How to choose a bank

Your choice of bank depends entirely on the type of financial services you need. In order to gain the best terms and conditions for all the services you need, it can often be advantageous to spread your finances among several financial institutions.

If you want to achieve the best terms and conditions for your most important financial services, it is often advantageous to make use of more than one bank. Below is information on the most important factors to consider when choosing between banks.

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In order to gain the best terms and conditions for all the services you need, it can often be advantageous to spread your finances among several financial institutions.

The following services are important when choosing bank:

• Interest on deposits
• Terms for loans
• Prices for use of the services you need
• Internet banking system
• Customer service and availability

If you choose, there is nothing stopping you from opening accounts with several banks.

It can often be difficult to compare the different offers out there, as the banks tend to work with varying price structures. A lot of banks also offer benefits and discounts if you make use of a package of products, often referred to as loyalty schemes, total customer packages etc. Irrespective of the number of services you require from a bank, you have the right to contact the bank and negotiate in order to achieve the best possible terms and conditions.

Certain banks require you to have your payroll or current account with them before granting a loan.

Loyalty schemes

A large number of banks offer loyalty schemes, also known as customer programmes and loyalty packages. The idea behind these schemes is that you as a customer use one bank only for all your banking services, forming a package of products, and are rewarded with a discount.

The discount is granted as a set of benefits. Examples of such benefits are lower interest rate on loans, higher interest on deposits, free credit cards, no fee on payment of bills on the Internet, discount on general insurance, discount on commission when purchasing unit trusts, benefits when selling or buying a home, discount on car hire etc.

When considering the benefits offered by the different loyalty schemes, it is important to keep in mind the annual costs of the scheme. What's more, you have to read through the terms and conditions for the loyalty scheme and compare these with those offered by other banks.

It is quite possible that you will actually benefit from not taking part in a loyalty scheme, either by keeping your services with your current bank or choosing different services from a number of different banks.

Changing bank

If you want to change bank, you can send a request to change bank via Finansportalen, visit your local branch office or go to the bank's website.

• Once you have opened a new account in a different bank, you can transfer your money over to the new account. If you want to pay off a loan held by your old bank, you will have to apply for a loan with the new bank and they will take care of both the new loan and paying off the old loan.
• Remember that you will be charged for refinancing/moving loans.
• Once you have received your new payroll/current account number, it is important to notify your employer, tax office, social security office and any others who may make payments to your account.

The new bank will help you move your banking services, for example:

• Fixed term giros and eInvoice agreements, and
• Payments on the list of payments due

Click here for more information on how the bank can help you change bank and what you have to do yourself (in Norwegian).

Advice

Providing financial advice to customers is an increasingly important part of a bank's activities. Advice is provided for loans, savings, capital investments and insurance. Certain banks appoint individual contact persons for customers on loyalty schemes.

Irrespective of whether the bank initiates contact with you as a customer or if you request a meeting with the bank to gain advice, the bank is prohibited from pressurising you to accept services. You should be able to feel confident that the bank provides you with good advice based on your requirements and need for security.

It is always a good idea to read through the bank's web page for a brief, up-to-date overview of the services offered before going into a meeting with the bank. You should also compare this with services provided by other banks.

Ask for an outline of different services during the meeting. And take all the time you need before making your decision.