Leading high street bank Halifax has launched a new current account, which pays five per cent interest on all balances up to £2,500.
The new product is a significant improvement on the majority of deals on the high street at the moment, eclipsing the typical Big Four offerings of 0.10 per cent for current accounts.
"Customers are voting with their feet and leaving the Big Four," said HBOS Retail chief executive, Benny Higgins. "This account provides another big incentive to do just that."
The Halifax account will be suitable for 99 per cent of current account holders, the bank claims, as most have balances below the £2,500 threshold.
By switching to the new account from one of the Big Four, Halifax research shows that the average customer could benefit from over £1,000 of additional interest payments over 15 years, the life of a typical current account.To read more about banking, click here.
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