Free travel insurance with FlexAccount
Members get free travel insurance with FlexAccount
17 September 2010: Over 1 million people are now benefiting from free travel insurance because they are customers of Nationwide. Since re-launching the FlexAccount in August 2010, we have written to all qualifying customers who use the FlexAccount as their main current account1 to explain the changes and the additional exclusive package of benefits available to them.
Nationwide's FlexAccount customers pay no monthly account fee, but could be eligible for the following unique benefits:
- Free European multi-trip travel insurance worth up to £802 per annum
- Access to the lowest personal loan rate in the market at 6.6% APR typical3
- Access to exclusive mortgage products including Protector Mortgage which offers Mortgage Payment Protection Insurance at no extra charge, free standard legal and valuation fees, borrowing of up to 90% loan to value and the Flexible Mortgage
- Among the lowest charges in the market for foreign currency transactions
Nationwide has 1.2 million customers who already qualify for free travel insurance and have received a letter with more details.
For those people who want to qualify for the exclusive benefits, you can transfer your current account from another bank or building society or, if you already have a FlexAccount you can make it your main current account by visiting our Account Transfer Service.
We know there are another 1.9 million existing customers who could benefit by making their FlexAccount their main current account.
Value to customers
The changes are designed to reward and provide outstanding value to customers who use the FlexAccount as their main current account for their everyday banking. The Society is re-distributing value in a fairer way to ensure that those who have the strongest relationships with the Society, receive the most value.
Card use abroad
The Society made some additional changes to its current account including the introduction of a low charge for transactions in currencies other than sterling. This replaced the 1% third party foreign currency charge for point of sale transactions made outside of the Visa European region. Nationwide's FlexAccount remains the cheapest mass market current account to use abroad.
Low commission charge
The Society's new commission charge of 2% and £1 cash withdrawal fee are lower than any of those charged by other standard or free current accounts in the market. Unlike several other card providers, Nationwide does not also charge a fee when a customer makes a purchase abroad.
Nationwide's credit card continues to offer free use abroad within the VISA European region and a 1% charge worldwide.
Following the announcement, Chris Rhodes, executive director of marketing at Nationwide said: "Our new package of benefits offers greater value to more of our current account customers than before. The average customer saving with free card use abroad was about £12 a year. We're now able to offer those who use us for their day to day banking a benefit of much greater value and one that no other bank account offers – free travel insurance worth up to £80.
"Our current account now works in a way which ensures that those members who have the deepest relationship with Nationwide receive the most benefit. Previously, only a third of our current account customers used their card abroad, and many used it only for that, holding their main current account with another provider, bringing little or no benefit to the Society and its other members."
The new free travel insurance is available to both single and joint FlexAccount customers and provides comprehensive European travel insurance for those who use the FlexAccount as their main current account and are under the age of 75 (new customers are eligible up to age 65). Those not already qualifying will be covered from the 1st of the following month if they switch their current account to Nationwide using the Account Transfer Service. Cover for those aged over 65 and up to age 79 and additional family members is available at discounted rates.
Read full details about the FlexAccount benefits, including the terms and conditions here.
- If you are an existing FlexAccount customer you must have a Nationwide Visa debit card and have deposited £750 or more per month into your FlexAccount (excluding internal transfers from other Nationwide accounts) for the last 3 months.
- Based on a joint account where both named account holders are covered.
- Personal loan rate of 6.6% APR typical for loans of £7,500 to £14,999 for up to five years.
Nationwide Building Society is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration number 106078. You can confirm our registration on the FCA’s website www.fca.org.uk or by contacting the FCA on 0800 111 6768.
Nationwide acts as an intermediary for Nationwide FlexAccount Travel Cover, which is underwritten by UK Insurance Limited on behalf of Nationwide Building Society. UK Insurance Limited (UKI) is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration number 202810.
Protector Mortgage with MPPI at no extra charge: this mortgage product includes mortgage payment protection insurance. This will provide Accident, Sickness and Unemployment cover during the 2 year mortgage product benefit period subject to the borrower remaining eligible for the plan. In the event of a claim it will cover the borrower's monthly mortgage payment as shown on their original mortgage offer relating to this mortgage product, for a maximum period of 12 months. The MPPI will end when the borrower's 2 year fixed rate mortgage product ends or when they no longer meet the eligibility criteria. If the borrower is in the middle of a claim, their claim will end when the maximum monthly benefit period is paid or they redeem their mortgage. All claims will be subject to eligibility criteria. MPPI is provided on behalf of Nationwide by Aviva Insurance Limited.
Free Valuation Fees: Nationwide will pay the basic fee for the Mortgage Valuation Report required to determine the amount of advance it is prudent to make on the proposed security. The valuation does not include any payment for a more detailed Homebuyers Report or additional specialist report.
Free Legals for House Purchase: covers the conveyancer's professional charges relating to the house purchase only when using Legal Marketing Services (LMS). The customer will be liable for some additional fees relating to the disbursements, e.g. land registry fees and local authority searches. Due to Northern Irish law, we are unable to offer free legal fees in Northern Ireland.
Nationwide subscribes to the Lending Code.