There are lots of different student bank accounts available. The best accounts are always difficult to pick out because you have to think about which one is better for your specific needs. Do you pick the one with the best perks or do you pick the one with the better rates? It’s a difficult thing to choose, luckily, we’ve organised a table below that will help you out with everything you need to know to be able to make your informed decision. Below we have a brief introduction to each of the banks that we’re comparing. Picking your student bank account means that you’ll need to understand everything about student bank accounts, so make sure that you do your research. Obviously, student bank accounts, are different from student credit cards, so make sure you also know the difference between the two!
Lloyds is one of the most popular banks in the UK. It is also considered to be one of the coveted “Big Four” clearing banks in the UK, which also includes the major banks HSBC, Barclays and The Royal Bank of Scotland (RBS). Lloyds has always been one of the most attractive banks for students to use as the Lloyds student accounts all offer incredibly attractive incentives for students to take advantage of.
Natwest is one of the fastest growing banks in the UK and relatively young in terms of its inception date. Natwest has existed since circa 1968 which makes it fairly young in terms of its existence in the UK banking scene, this means that it has been going for (at the time of writing) nearly forty-eight years.
Santander has always been one of the most popular banks in the world. One of the banks that has been there for students through the years and is one of the most popular banks for people looking for student accounts. Santander student accounts have long been one of the most popular ones to look into.
So that’s all of the lowdown on the banks themselves, but which ones offer the best perks? Well, let’s have a look, below.
|Interest-free and fee-free planned overdraft, you can apply for an interest and fee-free planned overdraft of up to £1,500 in years 1-3 and up to £2,000 in years 4-6 (available if aged 18 or over). Free everyday banking – you won’t actually have to pay monthly fees, and you can also get free text alerts. Get up to 15% cashback using every day offers at many of places you regularly shop. The retailer offers and cashback amounts will vary.|
|This means that you can save money on your overdraft and that you are able to set up your own way of dealing with any overdraft fees. No payments to pay for banking with Lloyds, plus the free text alerts means that you’re instantly told every time that something happens on your account. 15% cashback means that Lloyds and retailers will recognise your custom and will reward you for it. Very few banks offer this.|
|Lloyds’ interest-free overdrafts start from £1,500 for years one to three and then £2,000 for years four to six. When it comes to overdrafts, however, your overdraft is limited to £500 in the first six months, after which 8.21% interest will kick in. An unplanned overdraft balance of £10 or less won’t ever incur a fee, however, a buffer does apply. If an unplanned overdraft balance is more than £10 but is less than £25, then the account holder will incur a charge of £5 per day. If your unplanned overdraft balance is £25 or more, then you will incur a £10 fee per day.|
|You can get a Young Person’s Coachcard which will give you: 1/3 off standard UK fares, 10% off European fares, 10% off services to selected UK festivals and events and 1/3 off Scottish Citylink and Hovertravel services when booked through National Express. £2,000 overdraft interest-free.|
|A coach card will save you a lot of money in the long run in terms of your travel, especially if you’re studying somewhere there is limited travel. Plus the ability to travel abroad is sure to appeal to all students. An interest-free overdraft is sure to help you out in the long run, especially when you consider how much money you can save if you were to run into said overdraft.|
|For an unarranged overdraft usage, Natwest charge: £6 for each day on which there is an unarranged overdraft of more than £10, this is also subject to a maximum of £90 in any charging period. And then £6 for each unpaid transaction, which is also subject to a maximum of £60 in any charging period.|
|A free 4-year Santander 16-25 Railcard which could save you 1/3 on rail travel in the UK. An interest-free and fee-free Arranged Overdraft, up to £1,500 in years 1-3, then up to £2,000 if you stay on to year 5 (Overdrafts are subject to status). 3% AER / 2.96% (variable) on balance from £300 up to a maximum of £2,000. Access to 1|2|3 World offers, including preferential rates and special deals on other Santander products. A Visa debit card for making purchases and accessing your money at cash machines.|
|A railcard will save you a lot of money in the long run in terms of your travel, especially if you’re studying somewhere there is limited travel. An interest-free overdraft is sure to help you out in the long run, especially when you consider how much money you can save if you were to run into said overdraft.|
|For an unarranged overdraft usage fee, Santander charge £5 a day which is capped at 10 days in
each monthly statement period.
There are a lot of incentives to join, but these aren’t the main reasons to sign up. We have to admit that the Santander offerings are very tempting, but we recommend that before you make a decision that you should look at the final comparison below to see what the banks do with their student bank account charges.
Now the charges should make it clear to you which of the three banks are best for you. We recommend that you pay close attention to these, however, there will be downsides to anyone you pick. If you pick Santander you’ll receive great perks for joining, but your bank charges will be far higher than if you were to sign up to Lloyds.
We recommend that you take it seriously when picking out the best student bank account for you. Think about what you’re applying for and think about the impact of doing and how it will affect your student finance.
We hope that this information has helped you out and we hope that you’re able to make the best choice for you!
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