Nationwide FlexDirect current account review
- Account fee
- £0
- Interest (AER)
- 5% AER
- Overseas card transactions
- 2.99%
- Representative example
- If you use an arranged overdraft of £1,200, you'll be charged interest at 39.9% EAR variable.
Our verdict
Great in year one. Then, um... less great.
The Nationwide FlexDirect current account is a bit of an all-rounder. For those with a large overdraft to clear, the FlexDirect current account provides some much-needed breathing space to focus on paying it off without being hit by interest – so long as you can do this within 12 months.
Alternatively, if you usually stay in the black, the account is one of the few current accounts to still pay interest, provided you can pay in £1,000 or more a month. Visit Nationwide's website to apply or compare other Nationwide accounts here.
Pros
-
Pays interest on in-credit balances
-
Interest-free overdraft for the first 12 months
-
No monthly fee
-
Account can easily be opened online
Cons
-
Interest rate drops after the first 12 months
-
Interest is charged on overdrafts after the first 12 months
-
Account can only be managed online
Details
Product overview
| Account name | FlexDirect - Funded |
| Incentive | Eligible for Member Credit Card. |
| Provider | Nationwide BS |
| Account fee | £0 |
| Interest (AER) | 5% |
| ATM withdrawal limit | £500 |
| Debit network | Visa |
| Card type | Debit |
| Minimum eligibility age | 18 Years |
| Minimum operating balance | £0 |
| Minimum opening balance | £0 |
| Direct debits | |
| Current account switch guarantee | |
| Cheque Book |
Fees
| Foreign cash currency fee in Europe | 2.99% |
| Foreign cash currency fee in rest of world | 2.99% |
| Foreign cash transaction fee in Europe | £0 |
| Foreign cash transaction fee in rest of world | £0 |
Overdraft information
| Arranged overdraft available | |
| Arranged overdraft rate | 39.9% |
| Overdraft Grace Period | 14:30 same day |
| Representative example | If you use an arranged overdraft of £1,200, you'll be charged interest at 39.9% EAR variable. |
What is the Nationwide FlexDirect current account?
The Nationwide FlexDirect current account offers everything you need from a bank account, plus interest on balances up to £1,500 and an interest-free overdraft for the first 12 months.
There’s no monthly fee for the account which can be managed online or via the Nationwide banking app. It can be opened as an individual or joint account and a chequebook is available on request. It comes with a contactless Visa debit card.
How does it work?
The main features of the Nationwide FlexDirect current account are outlined below:
- Interest on in-credit balances. Earn interest of 5.00% AER on balances up to £1,500 for the first 12 months. After this, you’ll earn 0.25% AER. You’ll need to pay in at least £1,000 a month to qualify.
- Interest-free arranged overdraft. Pay no interest on your overdraft for 12 months from the date you first open your account. After 12 months, an interest rate of 39.9% APR applies.
- Access to other Nationwide products. Members get access to exclusive products such as loans and credit cards.
Who is it for?
To apply for the Nationwide FlexDirect account, you’ll need to be at least 18 years old, a UK resident and use the account for personal reasons only. You must also not hold more than 4 existing Nationwide current accounts.
If you’ve already had a FlexDirect account before, you won’t receive the 12-month credit interest offer or interest-free overdraft again. However, you will get the offer on a new joint account, so long as you haven’t shared a FlexDirect account with that person before.
Case study: Izzy uses Nationwide's round-up tool to boost her savings
Izzy Thomas
Works in Finder's Publishing team
I moved from Barclays to Nationwide for both the switcher deal and for my current and savings accounts to earn interest. I really like the savings tools - I use of them to round up my spending to the nearest £1 and put it straight into my savings. It's a small amount each time, but it adds up! I also wanted to switch to a bank with a greater emphasis on social and green investments.
If there's one thing you'd tell a friend who's thinking of getting this, what would it be?
Great current and savings products but the app interface is a little clunky and having to use the card reader to add a new payee can get annoying.
How to apply
You can apply for the Nationwide FlexDirect current account online. You’ll need your address history for the past 3 years, your employer’s history (if you’re employed) and a valid UK passport or full UK driving licence. If you don’t have a passport or driving licence, you may have to go into a branch with your ID.
If you already have a current account with Nationwide and you want to switch to the Nationwide FlexDirect account, you can do so via online banking.
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