Best Current Accounts: Our Top Picks In 2020
We review our top 5 picks for current accounts in July 2020.
More than 5.1 million UK bank and building society customers have switched their bank accounts using the free (and guaranteed) current account switching service which simplifies the process for customers.
They’re choosing accounts which are better suited to their spending and saving patterns, and offer them rewards that they will really make use of.
With latest developments in mobile app banking there are some exciting new breed of banking current account to choose from:
We have outlined 5 accounts you might want to consider;
Santander 123 Current Account
- 1.00% AER (variable) payable on your entire balance up to £20,000
- Up to 3% cashback on household bills
- Must pay a minimum of £500 into the account each month
- Monthly fee of £5
- Mobile app
Our view: With this current account you get 1.00% AER on the first £20,000 of your cash. From 3rd August this will change to 0.60% AER. To qualify you will need to pay in £500 pm (Equates to a £6,000 pa salary) . Additionally you can gain up to 3% cashback on household bills – 1% on water, council tax bills and Santander mortgage payments, 2% on gas and electricity bills, and 3% on mobile phone, home phone, broadband and paid-for TV packages. Earn up to 15% discount on retailer offers. The account has full savings FSCS protection.
Virgin Money Account
- Savings “pots” feature
- Competitive 0.50% AER interest rate for savings account (interest paid quarterly)
- Very attractive 2.02% AER interest rate for current account up to £1,000 (interest paid monthly)
- No fee for maintaining account
- Money withdrawal via Virgin Money Current Account
- Fully protected up by FSCS to £85,000
- Open in minutes!
Our view: With this current account you get a great interest rate of 2.02% AER on money kept in your current account up to £1,000 with interest paid monthly. With no monthly fees and no charges on using your card abroad this account offers customers a great user experience with their mobile app which allows you to track your transactions and make better budgeting decisions with “Savings pots” allowing you to transfer money into different pots for different goals.
- “Vault” accounts available in-app
- Ability to save in any currency, including cryptocurrencies
- Bitcoin Vault options available
- Spare change round-up function when spending
- Withdrawal from savings available anytime
- “Group Vault” functions available to save with others
- Currently, these accounts do not generate interest
Our view: With Revolut you get the choice of 3 accounts; Standard, Premium and Metal. With over 8 million customers since launch in 2015, Revolut offer as well as a current account, features such as free international money transfers, access to global cryptocurrency exchanges and free global spending.
- Monsese savings “pots” function
- In-app categories making saving visually easy to sort
- In-app savings accounts with interest
- Partnered with Raisin to allow for savings functions
- These are available in UK, Spain, Austria, the Netherlands and Germany
Our view: Monese was one of the first bank accounts in the UK to be only available via a mobile app. The account is designed to be on-demand and inclusive and can be opened in a matter of minutes with no proof of address required. Monese offer 3 accounts; Simple, Classic & Premium.
HSBC Advance Current Account
- A minimum arranged overdraft of £1,000 with no monthly fees
- Earn 2.75% AER on gross savings between £25 to £250 per month
- No monthly fees
- Need to pay in £1,750 pm or £10,500 over 6 months
- Mobile app
Our view: With the HSBC Advance bank account you get everything you need for everyday banking including a minimum arranaged overdraft of £1,000 with no monthly fees. You can save up to £250 per month and benefit from a competitive rate of 2.75% AER on your savings.
These features and services were accurate July 2020. But banks are very aware of customer demands: features may change or be extended.