Finding the Best Bank Account
Now more than ever it’s important to ensure you have the right bank account for your needs, it’s been very easy for us all over the last four years to criticize the big banks for their massive failure to keep a grip on things. After all they have lost us billions of pounds while all the time charging us ridicules sums of money for things such as late payment charges and interest rates on rip of credit cards etc. If you have a bank account I can guarantee that at some point they have set your blood to boiling point with some error or overcharging, at least once during your relationship with them. So loyalty is not something you should consider when you think about switching banks, the only thing you need to think about is what is the best account for you, take a look at the table below the lovely people at Love Money have put together a table of the best bank accounts available today, you may even get yourself a cash incentive for switching too.
| Account |
Interest rate |
Overdraft rate |
Conditions |
Bonus/Promises |
| Santander Preferred In Credit Rate Account |
5%AER fixed for 12 months on the first £2,500. 1%AER thereafter. |
0%EAR for 12 months.
Fees charged at 50p/day for 10 days thereafter (£5/day if unauthorized overdraft). |
£1,000/month must be deposited or £2/month under-funding fee applies.
All direct debits must be switched. Not applicable if Santander, Alliance & Leicester or Cahoot current account has been held in the last 3 months. |
£100 when you switch using their switcher service.
A further £200 in bonuses applicable for existing Santander mortgage holders with £10,000 to save. |
| First Direct 1st Account |
No interest paid. |
0% on first £250. 15.9%EAR thereafter. |
£1,500/month must be deposited or balance of £1,500 held or you’ll pay £10/month. |
£100 if you switch using their switching service, £100 more if you’re not happy 6 months later. |
| Halifax Reward account |
No interest paid. |
£1/day on first £2,500 if agreed, £2/day over this sum. £5/day if not agreed. |
£1,000/month must be deposited. |
£5/month payable whether in credit or overdraft. |
| Nationwide BS FlexAccount |
No interest paid. |
18.9%EAR. |
£750/month must be deposited. |
Free European Travel Insurance.
Will pay £100 if direct debit companies are not contacted within 10 days. |
| Lloyds TSB Classic Account |
£1+ (1.5%AER)
£1,000+ (2%AER)
£3,000-£5,000 (3%AER) |
19.28%EAR with £10 free buffer. |
£1,000/month must be deposited. |
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