Nationwide Building Society business banking review
Nationwide Building Society is the UK’s largest mutual financial institution, offering a range of personal banking services, and limited business banking facilities. Unlike traditional banks, it is owned by its members, meaning profits are reinvested to benefit customers.
Key features of Nationwide Building Society
1. Personal and business current accounts
- FlexAccount: Free everyday banking with no monthly fees.
- FlexPlus: Premium account with travel insurance and mobile phone cover (£13/month).
- FlexDirect: Offers 5% interest on balances up to £1,500 for the first 12 months.
- Business banking: Business accounts are limited to savings products only.
- FSCS protection up to £85,000 per eligible depositor.
2. Savings and investment products
- Instant access savings: Flexible withdrawal options.
- Fixed-rate bonds: Higher interest rates for long-term savers.
- Cash ISAs: Tax-free savings with competitive rates.
- Regular savings accounts: Monthly deposits with bonus interest.
- Children’s savings accounts: Accounts designed to help children start saving.
3. Mortgages and lending services
- First-time buyer mortgages: 5% deposit options available.
- Remortgages: Competitive rates for switching lenders.
- Buy-to-let mortgages: Available for landlords.
- Personal loans: Borrow between £1,000 and £25,000 with fixed rates.
- Overdraft facilities: Subject to approval and account type.
4. Digital and branch banking
- Nationwide mobile banking app: Secure, user-friendly, and includes card freeze/unfreeze options.
- Online banking: Full banking functionality available online.
- Large UK branch network: Unlike many competitors, Nationwide retains a strong physical presence.
- 24/7 customer support: Phone and digital banking support available.
Nationwide fees and pricing
1. Personal current account fees
| Account | Monthly Fee | Interest Rate | Additional Benefits |
|---|---|---|---|
| FlexAccount | £0 | None | Standard banking features |
| FlexPlus | £13 | None | Travel insurance, breakdown cover |
| FlexDirect | £0 | 5% (for 12 months) | Fee-free overdraft for 12 months |
2. Transaction fees
- UK transfers: Free for personal accounts.
- International transfers: Fees apply for non-SEPA payments.
- ATM withdrawals: Free in the UK; fees apply abroad.
3. Mortgage and loan fees
- Arrangement fees: Vary depending on mortgage product.
- Early repayment charges: Apply to some fixed-term loans and mortgages.
- Overdraft fees: Charges based on usage and account type.
Pros and cons of Nationwide Building Society
Pros
- Member-owned, with profits reinvested to benefit customers.
- Strong branch network, unlike many digital-first banks.
- Highly competitive mortgage and savings rates.
- FSCS protection up to £85,000.
- Excellent customer service and support.
Cons
- No dedicated business current accounts.
- International transaction fees apply.
- Premium FlexPlus account has a monthly fee.
- Limited digital-only banking features compared to fintech banks.
How Nationwide Building Society compares to competitors
| Feature | Nationwide | Barclays | HSBC | Starling Bank |
|---|---|---|---|---|
| Personal current accounts | Yes | Yes | Yes | Yes |
| Business current accounts | No | Yes | Yes | Yes |
| FSCS protection | Yes (£85,000) | Yes (£85,000) | Yes (£85,000) | Yes (£85,000) |
| Branch network | Yes | Yes | Yes | No |
| Mobile banking | Yes | Yes | Yes | Yes |
| Member-owned | Yes | No | No | No |
| Ideal for | Savers, mortgage borrowers | General banking | International banking | Digital-first banking |
Who should use Nationwide Building Society?
- Individuals looking for competitive savings and mortgage rates.
- Customers who prefer branch banking alongside digital services.
- People who want a member-owned financial institution where profits are reinvested.
- UK residents needing a personal current account with FSCS protection.
Our verdict
Nationwide Building Society is a trusted, member-owned financial institution offering strong savings, mortgage, and personal banking options. Its branch network, competitive interest rates, and customer-centric approach make it a great choice for individuals prioritising financial stability and ethical banking.
However, the lack of business current accounts and international banking limitations may not suit those requiring comprehensive business services. For those seeking a reliable, high-street banking experience with strong member benefits, Nationwide provides a compelling alternative to traditional banks.