MSE News: Dump Barclays fee-paying accounts after rate hike

Former_MSE_Natasha · 19 February 2010 at 4:35PM

"Hundreds of thousands of Barclays customers on fee-paying current accounts will see the cost of their overdraft hiked from April..."

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Dump Barclays fee-paying accounts after rate hike

Ambersuccubus · 19 February 2010 at 5:58PM

The advice that you should always pay for the services seperately seems a bit hasty to me - surely individual circumstances vary, and certainly on the cheaper of the paid for accounts, some of the benefits are worth looking at with a wary eye - extended warranties, mobile phone insurance, etc. Now, if you can get these cheaper, great, but surely you need to run the figures before making that decision...?

flyingscottie81 · 19 February 2010 at 6:33PM

I really like Barclays Premier, I like the service, use the extras a LOT, and like the personal touch that it provides. I am also rarely in Overdraft.... should I switch?

JoseChungsDoomsday · 19 February 2010 at 6:39PM

never realised Barclays had so many current accounts. Talk about awkward to keep track off.

wizk1 · 19 February 2010 at 7:03PM

What a poorly researched article. I have a Barclays Current account Plus and ungrudgingly pay £5 a month to get a range of insurances and card protection AND a £300 interest free overdraft. You failed to mention that the majority of their fee-paying accounts can provide an interest-free amount up to a certain value.

Urging people to ditch and switch without giving them the full facts is down-right irresponsible.

oakhouse13 · 19 February 2010 at 7:35PM

'as these accounts cost up to £300 a year before even paying for an overdraft, if you have one, you should ditch it'

And if your advice turns out to be wrong, will you reimburse me?

ajharris · 20 February 2010 at 1:43AM

wizk1 wrote: »

What a poorly researched article. I have a Barclays Current account Plus and ungrudgingly pay £5 a month to get a range of insurances and card protection AND a £300 interest free overdraft. You failed to mention that the majority of their fee-paying accounts can provide an interest-free amount up to a certain value.

Urging people to ditch and switch without giving them the full facts is down-right irresponsible.

I agree with what you have written. The five pound fee which you pay is easily justifiable with the three hundred pound interest free overdraft alone. Any insurances are a bonus. I pay just under thirteen pounds per month for my HSBC Advance account which only offers a ten pound overdraft, there are a few other perks but the absence of an overdraft is starting to make me question whether I am doing myself a disservice paying the fee.

chivers1977 · 20 February 2010 at 8:19AM

I would also state that to lump in the bank profits and bonuses is sensationalist. The retail bank staff did not get £2.7billion bonuses. As the MSE writer will be aware the profits/bonuses of the investment bank are separate from the retail bank profits/ incentives which are always v significantly lower.

Also I would add that ask how many of those A&L customers who went to them for the 0% interest rate are actually happy with the service that they receive!

I must declare that I am Barclays staff and have previously declared this to the MSE board guides. I believe that MSE is a great site. I feel that I must point out that there the quality of service between some of the big banks and Santander is massive. Also the OD rate of the added value accounts is much cheaper than the HSBC interest rates even after the rise.

Everyone considering changing needs to consider what is best for their personal circumstances including the rate, whether they actually use any of the added value services, their use of the internet and telephone banking services....just to say ditch is not correct for all.

hippey · 20 February 2010 at 3:18PM

Most added value current accounts ARE worth it IF you use the services provided.

Yes, there are people out there who have added value accounts and they don't use any of the facilities and in many cases those people were mis-sold them by bank staff.

I have the Lloyds Premier Account, for £25 (or less in some cases) I have used the Travel Insurance for my US trips, the Airmile Travel service (there are similar out there) but I use the free meet and greet car parking and the free airport lounges, my iPhone is covered (should be £12 with orange), Home Emergency Cover (not used yet) & I have the Premier Duo Amex card (you get more airmiles) so I am happy to pay for these items and I'm sure if they were seperate they would be more. And the first £500 o/d is free (the only reason I use it!)

Like anything it's horses for courses but I think MSE is wrong to say they are bad. But people should choose carefully.

brookerbabyisababy · 20 February 2010 at 4:13PM

At the very least to justify the overdraft rate increase Barclays should increase the rate on their savings products. That way Barclays could be seen to be fair and reasonable. But that has not happened.

getmore4less · 20 February 2010 at 4:49PM

Obviously failed to do some basic research and chose to sensationalise for a story.

The great thing if you have a joint acount you both get all the benifits for one payment so two lots of Full EU RAC and worldwide annual travel insurance handy if you want to travel seperately.

We have an account and only use it for the benifits.

The travel insurance also has the benifit that thery are on a rolling contract so only expire when you stop paying, no problems with cover across renewal that you get with normal annual policies.

MSE News: Dump Barclays fee-paying accounts after rate hike

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