- 'Exclusive' deals for existing customers are not always the best available
- Shopping around for the best deals can save consumers a packet
However, Britain's number one comparison site, moneysupermarket.com is warning that failure to shop around could be costing consumers dearly as no bank offers the best all round deal on all products.
In the current climate, consumers should focus on getting as much bang from their buck as possible. This means Brits checking their rates regularly, shopping around and making sure their money is working as hard for them as possible. A little effort really can go a long way and consumers could potentially give themselves a large pay rise with just a few hours work, which could be used to boost their savings or help pay down their debts quicker.
It's extremely rare that one provider can offer the most competitive products across all areas and so it's vital that consumers check their rates against other providers. For example, anyone using Halifax's best buy Reward Current Account will get an excellent deal on savings products*, but would be offered a loan rate of 9.9 per cent, far higher than the 7.6 per cent offered to new customers by Nationwide, available exclusively through moneysupermarket.com.
However, despite providing an excellent deal on loans, with Flex Account customers receiving a market leading of 7.5 per cent, Nationwide only offers it's customers 2.00 per cent on its e-savings plus account - while the current market leading deal is the Post Office's Online Saver account paying 2.90 per cent.
Kevin Mountford, head of banking at moneysupermarket.com said: "There is a misconception amongst consumers that they will get preferential deals from their current provider when taking out a new financial product. However, a brief look across the high street banks reveals that it is very much a case of swings and roundabouts, with no single provider offering best buys across the board. Consumers increasingly need to be aware of what is available from other banks and building societies and scour the marketplace to ensure they secure the most competitive products.
"It's understandable that people want to keep their finances simple and the convenience of doing all their banking with one provider is often more important to them than securing the market leading rate for a loan or credit card. For others, they prefer the service provided by their bank but it still amazes me how many people are dissatisfied with their bank, but still remain loyal. Banks rely on this apathy from their customers and during this difficult economic period, consumers need to be generating as much value from their money as possible. We would urge Brits to get online, review their finances and avoid languishing on inferior rates. "
Exclusive rates for existing customers (mainly current account)
|
Provider |
Credit Card* |
Loan* |
Savings* |
|
Halifax |
0% for 9 months for Balance Transfers
0% for 12 months for Purchases |
Typical 9.9%
for loan between £7,000 and £15,000 |
An extra 0.20% for 12 months on a range of variable rate saving accounts, including current top 5 best buy Halifax Web Saver (2.80% including offer) |
|
Lloyds TSB |
n/a |
Personal loans available to Current Account customers only, based on personal pricing |
eSavings Account - 1.60% (2.50% on balances of £10,000 or more)
Monthly Saver - 5.00% |
|
Santander |
Santander Zero Card
Exclusive offer of a 0% balance transfer fee |
n/a |
n/a |
|
NatWest |
n/a |
Typical 11.4%
for loan between £10,000 and £25,000 |
Advantage Reserve - Tiered rates from 0.10% |
|
RBS |
n/a |
Typical 11.4%
for loan between £10,000 and £25,000 |
Royalties Saver Account - Tiered rates from 0.10% |
|
Barclays |
n/a |
Typical 9.9%
for loan between £5,000 and £25,000 |
e-savings - from 0.10% |
|
Nationwide BS |
0% for 15 months for Balance Transfers
0% for 3 months for Purchases |
Typical 7.5%
for loan between £7,500 and £14,999 |
e-Savings Plus - 2.00% |
|
HSBC |
0% for 15 months for Balance Transfers
0% for 3 months for Purchases |
Typical 9.9%
for loan between £7,000 and £25,000 |
Regular Saver - 4.00% for Bank and Graduate Account
8.00% for Premier, Advance and Graduate Advance |
Top Easy Access Account (£1) - Post Office Online Saver 2.90% AER
Top Regular Saver (£25) - Norwich & Peterborough BS Family Regular Saver Account 5.00%
Top Credit Card - Barclays Platinum Credit Card 0% for 16 months on Balance Transfers
Top Loan for £7,500 over 5 years - Nationwide BS 7.6% (New Customers) 7.5% (Existing Customers)
- Ends -
Notes to editors:
*Existing Halifax Customers are offered an extra 0.20% for 12 months on a range of variable rate saving accounts, including current top 5 best buy Halifax Web Saver (2.80% including offer)
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