CBA Premier / Private Banking

Discussion in 'Property Finance' started by aroe, 12th Jan, 2019.

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  1. aroe

    aroe Member

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    Hello

    Not sure if this is the right forum for this one , but anyhow -

    I have been contacted by CBA (we are an existing customer) about moving to their Premier Banking. I didn’t have too much time to chat with them about it and advised I’d get back to them

    Looking online there seems to be Private and Premier Nanking available to those that meet the income and loan/investment requirements. We’d probably meet the Private Income requirements, but certainly not the $2.5m investable requirements.

    I know bank loyalty is probably not something many here are keen on, but I’m wondering if anyone has experience with either of these?

    The listed benefits don’t seem that great, and “assorted discounts” is very vague. I guess I’m concerned it’s just a platform for CBA to try and flog insurance etc etc, and not much else.

    Cheers!
     
  2. tobe

    tobe Well-Known Member

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    I may have a vested interest, but you asked for opinions... not much else about sums it up.

    The discounts aren’t anything special, the advantage can be having a coordinated bunch of helpers. Can make things a little easier and quicker.
     
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  3. Terry_w

    Terry_w Mortgage broker licenced 4 tax/legal advice Business Member

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    It's clever marketing by the bank and great for the ego as you can drop the line at BBQs my private banker said....
     
  4. Car tart

    Car tart Well-Known Member

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    Yeah, I’m a Macquarie private customer, you get fabulous service from your personal banker, a few free tickets and lunches a year, but it is simply an avenue to sell you more at a higher price than the retail customers. Big benefit is multi million dollar transfers over the phone in very quick timing.
    The pain is revaluation of all properties every two years and unwanted advice, such as you should diversify your investments. Ie give money to Macquarie bank and stop being successful at what your doing, cause were not getting our share.
     
  5. Jamie Moore

    Jamie Moore MORTGAGE BROKER - AUSTRALIA WIDE Business Member

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    Pretty much this.
     
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  6. Blacky

    Blacky Well-Known Member

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    I’m a CBA private bank client, and have been for a number of years.

    To be honest the only benefit I get is an individual to contact when I need something (which isn’t that often, but it’s handy when I do). I’ve got a mobile number, and email address and contact an individual.

    I get this for no additional (visible) cost. But I also don’t think I get any pricing preferences either.

    I’ve never recieved a lunch invite, but I’ve never been flogged any additional product/service either.

    Yes I find it handy enough to enquire about ‘private bank’ with my other banks as well. I was previously a private client with citi, but transferred my cash holdings out and fell below their requirements so got kicked out of it. Which then just becomes painful when I need something, as I have to go through the main line, and they often have no idea what I’m trying to do.

    I honestly don’t think I’ve ever mentioned it at a bbq, or dinner, I think this may be the first time I have mentioned it in public. But then, I don’t consider myself an egotistical jerk either?

    I think you would get the same/better service through a good broker though. And your ‘manager’ wouldn’t change any where near as often. I think I’m on my 4th (or 5th) in as many years? I have never met the current or previous one in person (but I live overseas).

    Blacky
     
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  7. Peter_Tersteeg

    Peter_Tersteeg Finance broker and strategist Business Member

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    At this level it's an ego thing designed to stop you from shopping around. There's little that a private banker will do that a broker can't, and private bankers have a tendency to frequently roll over.
     
  8. aroe

    aroe Member

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    Thanks guys - seems like the consensus is pretty much it’s only worth it for the point of contact.... and stoking the ego at barbecues!!! :rolleyes::rolleyes::rolleyes:

    I think I’ll meet with them and see how it goes.

    Cheers.
     
  9. Blacky

    Blacky Well-Known Member

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    I’m pretty sure most of them move over to broking?

    They get to provide the same ‘personal service’ but with the benefit of giving their clients a range of options, rather than just one banks offerings.

    Blacky
     
  10. Harry30

    Harry30 Well-Known Member

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    With a bank like the CBA, goes anyone know the account management level above private banker? Seems to go premuim banker, then private banker. What is the level above that. Is it $20m in gross assets. There is a investment arm/stockbroker arm in CBA that only accepts clients with >$20m investmentable assets. And they charge 1% brokerage for the service. At those rates. I am happy to be cheap
     
  11. Marty McDonald

    Marty McDonald Mortgage broker Business Member

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    I have one friend who unfortunately for me deals with a private banker. I have asked why and his reasoning / example was when he is about to jump on a plane he can call his guy and ask for foreign currency to be left at the counter of his local branch. That and quick approvals for loans with not much scrutiny by sound of it. Not sure if that will all change now with RC.

    I have no doubt he is being ripped off on fees and rates but he likes the service. Hates having to deal with plebby things like a call centre etc.
     
  12. Terry_w

    Terry_w Mortgage broker licenced 4 tax/legal advice Business Member

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    He prob losing out about 5% on ever foreign current purchase!
     
  13. Paul@PFI

    [email protected] Tax Accounting + SMSF Business Plus Member

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    I have a Westpac personal banker. Two actually

    One is my laptop. The other is my phone. Both only annoy me if I allow it. And it costs me nothing. I can be anywhere in the world and it still works well. And mine works 24/7. Using these devices I can transfer funds between banks in an instant so using other financial institutions poses zero inconvenience. eg ING.

    Its like having a Amex black. Its all ego. The anodised titanium card says enough. The fee for a black is extortionate and sure you can call up and they will book your accom + flights etc but at a cost of $5K or whatever it is now its cheaper to have a great travel agent.

    Nothing is free. And a private banker will only sell one banks products
     
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  14. Illusivedreams

    Illusivedreams Well-Known Member

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    @aroe With Commonwealth Premiere banking.
    Last 10 or so years.
    Have had great service.

    Need a new account call your account manager need new loan call account manager.
    After hours no issues.

    Need a valuation done.

    Never cost me $1 more. Has been absolutely great..


    I have no affiliation to the bank at all.

    But it's been a great experience and with many transactions and advise I can highly recommend.

    Yes I have two insurance policies through Comminsure no days :), but they beat NRMA by 25% so in a way no harm
     
  15. dontask

    dontask New Member

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    With CBA at least, the main benefit of of Private Bank (not Premiere Bank) was that Private Bank had its own banking license separate from CBA. This meant that they could approve things or lend more than normal CBA bankers or Premiere bankers could.

    I wouldn't say its all **** factor. They do things a broker can't. Maybe looking at your insurance or estate planning needs with qualified people (like solicitors). They do try and sell you stuff, but often initial advice is free and quite tailored.