Tesco Bank has finally launched its first current account, promising to take on the high street giants with transparent fees and modern technology.
Tesco has been building towards a full service retail bank ever since taking full ownership of its personal finance joint venture from partner Royal Bank of Scotland in 2008.
The supermarket giant already claims over six million customers for various banking and retail products. Now, with an industry-wide seven day account-switching system in place, it has finally added the final building block in the form of a current account.
Built on a Fiserv core platform, the account comes with a mobile app, online banking, contactless Visa debit card, UK-based call centre and the ability to make deposits at more than 300 Tesco stores. Account holders can also earn Tesco Clubcard points on debit card spend wherever they shop
There is a three per cent AER variable interest on credit balances up to £3000 and the account is free for customers who deposit more than £750 a month. For those that do not, there will be a £5 monthly fee.
Benny Higgins, CEO, Tesco Bank says: "In designing our current account we have listened to more than 20,000 customers to understand what they want. And the account we are launching today offers all the features they told us mattered most. There are no gimmicks; - just a simple, rewarding, modern, convenient current account, designed for Tesco customers, by Tesco customers."