Santander issues £4,000 limit warning to customers | Personal Finance | Finance
High street bank Santander is offering bank account to customers which pays up to £240 a year after handing them £150 cash up front, too.
Santander’s Edge account is one of the best on the market right now and the bank is offering a cash incentive to switch to it, with a top savings account paying 6 percent on savings and 1 percent cashback on spending as well.
The only catch is that the 6 percent savings account has a limit of £4,000 per year – you won’t be able to save more than that or earn any more interest once that’s maxed out.
Still, a customer switching to Santander, taking the £150 cash switching bonus and maxing out the linked 6 percent savings account would still be £390 better off, with £150 from the bonus and £240 from savings interest.
The account also offers up to 1 percent cashback on bills too including council tax, energy bills, broadband and water bills, and if that wasn’t enough, another 1 percent on grocery and travel spending day to day.
To get the cash, you need to switch from a different bank (though some Santander customers may be eligible), pay in £1,500 and set up or transfer two direct debits.
Santander said; “We offer a simple, reliable and stress-free way to switch your current account using the Current Account Switch Service.
“Within 60 days of submitting your initial switch request, you’ll need to complete the full switch, set up 2 active Direct Debits and paid in £1,500.
“1% cashback (up to £10 a month) on selected household bills when you pay by Direct Debit. 1% cashback (up to £10 a month) at supermarkets and on travel costs when you use your debit card (exclusions apply), plus exclusive access to an optional savings account with 6.00% AER / 5.84% gross (variable) interest on balances up to £4,000 (includes 1.50% AER / 1.49% gross (variable) bonus rate for the first 12 months from opening).
The account does carry a £3 a month monthly fee, but this would be wiped out by the amount of cashback you’d get back on your monthly bills and spending and you need to pay in at least £500 per month.
