Best packaged bank accounts in the UK

Want to get a little more from your everyday bank account? One option to look into is packaged bank accounts.

These are accounts that provide extra services like travel insurance and mobile phone cover, along with the usual banking services you’d expect. Most come with a monthly fee. But are packaged bank accounts worth it, and which account should you choose?

Read on for a full guide to the best packaged bank accounts in the UK. We’ll look at what’s on offer from the likes of Virgin Money, Nationwide, HSBC and digital money providers like Revolut too.

We’ll also show you an alternative that delivers benefits that many packaged accounts can’t.

Get the Wise account and you can send, receive and spend internationally for low fees and great exchange rates. It could save you a bundle compared to using your bank account for overseas or multi-currency transactions.

What is a packaged bank account?

A packaged bank account is simply a UK current account with some extra features, services and benefits included. These often include things like travel insurance, breakdown cover and mobile phone insurance.

Some premium options come with a long list of other perks, such as airport lounge access, concierge services, shopping discounts and cashback rewards on spending.

All of this doesn’t come for free, however. In order to take advantage of the benefits of a packaged account, you’ll usually need to pay a monthly fee.

This can work out to be good value if you use all the features. But otherwise, you could be better off with a standard current account.

What’s the difference between a packaged bank account and a rewards account?

When shopping around for bank accounts that offer a little extra, you’re likely to come across reward accounts as well as packaged accounts. So, what’s the difference?

Rewards accounts usually offer points, cashback or other rewards for spending. For example, you might get cashback when using the account to pay bills, or for shopping at participating retailers.

Packaged bank accounts sometimes offer these kinds of rewards too. But they also come with extra services such as insurance cover that standard rewards accounts don’t offer.

Pros and cons of packaged bank accounts

To help you decide if a packaged account is the right choice for you, here are some of the advantages and drawbacks to consider.

Pros:

• Could save you money compared to buying products like insurance cover separately
• If you open a joint account, you can both access the benefits (with most packaged accounts)
• Convenience of having extra services and banking all from one provider, without needing to shop around

Cons:

• The monthly fee, but it’s only a downside if you won’t use the extra services in the package
• You’ll need to check insurance policies carefully for exclusions
• It may not be good value if you can get the extras cheaper elsewhere
• Some premium packaged bank accounts have strict eligibility requirements (e.g. high income or pay-in requirements).

Do all packaged bank accounts have a monthly fee?

In most cases, yes - you will pay a monthly fee for a packaged bank account. Generally, the higher the fee, the more lucrative the rewards and benefits.

Fees for packaged accounts range from £13 to £20 a month, as we’ll see from our list below.

For some premium packaged accounts, there’s no monthly fee but you’ll need to meet strict eligibility criteria instead. For example, with the HSBC Premier account, there’s no fee to pay but you’ll need to have an annual income of £75,000+ to open the account.

So, are packaged bank accounts worth it?

It all comes down to whether or not you’ll use all of the extra services, and whether you can find them cheaper elsewhere. You’ll need to do a little research and a few sums, to work out whether the account represents good value.

If you don’t need travel insurance, breakdown or mobile cover, or you already have cheap policies, a packaged account may not be right for you. You could be better off with an ordinary current account instead.

The 9 best packaged bank accounts in the UK

Now, let’s dive into our rundown of the best packaged accounts in the UK. We’ve included offers from high street banks and digital banks, as well as premium options. It’s all to help you compare and find the right solution for you.

1: Virgin Money Club M¹

The Virgin Money Club M packaged account offers some fantastic benefits for families who like to travel, including worldwide travel and mobile insurance for up to 6 people.²

The account itself offers interest of 2.02% APR. Plus, an arranged overdraft and access to a linked Club M Saver paying 3.03% AER on your savings. Virgin Money also charges no fees for spending and withdrawing cash overseas using your debit card.

The full list of account features includes:

• Worldwide family multi-trip travel insurance - this includes winter sports, golf and overseas weddings. Also includes 24 hour access to a doctor at home or abroad. Cover is for two adults and up to four children under 18.²
• Concierge service - ideal for making reservations or arranging transfers.
• Worldwide family mobile and gadget insurance cover - this covers laptops, cameras, tablets and phones for loss, theft and accidental damage, wherever you are in the world.
• UK breakdown cover - this includes day or night vehicle rescue.

