TSB customers with a Classic Plus account can take the interest earned on their money further this summer as prices for European holidays become cheaper due to the strong pound.
Since launching the Classic Plus account in March 2014, more than 330,000 new accounts have been opened with customers reaping the benefits. TSB customers can earn five per cent interest on balances up to £2,000, equating to a maximum of £100 per year 1. And unlike other banks, TSB will continue to give customers five per cent interest and not whip it away after the first year.
The pound has continued to rise against the euro over the past few years, meaning Brits wanting to travel to Europe this summer can make their money go further. With the exchange rate at 1.29 2, this turns the £100 interest some TSB customers will have earnt on their Classic Plus account in to €129.00 3compared with €116.75 4last June.
According to Skyscanner, this summer's top destinations include Spain, Portugal, Croatia and France with return flights to Malaga, Ibiza, Algarve, Pula and Nice available for less than £100 5.
|Destination||Cost of flights 6|
|Nice, France||£74 pp|
|Algarve, Portugal||£76 pp|
|Pula, Croatia||£78 pp|
|Malaga, Spain||£98 pp|
|Ibiza, Spain||£98 pp|
People looking for a great value holiday may also want to consider travelling during the week rather than the weekend, to help their money take them further. Using Skyscanner's 'search everywhere' tool people can find the cheapest destinations for a certain date and add nearby airports to see if a short bus, train or road trip can save them hundreds.
TSB's Head of Current Accounts, Andy Piggott, says: "Since launching the Classic Plus account in March 2014, we have been delighted by the response from customers wanting to earn more interest, which tells us customers want to be rewarded by their bank.
"Customers can earn up to £100 a year using their Classic Plus account. Earning interest is a great way to take your money that bit further - be that in Britain, or venturing further abroad."
"We are committed to providing customers with local banking on demand, TSB customers are able to complete their banking while on holiday whether they are travelling around, relaxing on a beach or climbing a mountain."
Some top tips for banking abroad include;
- Ensure there is enough money in your account for any direct debits or standing orders that are due while you are away.
- Be savvy and avoid exchanging cash at the airport as it is more expensive than on the high street.
- Let your bank know about your trip, to ensure you can still use your card whilst you are away.
- Check if your accommodation has free Wi-Fi services to avoid international roaming charges on your mobile phone.
Notes to editors
1TSB Classic Plus account gives 5% AER/4.89% gross variable interest on balances up to £2,000 (no interest on balances more than £2,000). Interest is paid monthly. You must pay in at least £500 per month, register for Internet Banking and opt for both paperless bank statements and paperless correspondence. You must be 18 or over and a UK resident to apply.
2Rate correct as at 10.06.15 if customers purchase travel money through TSB branches
31.29x£100 = €129.00
4According to TSB in branch exchange rate on 9 June 2014
5http://www.skyscanner.net/news/10-inexpensive-summer-holiday-ideasFlight prices correct at time of publication and for return journeys from the UK.
6Prices according to Skyscanner, specific travel dates apply, see below
Malaga, Spainfrom £98 per person- return flights with Ryanair from London Stansted to Malaga from £98when you search with Skyscanner.net. Price is valid for travel on 26th August, returning 10th September.
Ibiza, Spainfrom £98 per person- return flights with EasyJet from London Stansted to Ibiza from £84when you search with Skyscanner.net. Price is valid for travel on 6th July, returning 16th July.
Algarve, Portugalfrom £76 per person- return flights with Monarch from London Gatwick to Faro from £76when you search with Skyscanner.net. Price is valid for travel on 7th July, returning 14th July.
Price correct as of 9th June 2015