TAKE ACCOUNT
Nationwide customers warned of extra bank account charge from TODAY
Find out whether you could get a better deal by switching
CUSTOMERS at Nationwide have been warned they face extra account charges from today.
The changes affect one of the building society's most popular current accounts.
1
Nationwide has offered its FlexPlus package for some years now.
The scheme sees account holders pay a small monthly fee in return for a selection of benefits.
These include global travel and mobile phone insurance, better interest rates and an exemption from fees when using their card abroad.
Until today, the price was set at just £13 a month, with an annual subscription available for £156.
READ MORE MONEY NEWS
However, bosses have now made the decision to hike prices by almost 40%.
The monthly cost will increase by £5 to £18, while the annual rate will spike to £216 - a £60 rise.
Speaking to The Sun, a Nationwide spokesperson suggested that the hike was necessary to cover the spiralling cost of insurance.
They said: "Even after this change, FlexPlus will continue to be one of the UK’s most competitive packaged current accounts, both in price and quality of cover."
Most read in Money
Is it worth switching?
Despite Nationwide's insistence, personal finance expert Sarah Coles claimed that the increase means that the account is no longer "one of the cheapest" available.
She suggested that many people could benefit from switching to products like Virgin Money's Club M account.
Major high street bank axing key service
This comes with gadget and travel insurance as well as UK and EU breakdown cover with no minimum deposit at a monthly price of £12.50.
Sarah said: "If you want a lower monthly charge, you can get the Virgin Money M account which comes with similar cover.
"Just check you’re happy that you still get what you need."
However, she did say that the FlexPlus account could still offer good value if it fits your circumstances.
She explained: "This is particularly the case for families who plan more than one holiday this year, have smartphones that need insurance and who would otherwise buy car breakdown cover."
How do I switch bank accounts?
SWITCHING bank accounts is a simple process and can usually be done through the Current Account Switch Service (CASS).
Dozens of high street banks and building societies are signed up - there's a full list on CASS' website.
Under the switching service, swapping banks should take seven working days.
You don't have to remember to move direct debits across when moving, as this is done for you.
All you have to do is apply for the new account you want, and the new bank will tell your existing one you're moving.
There are a few things you can do before switching though, including choosing your switch date and transferring any old bank statements to your new account.
You should get in touch with your existing bank for any old statements.
When switching current accounts, consider what other perks might come with joining a specific bank or building society.
Some banks offer 0% overdrafts up to a certain limit, and others might offer better rates on savings accounts.
And some banks offer free travel or mobile phone insurance with their current accounts - but these accounts might come with a monthly fee.
Topics