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UK: Market shifts slightly following account-switching service launch

By  |  October 23, 2013

Reports say a new service to facilitate banking consumers to switch banks resulted in an 11 percent increase in such account-switching over the last month, compared with the same period last year.

Thirty-three banks are now a part of the service, which is part of new legislation launched by the Banking Commission in efforts to boost banking competition. The service allows consumers to switch banks within 7 days, as opposed to the current 30-day time frame.

The regulation was aided by Vocalink, which allows consumers’ payments to be redirected to their new accounts following a bank change.

Despite the news, the Payments Council said it is too early to draw conclusions on the effects of the new regulation or to speculate on a long-term trend.

Full content: Computer Weekly

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