You are here: Home - Saving & Banking - News -

Low rates give rise to gripes and ‘annoyance’

Written by:

Low savings rates and low interest payable on current accounts are the two aspects of finance that annoy bank customers the most, according to a survey conducted by consumer group Which?

Nearly half of the survey sample said they were ‘annoyed’ at the interest rates offered by their bank, although only 20% have switched banks to take advantage of better rates.

Customer inertia and worries about administrative errors are given as the biggest reasons for people not switching their accounts.

The bulk of the High Street bank UK current accounts market is concentrated in the hands of four major players – Royal Bank of Scotland, HSBC, Barclays and Lloyds TSB.

Some of the UK current accounts offered by these banks pay as little as 0.1% interest, compared to the highest paying account offering 6%.

However, another survey conducted for a financial website said that public opposition to charges on UK current accounts might not be as great as some consumer groups make them out to be.

“I think that consumer pressure groups sometimes make a bigger fuss about issues than those issues truly warrant,” said ex-bank executive Peter Stanway.

“People do not open UK current accounts to save money, by and large, they open them to administer their finances and, overall, I think the Big Four do pretty well in this respect, although there is no room for complacency.”

Related Posts


Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

The essential Your Money guide to the April 2018 tax changes

As we head into the 2018/19 tax year, a number of key changes take place to existing policies while some new i...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co... Awards 2018

Now in their 21st year, our awards recognise the companies offering the best products and services to consumers

Money Tips of the Week

Read previous post:
Mobile call centre staff ‘lacking knowledge’

Many users of mobile phones in the UK are paying too much for their service because call centre staff at...