Marks and Spencer Bank today revealed that their new bank accounts will have monthly fees.
There have been mixed views on this, with the majority of articles saying that these accounts are only really worth if it if you intend to make full use of the benefits which include family travel insurance, M&S vouchers and birthday gifts.
Here is a collection of the opinions on this, both positive and negative:
Free banking, especially to the indebted, was only ever a classic case of smoke and mirrors anyway. The banks could, and still can, afford to provide it by charging extortionate fees elsewhere, typically on both authorised and unauthorised overdrafts. As people, hopefully, start to become more savvy, then banks face a bigger risk of making losses in providing free accounts. To justify charging monthly fees for current accounts though they are sugar coating the pill by offering “frills” with the account. Free accounts are still readily available, and some that offer interest on credit balances (miserly amounts usually, mind). How long free banking will exist for though is anybody’s guess so my advice would be to avoid accounts like this and shop around whilst you still can.
What are your views on this? Would you pay a monthly fee in return for the benefits on offer from M&S?