Santander extends eligibility for Zero current account

From 4 January 2011 Santander is to make its market-leading fee-free Zero current account available to customers who hold £10,000 or more in savings with Santander.

Until now, Zero - which rewards customers who use Santander as their main bank - was available to customers who have a mortgage or an investment product with Santander, so the move to extend eligibility to savings customers now makes the Zero account an option for around 70 per cent of the UK's adult population.

In addition, Santander is bringing back its switching offer from 4 January 2011 giving UK consumers the opportunity to switch their main current account to Zero (or the Preferred In Credit, Reward and Premium accounts) using Santander's hassle-free switching service and pocket up to £100 in the process.

The Santander Zero current account

Has no fees on arranged or unarranged overdrafts.  Interest on overdrafts is charged at a competitive rate of 12.9 per cent EAR

Offers free ATM access around the world which means customers who use their Zero Visa debit card will not be charged for using ATMs

Does not charge customers a fee for making purchases overseas when they use their Zero Visa debit card

Offers a market leading in-credit interest rate of 5 per cent on balances up to £2,500 for customers who pay in £1,000 a month (for the first 12 months).

Nici Audhlam-Gardiner, Santander's banking director, said: "It's important that customers who bank with Santander can take advantage of the benefits we offer, which is why we're opening up our Zero account to even more people.  This account is unique in that it doesn't charge fees for being overdrawn, or for using ATMs overseas, or for making purchases outside the UK.  In addition it pays an inflation-beating 5 per cent in-credit rate of interest on balances of up to £2,500 for the first year.

"If you're one of the millions of people who already has a mortgage, investment or savings over £10,000 with Santander then you should see what Zero can offer you as a loyal customer.  And if you switch your current account to Zero, we'll give you £100." 
Thousands of customers switch to a Santander current account every week using the bank's dedicated switching service which takes the hassle out of switching and provides a seamless transfer for those who switch.

Using Santander's switching service customers can

Easily transfer all their existing standing orders, bill payments and direct debits from their old bank to the new Santander current account

Expect to match their existing overdraft (up to £5,000, depending on the customer's circumstances)

Receive a 0 per cent EAR arranged overdraft for the first four months (depending on their circumstances).

The £100 cash bonus is available on Santander's Zero, Preferred In Credit Account, Premium and Reward accounts when a customer switches their main current account to Santander.