[jambutty]

Let’s forget the additional product bit and concentrate on the single current account.

How will I know if I have an average monthly balance of £1,500?
By month we mean calendar month. As a guide, to calculate your average monthly balance, add together the end of day balances for each day during the month in question, then divide your total by the number of days in that month.

Many people do not keep an accurate record of their account and certainly not on a daily basis. They rely on the monthly statement, if they get one.

If I deposit £1,500 on the first of the month and withdraw just £1 on the last day of the month the total daily balances add up to £44,999. Divide that by 30 days and the average balance will be £1,499.96r and fall foul of the £10 fee. In order not to fall foul of the ‘fee’ I would need to have an average of £1,500 in my account each day of a month. Or put it another way a minimum of £1,500 at all times. Thus my interpretation is correct entwisi.

Let’s look at your interpretation WillowTheWhisp.
Two salaries to a total of £2,000 get paid in on the first of the month. To keep it simple let us assume that 2 DD’s of £50 are paid out on the 10th and 11th and one SO of £50 on the 12th. The first 9 days the daily balance is £2,000, on day 10 it is £1,950, day 11 £1,900 and day 12 £1,850 and remains at that level for the remainder of the month.

That is 9 days at £2,000 1 day at £1,950, 1 day at £1,900, 19 days at £1,850 – to a total daily balance of £41750 divided by 30 equals £1,391.66r and thus eligible to pay the £10 fee.

That account had more than £1,500 going through it yet still falls foul of the £10 fee. Of course being salaries some of the money will also be used to pay the odd bill and buy food or a few pints at the pub etc. It isn’t about how much money goes through the account but about how much money STAYS in the account all month. The TOTAL DAILY BALANCES must add up to £45,000 or more in a 30 days months to avoid the £10 fee.

You could start the month off with £10,000 in the account, withdraw £9,500 on the third day and still fall foul of the £10 fee. However if the withdrawal is not made until the fourth day the account will not be charged the £10 fee. So when withdrawals are made also comes into the equation and there it can get very complicated.

To maintain an average daily balance of £1,500 you need to deposit more than £1,500 on the first of the month or have more than £1,500 already in the account on the first of a month, and not withdraw an amount that will not carry forward to the next month an amount less than £1,500.

The simplest way round this debacle is to open a savings account with whatever the minimum is allowed and just let it sit there.