13 Sep 2010 10:00 PM:
Santander Zero current account
Can I clarify some confusion on this thread about the Santander current account. I have always used Nationwide because it did not impose charges on currency transactions. Following their change of approach I have now applied for a Santander Zero current account. This current account has certain restrictive criteria. To open one you must either have a mortgage or an investment with Santander. My mortgage with Santander has been paid in full so I did not meet this criteria. At my meeting in the branch I was told that an ISA or bond did not count as an investment for this purpose . I had to open an investment with Santander using the minimum amount of £1500. This is tied up for three and a half years at a fixed interest rate. My initial investment is guaranteed as a minimum return. This Zero current account acts in much the same as the Nationwide card in terms of no currency transaction costs anywhere in the world. There is an ordinary current account which does not have the same restrictive criteria but charges are made for currency transactions. It is important to get the correct one. I did not mind opening the investment account with Santander as I already had the £1500 in a savings account with them - I simply transfered it to the investment account.
Someone on this thread mentioned that you need to put in £1,000 per month to be eligible for this account but this is not correct. You do not have to transfer in a regular amount. Santander have another offer on their current accounts that pays you £100 and pays interest on your balance if you switch your main current account to Santander. They want to get people to switch the current account that their pay goes into and their direct debist are paid from into the Santander account. This is a completely seperate offer. I am keeping my main current account with HSBC and will just use the Santander account for overseas travel.
On a seperate point I started to transfer £800 a month into my Nationwide account prior to going over to Spain and they have assumed that I am now using Nationwide as my main account. The letter informing me about the new currency charges also stated that as Nationwide was my main current account they would be giving me and my wife free annual travel insurance.
Like others on this thread I will be making a formal complaint to Nationwide.
Grover
Thread:
Nationwide changes
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