What will my old bank do if I deposit my salary into indó?

Hopefully, your old bank will be sad to see you go but will still understand that you don't want to pay them anymore to use your own salary.

However, what your old bank absolutely cannot do—according to an agreement it made with the Competition Authority* about 10 years ago—is to punish you by, for example, increasing interest rates on your loans, charging you additional fees (on top of the extra fees you were already paying), or to demand and immediate repayment of your loans.

Banks are obligated to promote competition in the financial market, and under the aforementioned agreement, this means they should actually be making it easier for people to transfer their salary accounts elsewhere.

So, you are free to deposit your salary to indó, and say goodbye to all the bull$h!7 from the old banks.

*The three main points that the Competition Authority lists in their resolution are:

• Banks are to reduce the costs incurred by customers when switching banks.
• Promote effective competition from individuals and small businesses on Icelandic banking providers.
• And finally, they must counteract market conditions that favor tacit coordination in the banking sector.