And you get all of this for a monthly fee of £12.50, one of the lowest fees on our list. The account can be managed online or in the Virgin Money app, as well as in Virgin Money high street branches.

You’ll get a contactless debit card which comes ready for use with mobile wallets like Apple Pay and Google Pay.

To be eligible for this account, you simply need to be over 18 and a UK resident.

2: Nationwide FlexPlus³

The Nationwide FlexPlus account is another with a relatively low fee, at just £13 a month.

In return, you’ll get a current account, travel insurance and cover for your mobile, plus European breakdown cover.

Here’s the full list of features:

• Arranged overdraft (on application)
• Access to exclusive savings accounts, such as the Flex Instant Saver account
• Worldwide family travel insurance - including cover for winter sports, golf, business trips and overseas weddings. You’re also covered for delays, cancellations and medical expenses, although people over 70 or who have existing medical conditions may not be covered.
• Worldwide family mobile phone cover - including cover for loss, theft, damage and faults for devices belonging to you, your partner and any dependent children. Each device is covered to a value of up to £2,000.
• UK & European breakdown cover from the AA - with no excesses and unlimited callouts.

You’ll also get a Nationwide Visa debit card, which works with Apple Pay, Google Pay and Samsung Pay. You can manage your account using the secure Nationwide mobile app.

To be eligible for this account, you only need to be aged 18 or over and a UK resident. There are no monthly pay-in or income requirements.

3: The Co-operative Bank Everyday Extra⁴

The Co-operative Bank’s Everyday Extras packaged account is slightly more expensive at £15 a month. It offers similar benefits to accounts we’ve already looked at, including worldwide travel insurance, mobile cover and breakdown cover.

The account itself has no particular bells and whistles, just a debit card and all the features you’d expect from a UK current account. You can manage your money online or via the Co-op Bank’s Mobile Banking app.

Here’s the full list of features and benefits included with this account:⁵

• AXA worldwide travel insurance - this covers you and your partner if you’re travelling together, as well as dependent children up to 22 years old whether they travel with you or not. There’s no excess to pay on claims, and you’ll get cover for things like winter sports, lost luggage, personal accidents, emergency medical expenses, UK holidays, missed flights and more.
• World mobile phone insurance - this provides cover up to £1,500 for loss, theft, damage or water damage for your phone (other family member devices aren’t covered). However, there is an excess of £75 to pay on claims.
• UK & European breakdown cover - provided by the RAC, and includes roadside assistance, up to 3 days car hire and alternative transport to your destination.
• Everyday Rewards - opt in to receive rewards for yourself or a chosen charity when you meet monthly criteria.

To open an Everyday Extras account, you must be between 18 and 79 years old and a UK resident.

4: Halifax Ultimate Reward Current Account⁶

The Halifax Ultimate Reward Current Account is bursting with perks, which goes some way to justifying its slightly higher £17 a month fee.

The account itself has lots of extras included, such as cashback, monthly rewards and access to exclusive sayings and mortgage offers. On top of that, there’s travel, mobile, breakdown and home emergency cover.

Let’s take a look at the full list of features:

• Monthly rewards - choose from £5 paid into your account, 1 x cinema ticket or 3 x digital magazines.
• Exclusive savings and mortgage offers - access the Rewards Bonus Saver and ISA Reward Bonus Saver Accounts, along with Family Boost mortgages
• Preferential travel money rates
• Up to 15% cashback on spending with the Halifax Cashback Extras programme
• Arranged overdraft (on application)
• Worldwide multi-trip family travel insurance - including cover for certain winter sports, UK breaks and golf trips.
• AA UK breakdown cover - including Roadside Assistance and At Home, for all eligible family members.
• Mobile phone cover - covering accidental damage, breakdown loss and theft up to £2,000 (your phone only, no cover for family members).
• Home emergency cover - up to £250 per claim for sudden unexpected incidents.

There’s no special eligibility criteria to apply for the Ultimate Reward Current Account. However, you will need to meet monthly spending and pay-in requirements to qualify for monthly rewards.

5: HSBC Premier⁷

Now we come to the first of a few ‘premium’ accounts on our list. The HSBC Premier account has no monthly fee, but you’ll need to meet tough eligibility criteria in order to open an account.

You must have an annual income of £75,000 and a mortgage, investment, life insurance or protection product with HSBC. Alternatively, you’ll need to hold at least £50,000 in savings or investments with HSBC.

Tick all the boxes? Then you’ll get a current account, worldwide family travel insurance and a sprinkling of premium rewards all for no monthly fee.

