at my bank across the Atlantic. The bank itself is a product of American style consolidation, with the original brand that I signed up to over 20 years ago, relegated to history. While not one of the larger household names, it is reasonably sized and known in its operating states.
Being accustomed to Direct Debit and online bill pay UK style, I had logged into the US bill payment window and was trying to pay someone online. However, I was not being given the opportunity to enter in a sort code and account number to be able to effect a domestic ACH transfer. Hence my call to customer services, to find out what I was doing wrong. I was then given the news. My online bill pay facility allowed me to select a name, physical address, amount and date for payment. However, instead of electronic delivery, my payment would take the form of a cheque (check) that would be mailed to the recipient, who would then go to their branch to deposit. The only thing that this facility has saved me is the effort of writing the cheque (check) out myself, putting it in a stamped envelope and walking it to a mailbox. The treatment on the recipient’s side remains the same. The cost to the banking system of this transaction, would also, in my view, not be much improved. An opportunity for those of us in the financial services technology space. New ground to cover. The wild west, conquered with browsers, 21st century style.