Choosing the right bank account is a big step in managing your finances more effectively as a student. Here are our top picks…
There are a huge number of different banks competing for your business and as interest rates remain low, there are some great deals to be had on 0% overdrafts and other perks like vouchers and savings accounts.
Santander 123 Student Account
Santander’s student account is one of the best on the high street. With interest rates so low, few banks are offering interest payments on current account balances. However, the 123 account pays out 1% on balances over £100, 2% on balances of £200 and 3% on balances over £300 - up to a maximum of £2,000. You also get a free 4-year 16-25 railcard, which gives you one third off travel on railways around the UK. Your overdraft is fee-free to a maximum of £1,500 in your first three years at uni. You’ll need to pay in a minimum of £500 per term.
Natwest Student Current Account
The Natwest Student Current Account is a fairly standard offering, with a £500 interest free overdraft in your first term. That rises to an interest free £2,000 afterwards. There’s a decent range of perks to be had. You can choose from a free National Express Coach card, which gives you a third off coach travel for four years, an Amazon Prime Student Membership card or a Taste card.
Nationwide FlexStudent Account
With 1% interest on balances up to £1,000, Nationwide’s FlexStudent Accouny gives you the chance to accrue some savings while you study. It also has one of the highest 0% student overdrafts on the market. You get £1,000 in your first year, £2,000 in your second year and £3,000 in your third year. In addition, the Simply Rewards programme gets you cashback at a range of high street stores and restaurants. These offers are updated each week and provide significant savings.
HSBC Student Bank Account
HSBC’s Student Bank Account has a 0% overdraft limit of £500-1,000 in your first year, followed by £2,000 in the second and £3,000 in the third. The real appeal is in the perks, which are some of the best around. You get an £80 Amazon gift voucher and a 12 month Prime Student membership. There’s also a Regular Saver account with interest of 3% on balances up to £3,000 and access to deals including money off cinema tickets, meals out and laptops.