Are premium bank accounts worth the cost?
By admin • Jun 7th, 2008 • Category: Banking
Banking in the UK has come a long way over the years, and these days consumers in the UK can enjoy a choice of bank accounts offering a range of perks. In the past the average consumer had a standard bank account and very little in the way of benefits of perks. However, most consumers in the UK can now select from a choice of bank accounts from both the high street and from Internet banks.
One of the accounts available to consumers is known as a premier account, although individual banks have their own names for their premier accounts, such as the Gold Account from Lloyds Bank or the Additions Account from Barclays. These accounts can prove very useful and economical for some people, but it does depend upon your individual circumstances and lifestyle – not everyone will benefit fully – or at all – from this type of premier account so it is important to consider how much the fee for the account is and how many of the benefits will actually benefit you personally.
The average cost of the premier account is around seven pounds, with some banks charging a small fee of around five pounds each month and others charging ten pounds or more per month. For many people the fee is well worth it because of the benefits that they receive as part of the package. Those that tend to travel abroad regularly or own a car could enjoy benefits such as free travel insurance and free breakdown recovery. Other benefits include selected discounts, preferential borrowing rates, commission free travel money, card protection services, interest free overdraft facility, shopping discounts and services, extended warranties, insurance discounts, legal services, and more.
The benefits offered with this type of account can vary from one bank to the next, and it is important to check the documentation prior to signing up so that you can ensure that you will be getting value for money and the services that you get as part of the premier account will justify the fees charged by the bank each month. Of course, if you do upgrade to a premier account and you then decide that the benefits are not really suited to you, the account can be downgraded again to a standard account simply by contacting the bank.