Here’s the full list of benefits and features with the HSBC Premier account:

• Fee-free transfers between HSBC global accounts
• Access to exclusive savings products and preferential savings rates
• Home & Away rewards and discounts on spending
• Arranged overdraft (on application)
• Aviva worldwide travel insurance for you and your family, including winter sports cover.

6: Citigold Current Account⁸

The second premium option is the Citigold Current Account. Like the HSBC account, it has no monthly fee.

However, it has much stricter eligibility criteria, with the requirement to hold an average monthly balance of £150,000. If you don’t meet this, a £75 monthly fee will apply.

So, what do you get in return? Let’s take a look at the full list of features and benefits:

• Access to currency accounts in other currencies - spend using just one debit card
• Fee-free international transfers
• Worldwide annual holiday travel insurance for the whole family - including winter sports coverage.

You can manage your account online, over the phone or via the Citi Mobile UK app.

7: NatWest Premier Reward Black account⁹

The NatWest Premier Reward Black Account comes with a hefty £31 monthly fee.

It’s only available to existing NatWest current account customers looking to upgrade, and you must have an annual income of £100,000 to qualify.

If you meet the requirements and are happy with the fee, you’ll get a long list of benefits in return:

• Worldwide family travel insurance, including winter sports and medical expenses cover.
• 24/7 Black Concierge Service
• Access to 1,100+ airport lounges with DragonPass Premier+
• AA UK & European car breakdown cover
• Mobile phone insurance cover - for theft, loss, accidental damage and breakdown
• 24/7 home emergency cover up to £750
• £10 a month back in rewards - £9 for making 2 Direct Debits a month, and £1 when you log into the mobile app.
• Arranged overdraft (on application)
• No foreign transaction fees when using your debit card abroad.

You can manage your money online or using the NatWest Premier mobile app.

8: Revolut Metal¹⁰

Lastly, we have the digital banks. Sign up for Revolut’s most expensive plan Metal and you’ll essentially get a packaged bank account.

It costs £12.99 a month, and offers a mobile-first current account and debit card. Plus, lots of extra features including:

• Travel insurance - this includes cover for global medical expenses, winter sports, car hire excess, luggage loss and personal liability.
• Discounted airport lounge access
• Fee-free currency exchange with no fair usage limit
• Preferential rates on savings, along with cryptocurrency and commodity exchange fees
• Exclusive Metal card.

Revolut is also set to launch its new premium Ultra plan soon, its most expensive and feature-packed account costing £45 a month.

9: Monzo Premium¹¹

For £15 a month, the Monzo Premium account offers a mobile-first current account and lots of other benefits.

Here’s what you’ll get:

• Mobile phone insurance - covering loss, theft, accidental damage (including cracked screens) for devices up to £2,000. A £75 excess applies though.
• Worldwide family travel insurance - this includes cover for cancellation, medical bills, winter sports and lost valuables (£50 excess applies on claims).
• Discounted airport lounge access
• 1.50% AER on balances up to £2,000
• Up to £600 fee-free ATM withdrawals abroad
• Exclusive Monzo white metal card.

You must be between 18 and 69 years old to apply for this account, and must sign up for a 6-month minimum period.

Looking for a truly international account with no monthly fee? Choose Wise

Packaged bank accounts often come with travel-friendly perks like insurance and airport lounge access. But they aren’t always so good for international transactions.

Luckily, there’s an alternative to help you avoid those foreign transaction charges.

Open a Wise account and you can send, receive and spend worldwide, with no monthly fees.

You can make international transfers at mid-market exchange rates for fees as low as 0.43%, and spend like a local with your own Wise debit card. It’s all managed online or in the handy Wise app.

Join Wise today

Please see the Terms of Use for your region or visit Wise fees & pricing for the most up-to-date information on pricing and fees.

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Sources used:

1. Virgin Money - Club M Account
2. Virgin Money - Club M Account - Insurance
3. Nationwide - FlexPlus
4. Co-operative Bank - Packaged Bank Account
5. Co-operative Bank - Packaged Bank Account - Benefits
6. Halifax - UItimate Reward Current Account
7. HSBC - Premier Bank Account
8. Citibank - Current Accounts
9. NatWest - Reward Black Account
10. Revolut - Our pricing plans
11. Monzo - Monzo Premium

Sources last checked on date: 19-Jul-2023