If you are banking with one of the big four UK banks – Barclays, Natwest, Lloyds TSB or HSBC then you will be earning very little interest on your hard earned cash that is sitting in your current account. Typically you will be earning just 0.1 % interest through these banks. If you shop around, you will find that you could be earning between 2% to 5% which is up to 50 times more interest! Some good rates can be found at Alliance & Leicester, First Direct, Abbey National, Cahoot, Intelligent Finance and Halifax.
If you find that you go overdrawn quite a lot of the time, then rather than looking for the highest interest rate, you should concentrate on finding the lowest overdraft rate. Again if you shop around, you can find much better overdraft interest rates sometimes less than half of what you might currently be paying. Also some banks or building societies will even give you a 0% overdraft for switching to them, now it can't get any better than that! Also watch out for special deals that some banks do from time to time where they will give you anywhere between £25 to £100 just for moving your account.
Of course you may well be thinking that this is all very well, but its going to be such a hassle changing banks with my standing orders, direct debits etc.. Well the good news is that it is much easier these days to move your bank account as the banks will automatically move your standing orders and direct debits for you.
One thing that you must remember to do is let your employer know your new bank details so that your salary can be paid in to your new account. Most banks will expect you to pay in a minimum amount in each month usually between £1000 to £2000 a month.
Another way to lower your overdraft charges is to never exceed your overdraft limit as this is definitely going to cost you a lot, just stay within the limit or ask for an increase in your limit if you need it.
About the Author:Miguel Poza runs a website about money and personal finance where you can find out where to get good deals on credit cards, loans, mortgages, insurance, savings and pensions. You can also read free money saving tips, so why not check it out at http://www.moneyhelper.co.uk
Got a Question? Ask.
Ask the community a question about this article:
Frequently Asked Questions
Scam or Not
By: Sue and Hal | 19-08-2008
I recieved The insurance bond certificate Policy Number nicon/NLUK 244330
the dept of foriegn affairs number Fro/Bct/76234/08 leaving me with big bucks sure it is scam + Am I right no one gives any thing away these days
Sue
How can i build the trust back with my fiancee ...
By: Pam | 19-08-2008
how can i build the trust back with my fiancee when he bent over backwards to help with my bills and let his bills suffer
Diabetes insulin pumps
By: ccarole1959 victim | 19-08-2008
does network health together pay for insulin pumps for children
Are all internet money making ideas scams?
By: Joanne2499 | 19-08-2008
Are all internet money making ideas scams?
US savings bonds and tax consequences
By: Lee | 19-08-2008
Got a question about Personal Finance? Type your question here...
My wife and I are co-owners with our son on US Savings Bonds we purchased over the years. Our son is 19 years old and is now entering college and we plan to cash some of the bonds for paying tuition. Should we cash the bonds ourselves (under our SS#) or let him cash the bonds (under his SS#). He has a part time job with minimal income. We both work full time jobs.
A phone number or website to Canadian Imperial ...
By: RodAtl | 19-08-2008
a phone number or website to Canadian Imperial Bank of Commerce Main Branch-Commerce Court Toronto, Ontario
Q&A Powered by:
Latest Advice Articles
Get Your Golden Parachute
By: Carol Forsloff | 12/10/2008
Golden parachutes aren't just for rich people. Everyone can have one; it just takes a little planning and optimism. You need to know where they are in your life. After that you will have the soft landing you wanted to take care of you the rest of your life.
Self Defense and Self Protection 411
By: Mark Logan | 12/10/2008
What’s your self-defense IQ? Learn about ways to keep safe in your home, at work, and going through your daily routine with this easy-to-read guide.
Anandacharya's Predictions
By: Yuga Rishi Shriram Sharma Acharya | 11/10/2008
“Twenty four years before the 3rd World War and 24 years after it ends, will be full of turbulence for India. The preceding 24 years will see circumstances akin to those seen after Mahabharat war. The latter 24 years will be like dawn before the sunrise of a New Era. I will give up my body a few days after I see my motherland (India) attaining independence. Other people will see the extraordinary changes taking place in India after it gains political freedom. “
Shocking Tips To Get Your Ex Back That Work Like A Charm
By: Paula Snyder | 10/10/2008
A break up with a long time partner is a difficult time for anyone. However, there is still hope in getting your ex back if you know how. Shocking tips will reveal how and you will be amazed at the results.
