Current Accounts

Over a quarter (27 per cent) of British couples could be missing out on higher credit interest rates by not pooling their current account cash, according to new research from Lloyds TSB.

David Black, Principal Consultant of Banking for Defaqto, comments on The Co-operative Bank's introduction of a pick'n'mix current account: "While some providers are now offering a range of added value current accounts - from entry level to premium - this has only partially addressed the issue that different customers have differing requirements in terms of incentives."

The Co-operative Bank has launched the UK's first ever packaged current accounts that offer customers an opportunity to choose benefits to suit their personal needs.

Current account customers are being urged to go online within the next 7 days and take advantage of Alliance & Leicester's £100 incentive by switching to its Premier Current Account before the offer ends on 29 September 2008.

Research by Defaqto has identified 32 different incentives that are on offer from added value (paid for) current accounts.

No hidden catches, no complicated tiers paying minimal interest, no unwanted connected accounts - simply a competitive rate on every single pound.

HSBC has relaunched HSBC Plus to offer even better service, greater value and more relevant benefits to people looking for more than just a current account.

After the first euphoria of graduation and the heavy partying is over, it is time for recent graduates to come back down to earth and think about the future, including getting their finances sorted.

Yorkshire Bank has announced the launch of Signature Current Account, a new account to help busy professionals manage their finances.

Sean Gardner, MoneyExpert.com, said: "HSBC's new interest-free current accounts are another blow for customers and hardly compensated by ubiquitous, low value features such as ID theft assistance.

HSBC is launching two new fee-free current accounts that pay no credit interest but offer customers a range of enhanced features.

Commenting on the new Vantage current account from Lloyds TSB, Kevin Mountford, head of savings and current accounts at moneysupermarket.com, said: “Banks are continuing to pull out all the stops to get customers through the door.

Michelle Slade, analyst at Moneyfacts.co.uk, comments: "In order to be able to pay a high rate of credit interest on their current accounts, the majority of providers limit the amount on which they will pay the high rate at around £2.5K. On any balance over this, the rate drops significantly, usually to a miserly 0.10%.

While Premier League football clubs switch players each season to get the best results, research from Alliance & Leicester Current Accounts reveals that six in ten (58%) UK banking customers have never switched their current account.

Sean Gardner, founder of MoneyExpert.com, said: "The new Vantage account from Lloyds TSB is an innovative addition to the current account market.