Watch out: Alliance & Leicester current account max balance

barefootmel

I was just about to apply for the A&L current account with the high interest rate, as recommended for people in credit by the last MSE email,
BUT...
The 6.5% AER only applies to balances upto £2500. If your balance is over that, you get a measly 0.1%!!!

KTF

Thats right and they dont try to hide it. Its to stop people using it as a savings account.

mleonard79

Hi Barefootmel,

As KTF says this is a well-advertised aspect of the accounts and entirely understandable as they are current accounts. I can't think of any banks that offer high interest rates on their current accounts that don't do this (ie Bank of Scotland is exactly the same only offering their rate up to £2,500 and Nationwide's only applies to the first £3,000.) If you have more than £2,500 going into your account every month then you really should look at savings accounts to send the excess to though.

Regards

Michelle