Interest Paying Current Account

The rewarding way to
manage your money

No monthly subscription charges - and straightforward access to your money.


  • Free everyday banking - no monthly subscription charges.
  • No arrangement or renewal fees - on overdrafts up to £15,000. And pay no interest on agreed overdrafts of up to £100.
  • Save on your mortgage - use your Interest Paying Current Account balance to save money with our Offset Service.
  • Easy access to your money - your debit card gives you access to almost every cash machine in the UK. And where you see the Maestro logo, you can pay for goods and services.
  • Online banking - manage your money 24 hours a day, 365 days a year with our telephone and internet banking services. (Except for short periods of essential maintenance.)
  • Overseas money - get money in local currency at cash machines wherever you see the Cirrus or Maestro logo. You can also use your card to buy goods wherever you see the Maestro logo.
  • Statements - monthly statements list all transactions and your current balance. You can also get mini-statements from any cash machine.
  • Earn interest - we pay interest on your account; it's calculated daily and credited once every month.
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Interest Rates


Interest we pay you

The annual rates of interest paid on credit balances are as follows:

Calculation and application of interest

Interest is calculated on a daily basis and paid into your account once a month, usually the day after we send your statement to you. The exceptions to this are our Key and Cash Accounts, where interest is paid on the first day of each month.

Gross Rate %AER %Net rate %
0.100.100.08

Interest due on overdrawn balances

Arranged Overdrafts

The following rates are effective from 28/04/08

AmountMonthly %EAR %
All amounts1.4819.24
19.24% EAR typical
Calculation and application of interest

Interest is calculated on a daily basis and paid into your account once a month, usually the day after we send your statement to you. The exceptions to this are our Key and Cash Accounts, where interest is paid on the first day of each month.

Gross rate

Gross rate means the rate you are paid before the deduction of tax.

Annual Equivalent Rate (AER)

This is the notional rate used for interest bearing accounts which illustrates what the gross credit interest rate (excluding any bonus interest payable) would be if paid and compounded on an annual basis. It helps you to compare the effective rates of credit interest on different accounts.

Net Rate

This means the interest rate paid after deduction of tax.

Effective Annual Rate of Interest (EAR)

This is the real annual cost of an overdraft stated as annual rate which takes into account how often interest is charged to the account. All other charges, for example arrangement fees, are shown separately from the EAR.

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Unarranged overdrafts


Any amount overdrawn without an arranged overdraft or in excess of the arranged overdraft limit will be charged at a rate of 2.2% per month, which is equivalent to 29.84% EAR Typical (variable). However, we will not charge interest on any part of the overdrawn balance which represents a Default Notice Fee or other sum (apart from interest) you must pay us in connection with a breach of your obligations under your agreement with us; or a Maintenance Charge, Paid Referral Fee, Guaranteed Card Payment Fee or Unpaid Item Fee.

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Historic Credit Interest Rates

Previous RateCurrent Rate
(effective from 02/08/99)
Annual Gross Rate %0.200.10
Gross / AER %0.200.10
Net Rate %0.160.08

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Unarranged overdafts and unpaid items

Fee amount

Maintenance Charge

If your account becomes overdrawn without prior arrangement or any arranged overdraft limit is exceeded, you will be liable for a monthly Maintenance Charge.

The Maintenance Charge will be applied if you have an unarranged overdraft at any time during a monthly charging period. The charging period normally ends on the date that we send your statement to you.

£28

(£10 for R21**, Student Royalties, and Graduate Royalties)

When charged

16 days after the end of the charging period (or the next business day if this is a Saturday, Sunday or Bank Holiday).

Paid Referral Fee

A Paid Referral Fee will be payable if:

you informally request an overdraft by issuing instructions for a withdrawal or other payment on your account; and

the payment cannot be met from the funds in your account or any unused arranged overdraft facility; and

an unarranged overdraft is created or increased because we decide we are willing to accept your request.

£30 for each day on which a Paid Referral occurs

(subject to a maximum of £90 in any calendar month)

When charged

On the sixth business day of the calendar month after the calendar month in which the transaction(s) took place.

Guaranteed Card Payment Fee

A Guaranteed Card Payment Fee will be payable if:

you informally request an overdraft by issuing instructions for a withdrawal or other payment on your account; and

the payment cannot be met from the funds in your account or any unused arranged overdraft facility; and

we decide we are not willing to accept your request but nonetheless accept it because we find that you have guaranteed payment by the use of a cheque guarantee card or debit card.

£35 for each transaction

When charged

At the time the transaction is paid or taken from your account.

Unpaid Item Fee

An Unpaid Item Fee will be payable if:

you informally request an overdraft by issuing instructions for a withdrawal or other payment; and

the payment cannot be met from the funds in your account or any unused arranged overdraft facility; and

we decide in our discretion not to make the payment.

£38 for each item

(subject to a maximum of £114 per day)

When charged

At the time we decide not to make the payment.

Making an informal request for an overdraft means that you will have to pay a Paid Referral Fee, a Guaranteed Card Payment Fee or an Unpaid Item Fee. If an unarranged overdraft arises, you will also have to pay the Maintenance Charge and interest on the amount overdrawn. However, we will not charge interest on any part of the overdrawn balance which represents either (i) a Default Notice Fee or other sum (apart from interest) you must pay us in connection with a breach of your obligations under your agreement with us; or (ii) a Maintenance Charge, Paid Referral Fee, Guaranteed Card Payment Fee or Unpaid Item Fee.

Enforcement

A Default Notice Fee will be payable if we need to serve a default notice on you (for example, if you fail to repay your overdraft on demand or we wish to enforce any security we hold). This is in addition to any other charges that may apply.

£30 per notice

When charged

Within four days of the Default Notice being served.


** R21 Account is not available to new customers

Interest is paid gross or net of the lower rate of Income Tax depending on your tax position.

New customers will be asked to provide proof of identity, verification of address and signature.

Credit facilities: over 18s only.

Calls may be recorded.

System updates will mean that our internet and telephone banking services are unavailable for short periods in the early hours of the morning.

Important Information

New customers will be asked to provide proof of identity, verification of address and signature.

System updates will mean that our Internet and telephone banking services are unavailable for short periods in the early hours of the morning.

Credit facilities

Over 18s only.

The Royal Bank of Scotland plc.
Registered Office: 36 St. Andrew Square, Edinburgh EH2 2YB
Registered in Scotland No. 90312.

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