If you earn a high income and have significant savings and investments, you might be looking for a better way to bank, with access to exclusive products and services. That’s where private banking comes in.
What is private banking?
Private banking is a type of banking designed for high-net worth individuals. You can find private banking options with high-street banks, as well as specialist online providers.
To qualify, you’ll usually need to meet specific criteria regarding your wealth, such as having several thousand pounds in savings and investments with the provider, and/or a large mortgage with the bank. You’ll often need to meet strict income requirements.
In return, you’ll get access to exclusive products and be assigned a dedicated relationship manager to provide a more tailored banking experience.
How is private banking different from other banking services?
The key difference is that private banking is bespoke. You’ll typically have at least one person working with you to help you better manage your money, achieve your financial goals and open the most suitable accounts. Many of these accounts will be exclusive to private banking customers, potentially with more generous rewards or lower fees.
What’s more, you’ll usually have access to financial, tax and estate planning advice – none of which you’d get with a traditional banking service.
What services can a private bank offer?
Some of the services you might be able to benefit from include:
Exclusive bank accounts, credit cards, unsecured lending, mortgages, savings accounts and multi-currency accounts
Advice on a range of investments, including special investment rates
Personal introductions to specialist partners, tax experts and financial advisers, including estate planning support
Wealth management services to help you protect and grow your wealth and assets
How do private banks differ from premier banks?
Private and premier banking are both more exclusive than standard, everyday banking. And some high street banks offer both premier and private banking services. However, the eligibility criteria for private banking is stricter than for premier banking, with their services aimed towards wealthier clients.
Although you will still need to have a high income to access premier banking, you won’t need to hold quite as much in savings and investments – say, £75,000 to £100,000 versus the £250,000 to £500,000 you might need for private banking.
Premier banking can still give you access to exclusive savings and bank accounts, plus rewards and other perks. These could include travel insurance, airport lounge access, breakdown cover and mobile phone insurance, although you will often need to pay a monthly fee for your account. But you won’t get the dedicated financial advice and support that you get with private banking.
Gives you access to exclusive accounts and rates, as well as alternative investments
Often includes financial advice, tax guidance and estate planning
All financial transactions and advice are confidential
Dedicated relationship manager means you'll have a single point of contact
Cons
Strict eligibility criteria
You may have to pay a fee for certain services – these aren't always transparent on the bank's website
Banks could prioritise their own interests over their clients, causing conflicts of interest
Financial advice is often less specialised
Bottom line
Private banking could suit you if you’re looking for bespoke banking services, access to exclusive rates and help with financial, tax and estate planning. However, you’ll need to meet the eligibility criteria, understand what fees are involved, and be aware that the advice you receive can be less comprehensive than you’d get if you approached a specialist in a particular area.
Sources
We show offers we can track - that's not every product on the market...yet. Unless we've said otherwise, products are in no particular order. The terms "best", "top", "cheap" (and variations of these) aren't ratings, though we always explain what's great about a product when we highlight it. This is subject to our terms of use. When you make major financial decisions, consider getting independent financial advice. Always consider your own circumstances when you compare products so you get what's right for you. Most of the data in Finder's comparison tables is provided by Defaqto. In other cases, Finder has sourced data directly from providers.
Rachel Wait is a freelance journalist and has been writing about personal finance for more than a decade, covering everything from insurance to mortgages. She has written for a range of personal finance websites and national newspapers, including The Observer, The Mail on Sunday, The Sun and the Evening Standard. Rachel is a keen baker in her spare time.
See full bio
Premier bank accounts offer additional perks for people who hold significant sums with the bank providing them, and can be good value for money. We take a look at how they work, what features they offer and what the eligibility criteria can look like.
Cardless cash provides a convenient way to use an ATM without their card. If you often go out without your wallet or want to make it easier for family members to take out money, this is a feature that deserves a second look.
Advertiser disclosure
Finder.com is an independent comparison platform and information service that aims to provide you with the tools you need to make better decisions. While we are independent, the offers that appear on this site are from companies from which Finder receives compensation. We may receive compensation from our partners for placement of their products or services. We may also receive compensation if you click on certain links posted on our site. While compensation arrangements may affect the order, position or placement of product information, it doesn't influence our assessment of those products. Please don't interpret the order in which products appear on our Site as any endorsement or recommendation from us. Finder compares a wide range of products, providers and services but we don't provide information on all available products, providers or services. Please appreciate that there may be other options available to you than the products, providers or services covered by our service.
We update our data regularly, but information can change between updates. Confirm details with the provider you're interested in before making a decision.
How likely would you be to recommend Finder to a friend or colleague?
0
1
2
3
4
5
6
7
8
9
10
Very UnlikelyExtremely Likely
Required
Thank you for your feedback.
Our goal is to create the best possible product, and your thoughts, ideas and suggestions play a major role in helping us identify opportunities to improve.
