choosing a current account

When choosing a current account, decide what services and facilities you think you will want from it.

Is it the convenience of a local branch, or do you want a high rate of interest on credit balances? Do you want to transact online or over the phone, or do you want access to face-to-face advice?

If you able to save regularly, you may want to look at regular saver accounts which pay high interest, but require the discipline of depositing a set amount each month.

Or how about an offset account? This means the bank balances your savings against your mortgage, thereby reducing your net debt and helping you to pay your mortgage off early. You also save tax this way, because you don't have to pay interest on your savings.

Some top paying accounts, however, require you to buy other products with the bank or to pay in a certain amount each month in order to be eligible.

Alternatively, your main concern may be that you obtain interest on deposited cheques the day they are banked, a service offered by Lloyds TSB’s current accounts.

Whatever your requirements, you can use Defaqto’s Current Account Compare tool to find the best deal for your needs.