Marks & Spencer launch new current account'Transparent' product to be introduced this summer
07 March 2014
Marks & Spencer will launch a new, no-fee current account to complement its two existing premium accounts this summer.
The supermarket banking brand plans to win over customers who aren't regular customers by offering 'transparent' fee-free banking and 'great' customer service with its M&S Current Account.
Amongst the account's benefits is an automatic £500 overdraft - the first £100 of which is interest free and the remainder chargeable at 15.9% EAR.
For an account-holder at their £500 limit for two weeks of every month, the annual cost of borrowing would be a competitive £26 per year.
If it was currently available, this would land it in the Which? Best Rate table for unauthorised overdrafts, below First Direct (£17) and Clydesdale and Yorkshire Banks (£22).
Unlike many rival accounts, the M&S Current Account won't charge a withdrawal fee for overseas use of its debit card. However, it will apply a 2.75% foreign exchange charge.
Go further: Best bank accounts for overseas use - find out how your current account compares
Customers will earn loyalty points on debit card spend, whilst those who switch over their everyday banking and standing orders to the account will receive a £100 M&S gift card.
On initial launch, only existing M&S customers will be eligible for the account, but the bank plans to later roll out availability more widely.