Wednesday, 1 May 2013

A Saving Of £162.00 / Annum

Please, please, please check your bank statement every month.

I had not done this for a while. Then on Saturday, I popped into my bank and printed off a statement from my bills current account. Whilst idly looking through the debit column I saw a figure of £13.50. I looked across and saw it was for an account fee.

Swiftly marching to the counter I asked why I was paying this amount each month. I could have sworn, in fact I am certain I stopped this last year. However, I have no proof and it is entirely possibly it was for my other current account with a different bank.

My £13.50 / month gave me the following benefits
  • £250.00 “free” overdraft.
  • Mobile phone insurance
  • Travel insurance
  • Roadside recovery
  • Card insurance

Lets look at that a bit more closely
  • £250.00 “free” overdraft. It is not free if it is costing me £162.00 per annum.
  • Mobile Phone Insurance – I have checked my contents insurance previously. It covers my mobile phone with a £100 excess. In 16 years of owning a phone I have never lost a phone.
  • Travel insurance. I go on holiday on average 1/year. Insurance costs me £15/trip from the post office.
  • Roadside recovery. Less than £20 per year with Green Flag.
  • Card insurance – good luck if you find / steal my cards. I do not keep the credit cards with me in case of failure of self discipline and the debit cards have rarely more than a few pounds in them.
Seems a lot of smoke for £162.00 per year.

It is cancelled now. Interestingly, as I cancelled it the Teller informed me the interest free overdraft would also be available on a basic account which has no monthly fee. For most people the overdraft would be the most useful part.

Bloody Banks!

Frugally yours

1 comment:

  1. I had a similar account which had "benefits" like this too. I soon cancelled it and have just a basic account which gives me everything I need! Bloody banks!!


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