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The plain business of corporate lending was highly competitive and retail banking required expensive branch networks.
Their expensive branch networks and outdated technology saddle them with far higher costs than those of P2P firms.
Haute couture, as the most expensive branch of fashion, is often assumed to be the most snobbish.
Paris Haute Couture is the most exclusive and expensive branch of fashion – £50,000 for an outfit is not unusual – and business is booming.
The most obvious is the internet itself, allowing money transfer firms to offer their services efficiently and directly to consumers without having to maintain an expensive branch or office network.
A wholly online bank without an expensive branch network to maintain could lure customers away from the big players by charging them lower interest rates on their loans and paying higher interest rates on their deposits.
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But when rates start to rise, those that do not have expensive branches should be able to offer higher deposit rates to lure customers.Branches still have their uses.
(Mr. Reich said the reason banks have to charge those fees in the first place is that they have to maintain expensive branches. While its partner banks may have branches, BankSimple customers don't have access to them).
At the hospital and hotel later that week, Widger and Knight, both fans of The Hitchhiker's Guide to the Galaxy, hashed out a plan for a new telecommunications network that eliminated the old models associated with expensive private branch exchanges and voicemail systems and opened up the services allowing customization and cutting-edge technology.
It is trying to entice customers to abandon expensive bank branches and do most if not all of their banking on their mobile phones and tablets.Hello is far from alone in trying to wean customers from bank branches.
As expensive as banks' branch networks are, they provide advertising that money cannot easily buy.Another challenge comes from the limits of their business models.
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