The Nationwide building society has launched its first fee-paying packaged current account.
It pays 3 per cent on credit balances up to £2,500. It has a £100 fee-free overdraft. It includes a range of insurances.
It costs £10 a month. which works out at £120 a year. If you go into the red without permission you'll be charged a fiver a day, up to £50 a month.
It seems a strange time to be launching an expensive packaged account while they are under investigation by the City watchdog. The building society seems to be trying to compete with the big banks by offering the same range of products as them. The deal isn't bad if you want to pay for your bank account. But why would you?