Disgusted

tarves57

I can't believe what I just received in the mail.
An invitation to take out an A&L "over 50s" savings account with 5% annual interest.
Maximum savings amount at that rate is £2500.
So... save £2500 and you get £125 interest after one year. Sounds good?

But wait.....
Take away the "small fee" of "only" £10 a month and what are you left with?
£125 - (12 x £10) = £5!

Usually I'm not that clever with my money, but if I can work this out, then I can only call this offer an insult to people's intelligence!:mad:

agsnu

Actually I think you'll find it's a current account.

tarves57

agsnu wrote: »

Actually I think you'll find it's a current account.

Whatever kind of account... the point I'm making is that they are making it sound like a good thing - and it ain't!

opinions4u

Linky here for product details.

One of the benefits is:

Relax with worldwide annual multi-trip travel insurance up to the age of 79.

• If you have a joint account, both account holders can have this.
• Be insured for up to 31 days for each trip with multi-trip cover.

For many over 65s, this is superb value.

Even for those between 50 and 64 it may be decent value, depending on how much travelling you do.

If the account isn't right for you, don't buy it.

But don't think it wouldn't be right for many others.

(Apart from being too young for it, my main concern would be the drop in rate to 1% after 12 months).

marshall2k

I'm sure A&L's response would be that £10 a month is a small price to pay for:

- Worldwide travel insurance for up to 31 days at a time.
- Providing up to two private outpatient consultations and up to £750 worth of outpatient diagnostic testing per year.

Not sure whether that is good value at all but the fee isn't just for accessing the 5% rate!

G_M

Lots of discussion about the pros/cons of this and other monthly-fee current accounts over on the current account forum. I agree it's not attractive, but this account is not just about the interest you earn.

Money_Grabber13579

And then tax of the tax as well, I think you'll find that you'll be paying money for having this account and there'll be no interest at all!

withnell

This targets a different market to the normal "fees" current accounts - most of them wouldn't cover someone over retirement age for the travel insurance

brewerdave

Just bear in mind that the travel insurance element of these type of offers rarely (if ever) covers any pre existing medical condition - and there can't be many 60+ ADULTS who aren't taking some medication or other !!!

aspiration_2

I think the 'World Wide Travel Insurance' will be changed to 'Europe only' after the next upgrade/change of this account by A&L !!!!