It wasn't long ago that opening an account with a new bank was a right palaver, entailing reams of forms and often visiting a branch to provide various official documents. In fact this is often still the case, with inconvenience at every step as traditional banks operate some of the world's most useless hours for scheduling a meeting around the rush of working life.
So with many new players now competing for our banking business, perhaps it's not surprising that many have come to appreciate the ease of moving their money elsewhere. And it isn't just that the bar to entry has been lowered, consumers have been jumping to advantageous savings rates offered elsewhere as their current account holders refuse to raise interest.
The phenomenon has been observed across Europe and Belgium is no exception, with an impressive €44 billion being shifted from accounts between July and September this year – equal to 8% of Belgium's annual GDP. Clearly the old wisdom of parking your money and leaving it to grow has had its day.
With the cost of living at the forefront of everyone's mind and central banks putting up interest rates to curb inflation, consumers have become far more aware of what happens to their sizeable savings. Far from flourishing, many were forced to conclude that their reserves were actually rotting whilst the banks themselves pocketed mega-profits from generous ECB rates that weren't passed on to customers.
To further incentivise setting out for better returns, State bonds issued in August soared beyond expectations to attract €22 billion investment, largely from savers tired of getting a poor deal and recognising the security provided by the bonds.
Hailed by some as a fiscal "masterstroke", the bonds succeeded in making banks wake up to general dissatisfaction with their paltry rates and with a bit of shopping around Belgians can be rewarded for what will hopefully be a straightforward switch.
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