Switching Deposit Accounts Could Earn UK Small Businesses £563 Million A Year

Press release from a leading UK bank detailing why businesses could benefit from better rates of interest on their corporate savings.

(PRWEB) February 27, 2008 -- Research carried out by Alliance & Leicester Commercial Bank has revealed that British companies are missing out on more than half a billion pounds every year because they don't shop around for the best business deposit accounts.

The results of the study show that small businesses are missing out on interest payments worth a staggering £563 million because they hold their deposit account with one of the Big 5 banks - NatWest, HSBC, Barclays, Bank of Scotland, or Lloyds TSB rather than looking for a better deal elsewhere.

Many businesses remain in uncompetitive deals without realising that there are much better value business deposit accounts available to them. It is a common misconception amongst businesses that they must also hold their business current account with the same provider to get the best rate of return from a business savings account.

Steve Jennings, Business Banking Director at Alliance & Leicester Commercial Bank, said: "British businesses are losing out on thousands of pounds of interest each year by not using the most competitive provider for their no notice deposit accounts. The additional interest could make a big difference to businesses surplus cash helping to cover increasing costs, such as fuel or go towards further developing their business.

"Businesses must review their finances regularly, and the start of the year is the ideal time to make sure that any surplus funds are getting the returns they deserve."

Alliance & Leicester Commercial Bank provides a market-leading Business Instant Reserve Deposit Account. It pays interest at a rate that you would expect from a personal savings account, which means that businesses could earn almost double the amount of interest than with the Big 5 banks.
                                       
Steve Jennings continues: "Many businesses remain in uncompetitive deals without realising that there are much better value business deposit accounts available to them. It is a common misconception amongst businesses that they must also hold their business current account with the same provider to get the best rate of return from a business savings account."

Alliance & Leicester Commercial Bank have made it easier for businesses to compare the various deals available to them in order to switch to the best value account by launching the www.interest-challenge.co.uk where businesses can find out just how much additional interest their surplus funds could be earning compared to their existing deal.

For more details about the full range of instant access, notice, fixed term and Money Market deposit accounts that Alliance & Leicester Commercial Bank offer, business owners should call free 0800 587 0800 or visit the Business Banking website at www.alliance-leicestercommercialbank.co.uk

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