Current accounts
A current account is probably the most widely used accounts people will have, it lets us make all the day-to-day banking transactions that we need.
Paying money in when we want and setting up standing orders and direct debits to pay bills such as rent, mortgages or utility bills.
Some Accounts also let you go overdrawn if you don’t have sufficient funds to pay bills or need money urgently, Just to point out thought that you should always Prior agree this facility with your bank first, as fees for unauthorised Overdrafts are much higher than for authorised overdrafts, you tend to pay a set fee then a % of interest for each day you are overdrawn
Paying money in when we want and setting up standing orders and direct debits to pay bills such as rent, mortgages or utility bills.
Some Accounts also let you go overdrawn if you don’t have sufficient funds to pay bills or need money urgently, Just to point out thought that you should always Prior agree this facility with your bank first, as fees for unauthorised Overdrafts are much higher than for authorised overdrafts, you tend to pay a set fee then a % of interest for each day you are overdrawn
Advantages
-Easy access
-A wide range of paying in methods. -A Debit card to pay for your purchases online or instore. |
Disadvantages• Often 0% interest on balances
•Some current accounts charge a monthly fee |
Extras & Add onsA lot of the big banks now offer "Gold" or "Platinum" accounts as an upgrade over standard accounts. Check what is include in this fee as for some people it may be worth adding. These can include breakdown cover mobile insurance and travel insurance. But work out the costs compared to buying these on their own as sometimes I can be a lot dearer
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Latest Developments
One of the most recent developments into current accounts is Applepay. Applepay is great if you have an iPhone 5s onwards. It lets you pay with your phone if the store accepts contactless payment unlike cards there's no financial limits with Apple pay
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What to look for when choosing a current account
When it comes to choosing a current account the choice is quite baffling, some things to consider, how do you plan on conducting you financial matters? Do you like to do them face to face in a branch, over the phone or maybe you’re someone who prefers online. Which provider meets your own requirements?
My own current account provider recently shut down my local branch, if I didn’t work in the city centre this could have caused issues for me if I had problems with direct debits or needed to sign forms. You may want to check how close your local branch is before choosing a provider.
Do you do a lot of your transactions online? Check your potential provider’s online credentials. I personally like to bank online. I can easily log on, see how much money I have, what’s come out and to who and keep a log of my finances. Not all providers provide an easy to use service so you may want to investigate this first.
Do you have a smartphone or tablet? Some of the major banks have very good apps developed for the mobile device market now. You can see your money on the go and do a wide range of simple transactions with the touch of a button.
I got a new iPhone recently with finger print recognition, I can open my app, scan my finger print to log in and see my account balance right there. Then I can chose a few options view my recent transactions, transfer money to another account I have with the same provider (great if you have a savings account with the same company) Make payments to my regular payees, if you want to add new ones you need to log into online banking on a pc to do this. You can also send money to people via their phone number, say someone lends you a tenner for that cinema tip, simply log in send it to them and no more nagging its done straight away! You can also monitor and cancel direct debits and any standing orders you have set up.
If you search for "Best current account" on Google you'll be given an up to date list of what the Banks are offering at that point. Some offer you a fixed amount of money to Join, some a guaranteed amount each month if you deposit an amount of money that meets their criteria. This changes too often for me to do a table on, what I will say is shop around for the best deal and read the small print! no point having a current account that earns you high interest but you have to leave a certain amount of money in all month as a current account is an in and out type of account. Do your research, Money supermarket is an excellent resource for this.
My own current account provider recently shut down my local branch, if I didn’t work in the city centre this could have caused issues for me if I had problems with direct debits or needed to sign forms. You may want to check how close your local branch is before choosing a provider.
Do you do a lot of your transactions online? Check your potential provider’s online credentials. I personally like to bank online. I can easily log on, see how much money I have, what’s come out and to who and keep a log of my finances. Not all providers provide an easy to use service so you may want to investigate this first.
Do you have a smartphone or tablet? Some of the major banks have very good apps developed for the mobile device market now. You can see your money on the go and do a wide range of simple transactions with the touch of a button.
I got a new iPhone recently with finger print recognition, I can open my app, scan my finger print to log in and see my account balance right there. Then I can chose a few options view my recent transactions, transfer money to another account I have with the same provider (great if you have a savings account with the same company) Make payments to my regular payees, if you want to add new ones you need to log into online banking on a pc to do this. You can also send money to people via their phone number, say someone lends you a tenner for that cinema tip, simply log in send it to them and no more nagging its done straight away! You can also monitor and cancel direct debits and any standing orders you have set up.
If you search for "Best current account" on Google you'll be given an up to date list of what the Banks are offering at that point. Some offer you a fixed amount of money to Join, some a guaranteed amount each month if you deposit an amount of money that meets their criteria. This changes too often for me to do a table on, what I will say is shop around for the best deal and read the small print! no point having a current account that earns you high interest but you have to leave a certain amount of money in all month as a current account is an in and out type of account. Do your research, Money supermarket is an excellent resource for this.