Premier Bank Account
What is a premier bank account?
A premier bank account is an account that banks offer to their wealthier customers, often for a monthly fee.
Whilst many banks also offer reward bank accounts for everyone, they usually reserve their premier accounts for customers earning over a certain amount of money.
Most customers will also benefit from the same rewards as the reward accounts, like breakdown cover and travel insurance, as well as extras like a named member of staff to deal with directly.
Do I need one of these accounts?
Many people have these accounts as they get special bank cards which elevate their social standing and boost their egos.
Whilst the fees charged often outweigh the benefits received, they are still very popular, with research in 2006 showing that over 8 million people in the UK hold them.
Some of the accounts will pay users a good interest rate on credit balances, although usually only up to £2,500 and often only for a limited period.
Like car insurance, customers will nearly always find a better deal by switching current accounts each year, but a huge proportion of Britons don’t bother.
What other options do I have?
Generally speaking, a standard bank account is more than sufficient for most people, although a reward account with added benefits can be worthwhile for some people if they use the extras included.
Private banking is another option, and is worth a lot of money to the banks who offer these services. Investment banks in London such as Morgan Stanley and Credit Suisse offer services to their wealthier clients, although many have to have over £100,000 to qualify for their services.
Coutts & Co, the bank of the royal family, also offer expensive but extremely personal services for those with liquid assets over £0.5million, and HSBC Private Bank only deal with people with minimum investment assets of £2 million.