Learn How Subliminal Message Software Can Re-Program Your Psyche
By: Kristi Ambrose | 10/10/2008
Most of the time we have grown to become so negative and critical of ourselves that even if we promise ourselves that we will try to do these affirmations, we fail. It's our mind saying things like "you can't do this, you can't do anything else, why would you be able to do something this easy?" or the ever annoying "this isn't going to help you, nothing will, you will always be a loser."
Should You Battle For Love?
By: Kristi Ambrose | 10/10/2008
First off, if you are engaged for several years that already should put a flag up, someone is afraid of commitment. Another flag should go up if you argue so much that you spend more time giving the silent treatment than actually conversing with your lover.
Behind the Language of Numbers
By: raphnix | 10/10/2008
Often associated with occult and astrology, numerology is any of the many systems, tradition, or beliefs in a mystical relationship between numbers and physical objects or living things.1 it is the study of numbers and letters significance.
Step-by-Step Love Guide Available!
By: Kristi Ambrose | 10/10/2008
If a bond such as marriage can be broken I would hate to even know the percentage rate for people just breaking up and being boyfriend/girlfriend! Break ups happen for all sorts of reasons but the most general reason is simple because the couple doesn't understand each other and this in turn causes a lot of unneeded fighting! So, what if you could fix this?
More from Miguel Poza
What Are Anti Virus Software, Anti Spyware Software
By: Miguel Poza | 22/12/2006 | Computers
Now that most people use the internet these days, it is a very good idea to make sure that you have good quality computer security software installed and protecting your computer. Anti virus software, anti spyware software and having a hardware or software firewall are now essential for everyone using...
Ways To Save Money On Your Tax Bill Each Year
By: Miguel Poza | 04/12/2006 | Finance
No one wants to pay too much tax and if you are looking for some ways you can reduce the amount of tax you have to pay the taxman each year then take a look at the list of tax saving ideas compiled below:
Things You Need To Know About Inheritance Tax & Some Ways To Reduce It
By: Miguel Poza | 04/12/2006 | Finance
Inheritance tax is a tax that you have to pay when you die which comes out of the financial estate that you leave behind. You only pay inheritance tax over a certain threshold. The good thing about inheritance tax is that it can be greatly reduced if you think about it in advance and prepare your financial affairs so that you end up paying less inheritance tax.
Why You Should Make A Will & Some Important Things To Consider When Making One
By: Miguel Poza | 04/12/2006 | Finance
Did you know that about 70 per cent of the UK population have not made a will? If you are one of these people then you really need to look into making a will because if you die without having made one then you will have no say in who inherits your estate.
How To Save Money On Your Gas & Water Bills Each Year
By: Miguel Poza | 02/12/2006 | Finance
As the cost of gas and water keeps going up, it is a good idea to see what you can do to help reduce your gas and water bills. First of all here some ways of reducing your gas bill each year:
10 Ways To Save Energy And Save Money On Your Electricity Bills For Your Home
By: Miguel Poza | 02/12/2006 | Finance
There are several different ways you can save energy on your home electricity usage which will also reduces the money you spend on your electricity bills and helps reduce carbon emissions to the environment.
What You Need To Know About Health Insurance
By: Miguel Poza | 31/10/2006 | Advice
We all hope to stay well and healthy all the time, but we all know that we are going to be sick or may even be unfortunate and have an accident at some point in our lives.
What You Need To Know About Stakeholder Pensions
By: Miguel Poza | 20/10/2006 | Finance
For those of you who are thinking about planning for your retirement, you will need to do a bit of research on pensions to find the best way to save for your future retirement. This article is about stakeholder pensions and will explain a bit about them and how they work.
Self Improvement 
