Low Interest Rate With Current Accounts
Consumers are being advised to shop around for the best current account deal as almost two-thirds of banks pay just one per cent interest or less while others offer up to five per cent.
Nearly two-thirds of current accounts pay customers in credit just one per cent interest or less, according to new research.
Figures compiled by comparison site MoneyExpert.com show the average credit interest rate for a current account is around 1.2 per cent but 62 out of 99 accounts pay one per cent or less.
Coventry Building Society and Nationwide Building Society have also upped interest rates for customers who stay in credit.
"Current account rates remain inexplicably low with most firms paying customers next to nothing in interest when their accounts are in credit. An interest rate of 0.1 per cent is simply not justifiable," commented Sean Gardner from MoneyExpert.com.
"There are plenty of good deals out there though and customers should make the effort to change their account if they are unhappy with their bank."
Top paying current accounts include Halifax and Bank of Scotland's high interest current account at five per cent, on sums of £1 or more, Coventry Building Society's first account at 4.98 per cent and Alliance & Leicester's premier direct current account paying 4.89 per cent.
