How to Choose the Best Current Account
- Author Laura Ginn
- Published November 22, 2013
- Word count 689
Although any current account serves much the same purpose to tend to your day-to-day banking needs, there are some important differences to consider when choosing one. Thanks to the new Current Account Switch Guarantee service, launched in September, 2013, it is now easier and quicker than ever to switch bank accounts. The new automated process allows you to switch to a new bank account in seven working days, or if you so wish, on any day after this. Up until the day of the switchover, you will be able to continue using your old current account as normal. During the process, any direct debits, standing orders or salaries should be transferred automatically to the new account.
While now is probably the best time of all to switch bank accounts, you should first determine your requirements and see if you can benefit by changing over to a new bank or building society. The following provides some useful tips on choosing a better current account.
Monthly Fees and Packaged Accounts
In the UK, standard current accounts generally don't charge any monthly fees to keep them open. You may or may not receive an overdraft facility, depending on your credit score. Bank accounts which charge monthly fees normally do so because they provide a range of extra features which may or may not be useful to you. These are known as packaged accounts, and they often include things like insurance coverage for travel and car breakdowns. While it can be convenient and cheaper to have these services included with a packaged account, this might not always be the case.
High-Interest Accounts
Interest rates on balances held in current accounts have long ranged from nothing to negligible in most cases. However, there is now a wider range of options on the market, with a few current account deals presenting you with an opportunity to earn a worthwhile amount of interest on your money. If you are in the habit of keeping a large amount of money in your current account and you never, or almost never, go overdrawn, then a high-interest account might be just what you are looking for. Nationwide is presently offering the best high-interest rate current account, paying rates of 5% AER, subject to certain terms and conditions.
Student Bank Accounts
Once you leave college and start preparing for university, one of the first things that you will need to do is find an effective way to manage your finances and make your money and your borrowings work for you in the best way possible. Student bank accounts feature special features aimed for those going on to higher education, such as generous interest-free overdraft facilities and memberships to various student-orientated discount schemes. Most of the banks and building societies in the UK provide accounts tailored specifically to students and graduates. Overdraft facilities offering credit limits of up to £3,000 are widely available, subject to your individual status.
Basic Current Accounts
If all you need is a basic current account with no additional features, no monthly fees and no high overdraft facility to gather debt on, then a basic bank account may be precisely what you need. Such bank accounts still provide you with everything you need for managing your day-to-day finances, including making direct debits and standing orders and withdrawing money on your debit card both at home and abroad.
Customer Service and Account Accessibility
One of the common reasons to switch bank accounts is to escape poor customer service. Particularly since the introduction of the new switching service, many people are ditching the UK's largest banks and going for something different. If service is particularly important to you, then you should spend some time reading customer reviews to determine whether or not it is worth switching. One UK bank which has consistently topped the customer service polls in recent years is First Direct. They're even offering a £100 cashback reward to all new customers who open a current account with them.
Finally, you will need to consider accessibility options. Consider how you prefer to manage your accounts. Do you prefer online banking, telephone banking or dealing with someone face-to-face at a local branch?
Laura Ginn appreciates that many people stay with the same bank throughout their entire life, never seeing the need to switch bank accounts. For those looking to make their money work harder there is lots of information on different accounts at uSwitch.com.
Article source: https://articlebiz.comRate article
Article comments
There are no posted comments.
Related articles
- Fintechzoom IBM Stock: Powerful!
- Building a Professional Website on a Budget: Using Free Tools like WordPress and AI
- Navigating Vietnam's Tourist Immigration: Challenges and Solutions
- Bitcoin FintechZoom
- Google SEO Updates 2024 Jackyan
- Cost-Effective Gardening: Tips for Enhancing Your Garden on a Budget
- Steve Wozniak: WOZ
- Keeping Your Garage Door Running Smoothly: A Guide to Drum Replacement with GarageDoorMagnolia
- When Your Garage Door Goes Rogue: Off-Track Repair in Tacoma and Seattle
- Same Day Service? Kiki Garage Door Repairs Your Garage Door Fast in Sammamish, WA
- Cost-Effective Strategies for Business Owners in 2024: Maintaining Efficiency Without Reducing Staff
- Navigating Compliance for Personal and Professional Contributions
- Smart Savings: The Benefits of Buying Out of Season
- Youtube To MP3 Converter -- Free
- The Benefits of Outdoor Training
- A Fashionable, Artistic, and Modern Adventure: Three Days in Paris
- Why buy stock footage on mediaCastpro? Here are the benefits.
- GoPDF An Online PDF Editor Releases Mobiles Apps Compatible with iOS & Android: A Faster Solution for PDF Editing
- The Best AI Logo Generators in 2024
- How to prepare for a house clearance, a few tips from experts
- Adapting to Rising Parcel Rates in 2024 with Business Central and Order Ship Express
- Not All LED Lights Are Created Equal
- Zoviz Launches New Solutions Day by Day to Users as An AI Logo Maker
- Campervan Maintenance: All You Need to Know
- Fighting the Silent Epidemic: Safeguard Your Child's Future with Vitamin D Screening at KinderCure | Dr. Garima Mengi
- 5 Inspiring Stories of Women Who Achieved Gorgeous Lashes with Careprost Eye Drops
- Is Your Finance Strategy Ready for ERP Software?
- A Beginner's Guide to Starting a Career in Web3
- The Vital Role Of The Courier Industry: Connecting People, Businesses, And Communities
- Learning From Successes And Setbacks: The Importance Of Post-Bid Analysis In Professional Bid Writing