14 December 2017
visit http://response.ncr.com

ING launches UK direct bank

12 May 2003  |  6589 views  |  0 ING Group DirectCafe

Dutch bank ING has launched its phone and Web banking operation, ING Direct, in the UK with a competitive savings account offering interest rates of 4.3%.

Announcing the launch - the eighth country for the direct banking arm of the Dutch financial services firm - Ewald Kist, CEO of ING Group, says: "This launch is set to continue the global success of ING Direct, which has already attracted over 6 million customers worldwide and has funds entrusted of well over EUR70 billion."

He says the business worldwide is currently recruiting 300,000 new customers each month.

The group intends to replicate the successful formula that has won it business in other territories, beginning with a no-frills savings account as an entry product. At 4.3% AER, the ING Direct rate add three basis points to those of its nearest rivals Halifax and Northern Rock which each sport 4% headline rates for Internet-only accounts.

After reaching a minimum customer base, ING Direct business units complement the savings account by cross-selling a focused range of other financial products concerned with wealth accumulation: mortgages, mutual funds, e-brokerage, pension and life insurance. The trigger for cross-sales is unilikely to be breached until early next year in the UK.

ING Direct was first launched in Canada in May 1997 and is now also active in Australia, Spain, the United States, France, Italy and Germany (under the name of DiBa and the recently acquired Entrium). As the business grows, the Web and phone-based operation is typically supplemented by a network of ING Direct cafes, providing a light-touch physical presence on the high street.

The combined operations of ING Direct in seven countries reached profitability in the fourth quarter of 2002, a year earlier than expected. Five of the seven countries (Canada, Australia, Spain, the USA and Germany) contribute to ING Group's profit. As in other installation, the UK operation uses Sanchez' Profile banking system, providing a single consolidated view of customer accounts across the bank.

ING Direct UK is based in Reading and should provide formidable competition to Egg, an equivalent direct banking operation majority-owned by insurance group Prudential.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

ING launches person-to-person payment system

ING launches person-to-person payment system

08 May 2003  |  8978 views  |  0 comments
Egg scales back international ambitions as French show resistance

Egg scales back international ambitions as French show resistance

24 April 2003  |  3683 views  |  0 comments
Abbey National sees online mortgage applications soar

Abbey National sees online mortgage applications soar

10 April 2003  |  5315 views  |  0 comments
UK consumers more likely to bank than shop online

UK consumers more likely to bank than shop online

01 April 2003  |  4939 views  |  0 comments
Almost 60 million European consumers bank online - Datamonitor

Almost 60 million European consumers bank online - Datamonitor

28 March 2003  |  3797 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.solutions.lexisnexis.comvisit www.niceactimize.comvisit www.aciworldwide.com

Top topics

Most viewed Most shared
Saxo Bank's 'Outrageous Prediction': Bitcoin to peak at $60k next year before spectacular crashSaxo Bank's 'Outrageous Prediction': Bitco...
12247 views comments | 7 tweets | 7 linkedin
Deutsche Bank paper hails 'huge' blockchain potentialDeutsche Bank paper hails 'huge' blockchai...
9568 views comments | 16 tweets | 22 linkedin
PSD2: Laying the regulatory foundation for a new age in paymentsPSD2: Laying the regulatory foundation for...
8192 views comments | 17 tweets | 36 linkedin
Santander UK poaches Barclays innovation chief Michael HarteSantander UK poaches Barclays innovation c...
7405 views comments | 8 tweets | 17 linkedin
Alior Bank to use Open API platform and accelerator to create fintech marketplaceAlior Bank to use Open API platform and ac...
7296 views comments | 20 tweets | 11 linkedin

Featured job

Competitive base, commission, benefits
London, UK

Find your next job