Now Funds Can Fly Between Institutions Financial Service Online (10/00) Vol. 5, No. 10 p.6; Makos, Jeffrey J.
In a bid to attract new customers, financial
institutions have started offering account transfers. The
service offers busy consumers the convenience and flexibility of
shuttling their finances between various financial institutions.
DLdirect, a Jersey City, N.J.-based unit of Donaldson, Lufkin &
Jenrette (DLJ), sparked the trend in August with the launch of
its DLJdirect Transfer Center. Using the Transfer Center,
customers are able to transfer their assets from accounts with
other financial firms into DLJdirect investor accounts.
According to Blake Darcy, CEO of DLJdirect, the service's primary
objective is to generate new customers while keeping old ones
happy. Darcy says the company hopes the offer will serve as an
incentive for customers "to switch to us." Following DLJ's lead
is CoVest Banc of Des Plaines, Ill., which recently announced
that it is in the process of developing a new service that will
make it possible for its customers to perform account transfers.