Current Accounts

Question 1

Features

Answer 1

• A debit card which can now be contactless
• There is a statement showing everything going in and out of the account
• Can charge interests and have an overdraft

Question 2

Standard

Answer 2

Normal account offered to customers with a reasonable credit rating and has standard features

+ No charges on credit balances
+ Convenient for regular payments

• Potentially high charges on the use of an overdraft facility

Question 3

Packaged / Premium

Answer 3

Offers additional features to a standard account

+ Additional fees could be car and home insurance, credit card protection, breakdown cover
+ No charges on credit balances

• Additional monthly charge is frequently applied
• Package offered may not offer value for money

Question 4

Basic

Answer 4

Offers only limited features

+ Available to customers with a low credit rating
+ Easy first step for individuals to gain access to basic banking facilities

• Does not offer overdraft
• Will not pay interest on positive balance

Question 5

Student

Answer 5

Specifically for learners, features an agreed overdraft limit and incentives to join the bank e.g. free rail card

+ Course fees and student loans can be easily handled
+ Bonuses offered are designed to meet needs of learners e.g. discounts or small lump sum payment

• Overdraft facilities would encourage overspending
• Charges for overspending are high