Earlier this year consumer watch organization Which? named special benefit bank accounts one of the top 10 useless financial products on which consumers waste money. Co-operative Bank has decided that they will offer their special level accounts, called Privilege and Privilege Premier, on a trial basis. They believe their accounts with benefits are valuable to customers and once they do a trial run they will find continuing the product will be worth paying for.
The Privilege and Privilege Premier accounts cost 9.50 pounds per month and 13 pounds per month respectively. The new trial program is available to new and existing customers and will be fee free for the first year. There is no obligation to continue the program and a customer can easily revert to a different free account if they wish after the trial period.
Some benefits to the Privilege and Privilege Premier accounts offered by Co-operative Bank include different insurance products, cheap overdraft charges, and discounts on other financial products through the bank. While the benefits may seem like good perks, only if they are fully used does it warrant paying for them according to consumer groups.
Louise Holmes with financial information provider Moneyfacts said: “Packaged accounts can offer great benefits such as free breakdown cover, mobile phone and travel insurance. However, there is no point in opening one of these accounts if you feel you would never use the benefits, or they do not suit your lifestyle. It is important customers read the small print, look at the benefits and consider what they can get from the account. If not, they could find themselves paying simply to have a current account.”