I lived in the UK for 2 years, and let me tell you, despite a lot of things that are annoying over there, being able to transfer money easily is one thing they do well.
All you have to do is give someone your bank account and routing numbers, and they can send you money, for free. Your landlord, friend, etc. And yes, it's free. Why do we have to let Paypal make millions off of this lack of capability in the US?
For all the people in the US who worry about account security, isn't it funny, they don't seem to have problems with this system where you give your account number to someone else. Did you ever realize anyway, that every time you write someone a check, you're giving out your account numbers already? And the fact that we rely on paper checks that take days to be processed opens up way more fraud opportunities than electronic means.
The best thing was that it must have been mandated some time ago that every UK bank offer this, so every bank has to have free transfers in this way. I think it should have been required for the US banks in their bailouts -- as long as we're helping them out, they have to get rid of a system that does nothing but cost consumers fees. Think about it, if you could choose anew, would you have people transfer funds by writing pieces of paper (which by the way, cost like $0.20 cents each if you've looked at the cost of ordering checks) that you have to go the bank to deposit, take several days to clear, and might bounce? Why are we tolerating this middleman system? Why do we tolerate $35-a-pop overdraft fees as a surprise, when clearly they have the means to tell you right away if your balance is insufficient? Boo hoo, the banks will lose some profit from the decline in overdraft fees. Well, they shouldn't even be making huge profits off of those shady fees in the first place.
I read that there's one bank which lets you take a iPhone photo of checks someone gives you, and send in that image as the deposit. Or other banks that let you scan checks in at home and send them in via their website. At that point, why are we even having the checks? cmon people, let's not put up with this bullshit any more. Give us free transfer capability, honest information on our accounts, and no more idiots writing checks in supermarket lines. What, did you drive up in your horse and buggy?
sorry, this topic makes me grouchy about how behind the US is, and apologists who think it's fine and want to cut productivity-sucking banks any slack over it.